March 28, 2023 5:00pm
Fed Vice-Chair Michael Barr addressed the House Financial Services Committee about the Silicon Valley Bank (SVB) bank failure in prepared comments. "The bank waited too long to address its problems, and ironically, the overdue actions it finally took to strengthen its balance sheet sparked the uninsured depositor run that led to the bank's failure."
Who has taken responsibility; accountability is the responsibility of executives and relationship bankers … were they all automatons, robots, androids or just drinking the in-house Kool-Aid?
Pre-open Indications: 5 Hits and 1 Miss
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 DOWN -37.83 points (-0.12%), the S&P closed DOWN -6.26 points (-0.16%) while the Nasdaq closed DOWN -52.76 points (-0.45%)
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 floated down as the session wore on as worries about the crisis among U.S. regional banks.
“SVB Financial, which filed for bankruptcy, is now trading at just $0.27 per share; it closed at $106 per share on March 9, before the bank was closed”. <CNBC>
“For the second day in a row, interest rates are rising, and the markets are being led by the more economically sensitive sectors, such as energy and industrials,” said Brian Levitt, Global Market Strategist for Invesco. “Technology stocks are among the laggards, which is often the case as interest rates rise. For the time being, investors seem to be looking beyond the challenges in the financial sector and recognizing that U.S. economic growth continues to be resilient.” <CNBC>
RegMed/Stem/Cell and Gene Therapy’s 35 covered equities’ Advance/Decline (A/D) lines: what happened – differences
- Tuesday’s advance/decline line opened negative at 13 up/ 27 down and 0 flat, stayed negative with 11 up/ 24 down and 0 flat at the mid-day, ending with a negative close of 11/24 and 0 flat
- Monday’s advance/decline line opened positive at 27 up/ 7 down and 1 flat, stayed positive with 24 up/ 10 down and 1 flat at the mid-day, ending with a positive close of 23/11 and 1 flat
Pre-open Indications: 5 Hits < CRISPR Therapeutics (CRSP -$0.50), Sage Therapeutics (SAGE -$1.60), Beam Therapeutics (BEAM -$0.38), Chinook Therapeutics (KDNY -$0.33), Prime Medicine (PRME +$0.02)> 1 Miss < Ionis Pharmaceuticals (IONS +$0.57)>
All time low:
- Editas Medicine (EDIT) at $7.20
- Homology Medicine (FIXX) at $0.90
- Precigen (PGEN) at $0.82
- Prime medicine (PRME) at $11.27
RegMed Investors (RMi) Research Note: Q4 and FY22 earnings reporting … https://www.regmedinvestors.com/articles/12843 - 28 of 35
Key Metrics:
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Tuesday, the IBB was up +0.02% and the XBI was down -0.63%
- Monday, the IBB was up +0.13% and the XBI was up +1.02%
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Tuesday was down -0,66 points or -3.20% at 19.94
- Monday was down -1.122 points or -5.15% at 20.62
Closing Down (10 of 24):
- Alnylam Pharmaceuticals (ALNY -$1.96 after Monday’s +$0.53),
- Sage Therapeutics (SAGE -$1.60 after Monday’s +$0.47),
- BioLife Solutions (BLFS -$1.21 after Monday’s +$0.27),
- Intellia Therapeutics (NTLA -$1.13 after Monday’s -$1.15),
- Vericel (VCEL -$0.92),
- Regenxbio (RGNX -$0.53 after Monday’s -$0.45),
- Biostage (OTCQB: BSTG -$0.51 after Monday’s flat),
- CRISPR Therapeutics (CRSP -$0.50 after Monday’s +$0.92),
- Beam Therapeutics (BEAM -$0.38),
- Editas Medicine (EDIT -$0.34),
Closing Up (11 of 11):
- Ionis Pharmaceuticals (IONS +$0.57 after Monday’s -$0.23),
- Ultragenyx (RARE +$0.33 after Monday’s -$0.35),
- Brainstorm Cell Therapeutics (BCLI +$0.24),
- Solid Biosciences (SLDB +$0.09 after Monday’s +$0.20),
- Homology Medicine (FIXX +$0.05),
- Cellectis SA (CLLS +$0.045 after Monday’s -$0.05),
- Caribou Biosciences (CRBU +$0.04),
- Prime Medicine (PRME +$0.02 after Monday’s +$0.66),
- Compass Therapeutics (CMPX +$0.01 after Monday’s -$0.04),
- Precigen (PGEN +$0.0051 after Monday’s -$0.0816),
- Verastem (VSTM +$0.0049 after Monday’s -$0.0231),
Q1/23 – March
- Tuesday closed negative with 11 incliner, 24 decliners and 0 flat
- Monday closed positive with 23 incliner, 11 decliners and 1 flat
The BOTTOM LINE: I try to keep it simple … and short!
Tuesday there wasn’t any conviction lsft over after three (3) positive closes, unless it was to the downside.
Reiterating, “We are in … for a bumpy road until … all cell and gene therapy companies who banked with SVB have exited or gained control … of their own deposits/monies.”
And it came TRUE …
The rush of Q4 and FY22 earnings to release is slowing as … 28 of my 35 covered have reported.
Upcoming Q4 earnings reporting will present challenges to share pricing.
· Last Thursday – Avrobio (AVRO) and Solid Biosciences (SLDB) reported
· Seven (7) more releases forthcoming of my 35 covered companies
· Brainstorm Cell Therapeutics (BCLI) 3/30 - Thursday
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 the volume and TRYING to promote the share price!!
Tuesday closed down -$0.51 with 3,895 shares traded after Monday closed flat with 25 shares traded <3-month average volume = 1,728 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??
· NEW Auditors must consider whether there is substantial doubt about a company’s ability to continue as a going concern, an assessment of the company’s viability over the next year.
· As OTCQB: BSTG continues as an “going concern”!
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.
