March 3, 2023 4:44pm
Market snaps a losing streak while cell and gene therapy sector rallies
Pre-open indication Results: 3 Hits and 1 Miss
News: Verve Therapeutics (VERV -$0.69) reported new pre-clinical data in non-human primates (NHPs) demonstrating potent, durable and well-tolerated editing of the ANGPTL3 gene following administration of VERVE-201. <note key words = early and pre-mature>
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The week in review -- TGIF
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 UP +387.40 points (+1.17%); the S&P closed UP +64.29 points (+1.61%) while the Nasdaq closed UP +226.02 points (+1.97%)
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 …
U.S. stock indexes rose on Friday, as Treasury yields took a breather from a week-long rally that was sparked by worries that the Fed would keep interest rates higher for longer to tame stubborn inflation.
For the week, the Dow was up +0.6%, the S&P 500 +1.9% while the Nasdaq gained +0.6%.
Economic Data Docket: The U.S. services sector grew at a steady clip in February, with new orders and employment rising to more than one-year highs, suggesting the economy continued to expand in the first quarter.
Pre-open indication Results: 3 Hits < Agenus (AGEN +$0.02); Sell into Strength: BioLife solutions (BLFS +$0.64), uniQure NV (QURE -$0.41)> and 1 Miss <Verve Therapeutics (VERV -$0.69)>
RegMed Investors (RMi) Research Note: Q4 and FY22 earnings reporting … https://www.regmedinvestors.com/articles/12843
RegMed Investors (RMi) Research Note: Upcoming Q4 earnings reporting dates … https://www.regmedinvestors.com/articles/12830
RegMed/Stem/Cell and Gene Therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened – differences
- Friday’s advance/decline line opened positive at 24 up/ 9 down and 2 flats, stayed positive with 23 up/ 10 down and 0 flats at the mid-day, ending with a positive close of 22/13 and 0 flat
- Thursday’s advance/decline line opened negative at 13 up/ 19 down and 3 flats, stayed negative with 7 up/ 26 down and 2 flats at the mid-day, ending with a negative close of 12/19 and 4 flats
- Wednesday’s advance/decline line opened positive at 17 up/ 16 down and 2 flats, flopped negative with 13 up/ 20 down and 2 flats at the mid-day, ending with a negative close of 12/22 and 1 flat
- Tuesday’s advance/decline line opened positive at 25 up/ 9 down and 1 flat, stayed positive with 23 up/ 10 down and 2 flats at the mid-day, ending with a positive close of 20/12 and 3 flats
- Monday’s advance/decline line opened positive at 26 up/ 8 down and 1 flat, stayed positive with 25 up/ 8 down and 3 flats at the mid-day, ending with a positive close of 26/8 and 1 flat
Key Metrics:
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Friday, the IBB was up +1.68% and the XBI was up +1.42%
- Thursday, the IBB was up +0.23% and the XBI was down -0.77%
- Wednesday, the IBB was up +0.69% and the XBI was up +0.33%
- Tuesday, the IBB was up +0.24% and the XBI was up +0.88%
- Monday, the IBB was up +0.36% and the XBI was up +0.87%
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Friday was down -1.08 points or -5.51% at 18.51
- Thursday was down -1 points or -4.86% at 19.58
- Wednesday was down -0.03 points or -0.14% at 20.67
- Tuesday was down -0.27 points or -1.29% at 20.68
- Monday was down-0.68 points or -3.14% at 20.99
Closing Down (13 of 13):
- Verve Therapeutics (VERV -$0.69),
- Intellia Therapeutics (NTLA -$0.60 after Thursday’s +$3.24, Wednesday’s +$0.58 after Tuesday’s +$0.78 and Monday’s +$1.65)
- uniQure NV (QURE -$0.41 after Thursday’s -$0.08 after Wednesday’s +$0.56 after Tuesday’s -$0.04 and Monday’s +$1.04),
- Biostage (OTCQB: BSTG -$0.20 after Thursday’s -$0.00, Wednesday’s $0.00, Tuesday’s $0.00 and Monday’s -$0.20),
- Sage Therapeutics (SAGE -$0.14 after Thursday’s +$0.08, Wednesday’s +$0.21 and Tuesday’s +$0.63),
- Sangamo Therapeutics (SGMO -$0.11),
- Solid Biosciences (SLDB -$0.07 after Thursday’s -$0.13 after Wednesday’s -$0.12 after Tuesday ’s -$0.09 and Monday’s -$0.29),
- Brainstorm Cell Therapy (BCLI -$0.06),
