January 11, 2023 4:57pm

So, what emanated from JPM323

Pre-open Indications: 3 Hits and 1 Miss

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If I have learned one thing as a former research analyst in a venture and public fund now a journalist; it is that your life and your bank account are largely tied to your knowledge of price movements and questioning pricing targets.

 

The Dow closed UP +268.91 points (+0.80%), the S&P closed UP +50.36 points (+1.28%) while the Nasdaq closed UP +189.04 points (+1.76%)

 

Henry’omics:

We need to more than consider the recessionary environment - rising rates and high inflation to comprehend the micro re “our” universe of cell and gene therapy companies

Indexes rose Wednesday awaiting Thursday’s CPI (consumer price index) will show inflation number and signal to the Fed

A good quote, “The stock market continues to drift higher this week into Thursday’s key inflation reading, and that could make a negative surprise on inflation more painful for investors. <BTIG technical strategist Jonathan Krinsk>

 

Pre-open Indications: 3 Hits < BioLife Solutions (BLFS +$1.53), Verve Therapeutics (VERV +$0.35), Prime Medicine (PRME -$0.72)> and 1 MISS < Beam Therapeutics (BEAM +$1.43)>

 

Tuesday’s … RegMed Investor’s (RMi) Pre-Open: “Day #3 of JPMorgan healthcare conference; All Quiet on the West Coast. Overwhelming indication, the U.S. consumer price index looms large.” …  https://www.regmedinvestors.com/articles/12781

 

RegMed/Stem/Cell and Gene Therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened – quite a difference 

  • Wednesday’s advance/decline line opened positive at 22 up/ 10 down and 3 flats, stayed positive with 21 up/ 12 down and 2 flats at the mid-day, ending with a positive close of 22/12 and 1 flat

 

Key Metrics:

The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:

  • Wednesday, the IBB was up +0.57% and the XBI was up +0.96%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Wednesday was up +0.51 points or +2.48% at 21.09

 

 

Closing Down (12 of 12):

  • AxoGen (AXGN -$0.66 after Tuesday’s -$0.21),
  • Prime Medicine (PRME -$0.72 after Tuesday’s +$1.01 and Monday’s -$0.52),
  • Ultragenyx (RARE -$1.73 after Tuesday’s +$2.85 and Monday’s -$6.06),
  • Ionis Pharmaceuticals (IONS -$0.36 after Tuesday’s +$1.06 and Monday’s -$3.27),
  • Intellia Therapeutics (NTLA -$0.30 after Tuesday’s +$1.42 after Monday’s -$1.71),
  • uniQure NV (QURE -$0.29),
  • Compass Therapeutics (CMPX -$0.22),
  • Biostage (OTCQB: BSTG -$0.21 after Tuesday’s $0.00 and Monday’s +$0.23),
  • Vericel (VCEL -$0.11 after Tuesday’s +$3.88),
  • Bellicum Pharmaceuticals (BLCM -$0.0498),
  • Avrobio (AVRO -$0.0198)
  • Adverum Biotechnologies (ADVM -$0.0056 after Tuesday’s -$0.0099 and Monday’s +$0.0288),

FLAT (1):

  • Agenus (AGEN)

Closing Up (10 of 22):

  • Alnylam Pharmaceuticals (ALNY +$5.72 after Tuesday’s -$0.22 and Monday’s -$5.28),
  • BioLife Solutions (BLFS +$1.53),
  • Beam Therapeutics (BEAM +$1.43),
  • Voyager Therapeutics (VYGR +$1.00 after Tuesday’s +$0.95 after Monday’s +$0.04),
  • Regenxbio (RGNX +$0.60 after Tuesday’s +$0.79 after Monday’s -$0.99),
  • Verve Therapeutics (VERV +$0.30 after Tuesday’s +$1.18),
  • Solid Biosciences (SLDB +$ after Tuesday’s -$0.05 after Monday’s +$0.15)
  • Editas Medicine (EDIT +$0.250,
  • Fate Therapeutics (FATE +$0.23),
  • Chinook Therapeutics (KDNY +$0.22),

 

Q1/23 – January

  • Wednesday closed positive with 22 incliner, 12 decliners and 1 flat

 

The BOTTOM LINE: I try to keep it simple … and short!

The JP Morgan healthcare conference shook the tree with NOT much BUZZ emanating from the St. Frances “shuffle”.

Reiterating, what STILL makes me NERVOUS and ANXIOUS about 2023 is short-term momentum as Q4 earnings are due to be released mid-January and into February which will out share pricing into a gauntlet.

·         Investors should wait for clear signs of upward or forward motion before making new buys.

·         Be wary of buying stocks on the first "blip" of strength. It's still time to be cautious about any new buys.

·         Buy signals and breakouts could quickly fizzle if the market falls back again.

There are VERY clear losers today … Ultragenyx (RARE), AxoGen (AXGN) and Prime Medicine (PRME)

… With winners … Alnylam Pharmaceuticals (ALNY), Beam Therapeutics (BEAM), and BioLife Solutions (BLFS)

Reiterating, “The biggest issue for the New Year will be the cloud of recession overhanging the economy, market volatility that affects and effects our universe of cell and gene therapy sector equities.”

Avrobio (AVRO closed down - $0.0198 with 95,425 shares traded after Tuesday’s +$0.02 with 170,669 shares traded after Monday’s +$0.0179 to $0.85 <after being up almost +$0.05> with heavy volume of 913,508 shares traded after last Friday’s -$0.0227 with 294,842 shares trading after Thursday’s +$0.02 with 609,564 share traded.

Today’s sessions say a lot of addressing the delisting issue <is their investment bank buying the shares?> as AVRO filed a S-3 for $250 million common stock, preferred stock, debt securities, warrants and unit offering within draft prospectus by Cowen as stock sinks while delisting continues?

Just another “screw-job” of investors! < Read, SELL and Weep - see hyperlink below>

Avrobio (AVRO) files S-3 (Registration Statement) for offering with draft prospectus by Cowen … https://investors.avrobio.com/node/9116/html

·         Also, RA Capital has sold its position in the company – a sign of dissatisfaction!

·         While, President, CEO and director Geoff Mackay carries home a HUGE salary of $754.39 K per year?

Biostage (OTCQB: BSTG) closed down -$0.21 with 100 shares trade after Tuesday with 0 shares traded, Monday’s +$0.23 with 121 shares traded, Friday’s FLAT with 25 shares traded, Thursday’s -$1.10 with 2,634 shares traded, Wednesday’s flat with 1 share traded and last Tuesday’s +$1.31 with only 130 shares traded (they keep buying the shares with a pump/promote agenda). <3-month average volume =1,535 shares>

·         Review the trading pricing and volume versus the pump/promote agenda – somethings “wrong in Denmark” that’s Beijing, China for you – not following USA rules!!

·         This IND – now almost 4 years old without a clinical trial that will last 3-5 years for ADULT patients before BSTG can EVEN consider a pediatric venue!!

·         They hired a CRO; hope they PAY them after all the difficulties the previous CRO went through and the same individuals are in charge!

 My question that resounds, that should be asked is how many companies are at the end of sentiments …  leash?

 

Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice.

Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.  All investments are subject to risks. Investors should consider investment objectives.

Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.

Regulation Analyst Certification (Reg AC): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.