March 16, 2023 4:58pm

As cell and gene therapy companies seek safer banking havens removing their cloud of sustainability after Silicon Valley Bank’s staggering “melt-down” regarding “on-going past” depositing and holdings

Pre-open indication Results: 2 Hits and 4 Miss

Earnings: BioLife Solutions (BLFS -$1.50) as SVB “honored existing credit facilities”.

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

Subscription is coming, it is 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, operating executive, adjunct (MBA) business school professor 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 +371.98 points (+1.17%); the S&P closed UP +68.35 points (+1.76%) while the Nasdaq closed UP +283.23 points (+2.48%)

 

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 rose Thursday as banking optimism rebounded over investments by mega banks.

·         Over a report of banks considering plans to help closely followed First Republic Bank buoyed investors optimism amid the banking crisis. Investors have been closely watching bank stocks after the closures of Silicon Valley Bank and Signature Bank prompted concerns of contagion in the sector in recent days. <CNBC>

Traders assigned a 74% probability of a 0.25 percentage point, or 25 basis point increase when the Federal Open Market Committee releases its decision next Wednesday. <CNBC>

Economic Data Docket: Housing numbers surge, jobless claims fall, business surveys negative:  Building permits and housing starts soared in February, while the latest data on jobless claims saw a big drop. Permits jumped to 1.524 million, a 13.8% increase from January and well above the Dow Jones estimate for 1.34 million, the Commerce Department reported. At the same time, total starts soared to 1.45 million, a 9.8% monthly increase and easily above the 1.31 million estimates.

·         Jobless claims showed a notable decline. First-time filings for unemployment benefits totaled 192,000, a decrease of 20,000 and below the expectation of 205,000, according to the Labor Department. Continuing claims, which run a week behind, fell by 29,000.

·         Also, the announcement of a further rate hike of 50 basis points from the European Central Bank.

·         The Philadelphia Federal Reserve’s manufacturing survey edged higher but was still at -23.2, representing the percentage difference between companies reporting expansion vs. contraction.

·         The New York Fed’s Business Leaders Survey nudged higher but also was still negative at -10.1. In that survey, the business climate index fell to -38.8, “suggesting the business climate remains much worse than normal,” the New York Fed said.

 

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

  • Thursday’s advance/decline line opened negative at 4 up/ 29 down and 2 flats, flipped positive with 21 up/ 13 down and 1 flat at the mid-day, ending with a positive close of 20/14 and 1 flat

 

Pre-open indication Results: 2 Hits < BioLife Solutions (BLFS -$1.50), uniQure NV (QURE +0.47) > and 4 Miss < Beam Therapeutics (BEAM +$0.41), Ionis Pharmaceuticals (IONS +$0.81), Ultragenyx (RARE -$0.51), Verve Therapeutics (VERV -$0.13)>

52-week low:

·         Sangamo Therapeutics (SGMO) at $2.12

·         Homology Medicine (FIXX) at $0.995

·         Solid Biosciences (SLDB) at $4.62

 

RegMed Investors (RMi) Research Note: Q4 and FY22 earnings reporting … https://www.regmedinvestors.com/articles/12843 - 25 of 35

RegMed Investors (RMi) Research Note: Upcoming Q4 earnings reporting dates … https://www.regmedinvestors.com/articles/12830

 

Key Metrics:

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

  • Thursday, the IBB was up +0.54% and the XBI was up +0.23%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Thursday was down -2.95 points or -11.29% at 23.19

 

Closing Down (10 of 14):

  • BioLife Solutions BLKFS -$1.50),
  • Ultragenyx (RARE -$0.51 after Wednesday’s +$0.17, Tuesday’s -$0.32 and Monday’s +$2.12),
  • Intellia Therapeutics (NTLA -$0.33 after Wednesday’s +$0.75, Tuesday’s +$1.82 and Monday’s +$2.49),
  • Solid Biosciences (SLDB -$0.18),
  • Verve Therapeutics (VERV -$0.13 after Wednesday’s -$0.37, Tuesday’s -$0.43 and Monday’s -$0.77),
  • AxoGen (AXGN -$0.13),
  • Caribou Biosciences (CRBU -$0.12),
  • Brainstorm Cell Therapeutics (BCLI -$0.06 and Wednesday’s +$0.04),
  • Agenus (AGEN -$0.06 after Wednesday’s +$0.10),
  • bluebird bio (BLUE -$0.04)

FLAT:

  • Vericel (VCEL)

Closing Up (10 of 20):

  • Alnylam Pharmaceuticals (ALNY +$3.91 after Wednesday’s -$1.35, Tuesday’s +$2.24 and Monday’s +$2.29),
  • Ionis Pharmaceuticals (IONS +$0.81 after Wednesday’s +$0.43),
  • CRISPR Therapeutics (CRSP +$0.47 after Wednesday’s -$0.23 after Tuesday’s -$0.57 and Monday’s +$2.50)
  • uniQure NV (QURE +$0.47 after Wednesday’s -$0.58 and Tuesday’s +$0.32),
  • Beam Therapeutics (BEAM +$0.41 after Wednesday’s +$0.96, Tuesday’s +$0.38 and Monday’s +$1.62),
  • Sage Therapeutics (SAGE +$0.32 after Wednesday’s -$0.72 after Tuesday’s +$0.68 and Monday’s +$3.80),
  • Chinook Therapeutics (KDNY +$0.32 after Wednesday’s -$0.58),
  • Regenxbio (RGNX +$0.26),
  • Prime Medicine (PRME +$0.23 after Wednesday’s -$0.55 after Tuesday’s -$0.65),
  • Voyager Therapeutics (VYGR +$0.19 after Wednesday’s -$0.27 and Tuesday’s +$0.42),

 

Q1/23 – March

  • Thursday closed positive with 20 incliner, 14 decliners and 1 flat

 

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

The cell and gene therapy sector reversed declines on Thursday after multiple report said sector companies were able to remove and transfer “most” of their deposits from the “mortally wounded” Silicon Valley Bank (SVB) – removing their RISK to RUNWAYS and operating monetary exposure.

I am STILL of the “opinion” that, “Cash is more attractive than equities!”

The sector’s WHIPLASH is NOT over!

The rush of Q4 and FY22 earnings to release is on … 25 of my 35 covered have reported.

·         BioLife Solutions (BLFS) – unaudited version tonight … as SVB honored existing credit facilities??

Upcoming Q4 earnings reporting will present challenges to share pricing.

·         Nine (9) more releases of my 35 covered companies

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.

As I have stated, “What goes up with ceremony, goes down with disdain followed by the opposite effect.”

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.

The NO spin zone!

 

Biostage (OTCQB: BSTG) – still pumping!!

Thursday closed up =$0.09 with 3,924 shares traded after Wednesday closed down -$0.44 with 4,166 shares traded, Tuesday closed down -$0.02 with 5,105 shares traded, Monday’s +$0.26 with 10,1190 shares traded, Friday closed up +$0.31 and last Thursday -$0.02 with 13,252 shares traded, <3-month average volume = 1,610 shares>

·         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??

·         Let’s also welcome a NEW accounting firm – the fourth (4th) in five (5) years. When will they resign …??

·         Where is the SEC??

 

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.