- Avrobio (AVRO -$0.04 after Thursday’s +$0.05, Wednesday’s +$0.03 and Tuesday’s -$0.02)
- Bellicum Pharmaceuticals (BLCM -$0.0218),
- Homology Medicine (FIXX -$0.02 after Thursday’s -$0.13, Wednesday’s +$0.06 and Tuesday’s -$0.04),
- Cellectis SA (CLLS -$0.005)
- Verastem (VSTM -$0.0041),
Closing Up (10 of 22):
- Alnylam Pharmaceuticals (ALNY +$8.14 after Thursday’s -$0.96, Wednesday’s +$3.95 after Tuesday’s +$1.44 and Monday’s +$0.23),
- CRISPR Therapeutics (CRSP +$1.65 after Thursday’s +$1.47, Wednesday’s -$1.60, Tuesday’s +$0.16 and Monday’s +$1.14)
- Vericel (VCEL +$1.10 after Thursday’s +$0.24 and Wednesday’s -$0.42),
- Regenxbio (RGNX +$0.85 after Thursday’s -$0.60, Wednesday’s +$1.89 after Tuesday’s +$0.31 and Monday’s +$0.63)
- Ionis Pharmaceuticals (IONS +$0.79 after Thursday’s -$0.14, Wednesday’s +$0.05 after Tuesday’s -$0.31 and Monday’s +$0.52),
- Ultragenyx (RARE +$0.65 after Thursday’s -$0.60, Wednesday’s +$1.16, Tuesday’s +$1.03 and Monday’s +$0.66),
- BioLife Solutions (BLFS +$0.64 after Thursday’s +$0.49 and Wednesday’s -$0.46),
- Prime Medicine (PRME+$0.57 after Thursday’s -$0.43),
- MiMedx (MDXG +$0.51 after Thursday’s -$0.275 after Wednesday’s -$0.62),
Q1/23 – March
- Friday closed positive with 22 incliner, 13 decliners and 0 flat
- Thursday closed negative with 12 incliner, 19 decliners and 4 flats
- Wednesday closed negative with 12 incliner, 22 decliners and 1 flat
The BOTTOM LINE: I try to keep it simple … and short!
I welcome the upside notching a weekly gain as uncle algorithms recognized the oversold and bid them up; wait for the take-down – it’s coming.
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.
Trading has been choppy this month after economic data; as risk assets faced headwinds from inflation data and tightening monetary policy
The rush of Q4 and FY22 earnings to release is on … 15 of my 35 covered have reported.
Upcoming Q4 earnings reporting will present challenges to share pricing.
· Voyager Therapeutics (VYGR) 3/7 – Tuesday
· Cellectis SA (CLLS) 3/9 - Thursday
· Agenus (AGEN) 3/14 -Tuesday
· AxoGen (AXGN) 3/14 Tuesday
WHY (?) do I keep posting, so investors can get a daily update of the sector's share pricing and some individual companies TRUTHS while electronic trading chews on our portfolio edges.
Remember, there are four (4) phases of the stock cycle: accumulation; markup; distribution; and markdown.
My advice: open that portfolio envelope and think of a game of monopoly and follow RMi’s moves to recoup losses. As I have stated, “What goes up with ceremony, goes down with disdain followed by the opposite effect.”
There are clear losers today … Verve Therapeutics (VERV), uniQure NV (QURE) and Biostage (OTCQB: BSTG)
With winners … Alnylam Pharmaceuticals (ALNY), CRISPR Therapeutics (CRSP) and Vericel (VCEL)
Biostage (OTCQB: BSTG)
Friday closed down -$0.20 with 2,270 shares traded after being flat on Thursday with 0 shares traded after Wednesday flat with 71 shares traded after Tuesday’s flat 5,601 shares traded on Tuesday and Monday’s -$0.20 with 382 shares traded. <3-month average volume = 1,258 shares>
· Yet another CEO and chairman, Jerry He – what changes to the ill-fated story will ONLY be relieved by TRULY reviewing the past and communicating with those who have something to say – to right-size this company!
· Leaving by his own hand or replaced - David Green, CEO and Chairman of Board did accomplish ONE THING – he was able to shift LIABILITY of $5 M death suit (enabled Paolo Macchiarini artificial organ lawsuit) after he made the decision and were PERSONALLY LIABLE to SHAREHOLDERS …???
· 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!
· Question: Review the number of shares traded … is OTCQB: BSTG a Ponzi scheme (with their pump/promote buy and sell agenda) as shares are bought to replace those sold??
· The past management team is and was disconnected with US investors and I-Banks; so it behooves the new CEO to connect with a more solid story and reduce those who have brought the company to its toes!
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.
