RegMed Investors’ (RMi) closing bell: who said economics don’t matter?

January 30, 2023 7:51pm

Think of the newest idiocy “slap fest”, as share pricing weakens

Quote, “A couple of companies have become … black holes … of investor sentiment; yet, some get financing to continue the chain around investors’ necks until they recognize it could be forever with “some” of these equities.” <me>

I write this blog/newsletter to inform investors with facts and supporting numbers focused on what they need to hear that others won’t say or write about - truth!

Subscription is coming, it’s not conscription but, an offer to join our collective of like-minded investors!  Join me … in the NO spin zone.

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 portfolio are largely tied to your knowledge of price movements and questioning pricing targets.

The Dow closed DOWN -260.9 points (-0.77%), the S&P closed DOWN -52.79 points (1.30%) while the Nasdaq closed 227.90 points (-1.96%)

Henry’omics:

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

Indexes closed lower Monday, with the Dow Jones Industrial Average snapping a six-day win streak.

Keep thinking, “You’re seeing this push and pull in stock prices between whether the Fed will keep interest rates where they are throughout the year, or whether they’ll pivot to cutting interest rates. That’s what you’re seeing in terms of maybe a little bit more of the intermediate term rise in stock prices,” said Tom Hainlin, senior investment strategist at U.S. Bank. <CNBC>

Monday’s … RegMed Investor’s (RMi) Pre-Open: “Careful as you go … a week of uncertainty and pullbacks? Two (2) trading sessions left in January, as economics, later week’s Fed decision meeting and jobless claims dominate the market and sector conditions.” …  https://www.regmedinvestors.com/articles/12808

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

• Monday’s advance/decline line opened negative at 1 up/ 29 down and 5 flats, stayed negative with 5 up/ 29 down and 1 flat at the mid-day, ending with a negative close of 4/31 and 0 flat

Key Metrics:

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

• Monday, the IBB was down -1.77% and the XBI was down -2.56%

The CBOE Volatility Index (VVIX: INDEX) tracked:

• Monday was up +1.43 points or +7.73% at 19.94

Closing Down (10 of 31):

• Alnylam Pharmaceuticals (ALNY-$5.97 after Friday’s -$0.22),
• Beam Therapeutics (BEAM -$3.20 after Friday’s +$1.45),
• CRISPR Therapeutics (CRSP -$2.82 after Friday’s +$2.31),
• Intellia Therapeutics (NTLA -$1.51 after Friday’s +$3.00),
• Vericel (VCEL -$1.50 after Friday’s +$0.68),
• Ionis Pharmaceuticals (IONS -$0.78 after Friday’s +$0.41),
• Ultragenyx (RARE -$0.74 after Friday’s -$0.42),
• Regenxbio (RGNX -$0.68),
• Verve Therapeutics (VERV -$0.65),
• uniQure NV (QURE -$0.60 after Friday’s -$0.15),

Closing Up (4 of 4):

• Brainstorm Cell Therapeutics (BCLI=$0.22 after Friday’s -$0.02 – aren’t they broke?),
• Voyager Therapeutics (VYGR +$0.06),
• MiMedx (MDXG +$0.04 after Friday’s -$0.11),
• Avrobio (AVRO +$0.0.01 – still under a de-listing protocol and anticipating an offering by Cowen,check the S-3 on website)

Q1/23 – January

• Monday closed negative with 4 incliner, 31 decliners and 0 flat

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

Economics play a roll in market sessions while Johnson & Johnson (JNJ -3%) was the worst performer.

Indicators, Pfizer (PFE), Caterpillar (CAT) and McDonald's (MCD) will report earnings Tuesday.

So be cautious about adding exposure and stick to loss-cutting rules.

I am definitely considered a contrarian depending on the session – one has to be a watcher of the ups and downs as well as measurer of sentiment. I am also a NO trust investor but, a validate and verify journalist/analyst.

It’s just like counting the cards – something I WAS good at.

Upcoming Q4 earnings reporting will present challenges to share pricing.

Investors are awaiting January manufacturing and Q4 GDP data during the week!

There are VERY clear losers today … Alnylam Pharmaceuticals (ALNY), Beam Therapeutics (BEAM) and CRISPR Therapeutics (EDIT)

With winners … only four (4) - Brainstorm cell Therapeutics (BCLI), Voyager Therapeutics (VYGR), MiMedx (MDXG) and surprise, surprise Avrobio (AVRO) although still under a de-listing protocol

Avrobio (AVRO closed up – big thrill +$0.01 with 206,848 shares traded after Friday’s +$0.02 to $0.88 with 144,019 shares traded, Thursday’s -$0.0206 with 511,978 shares traded, Wednesday’s -$0.0438 with 231,320 shares traded, Tuesday’s +$0.01 to $0.91 with 233,056 shares traded and last Monday’s +$0.03 with 168,831 shares traded. <3-month average = 337,893 shares>

The many sessions since acknowledging the de-listing “issue” say a lot of addressing the NASDAQ 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 de-listing 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)

Where is and WHAT happened to the PUMP, Hong (?) as Monday closed down -$0.03 with 772 shares traded after Friday’s flat with 1,695 shares traded after Thursday’s $0.00 with 2,300 shares traded after Wednesday’s $0.00 with 2,100 shares traded after Tuesday’s -$0.09 with 2,400 shares traded after Monday’s +$0.03 with 700 shares traded. <3-month average volume = 1,304 shares>

·         Review the trading pricing and volume versus the pump/promote agenda – somethings “wrong in Denmark” that’s Beijing, China for you – not following SEC 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 from the past problems are STILL in charge!

·         Question; is this a Ponzi scheme as shares are bought to replace those sold??

 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.