January 30, 2024 7:43am

After careful examination of the sector and breathe trends, I have come away more cautious; having lived through the rise and multiple declines of “our” universe’s stock pricing and on what fluctuating markets can do to an equity, or what impact indications or expectations can have.

Pre-open indications: 1 Sell into Strength and 4 Negative Indications

Who is defining the metrics for investors and keeping you notified of the sector and market fluctuations?  What RMi provides is a trusted source of share pricing intelligence. Join me … in the NO spin zone!

Never leave an investor uninformed!

Remember that overnight action in a.m. futures and global markets doesn't necessarily translate into actual trading in the today’s market session.

I also follow the dictum, quoting Churchill that “short words are best, and the old words when short are best of all.”

 

Tuesday: The pre-open Dow futures are DOWN -0.14% or (-54 points), the S&P futures are DOWN -0.10% or (-5 points) as the Nasdaq futures are DOWN -0.05% or (-8 points)

Stock futures dipped Tuesday morning,

European markets were higher,

Asia-Pacific markets mostly down, although Australia and Japan closed positive

 

Henry’omics:

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

Indexes closed positive as the Dow closed UP +224.02 points or +0.59%, the S&P closed UP +36.96t points +0.76% while the Nasdaq closed UP +172.68 points or +1.12%

Economic Data Docket: Traders will watch for updates out of the Federal Open Market Committee’s two-day policy meeting together with economic data on housing, the labor market and consumer confidence.

  • These numbers come as market participants finalize their expectations for Wednesday’s monetary policy announcement and subsequent press conference.
  • Friday's January employment report is expected to show that employers added 165,000 jobs.

 

Q1/24: 2 holidays, 10 negative and 8 positive closes

 

Companies in my headlights – It’s your decision; I provide ideas and context:

I post about “indication intelligence” devoting my time to collection and analysis of information to assist investors with insight into sector vulnerabilities and strengths. A dictionary definition of “indicate” refers to something less than a certainty; an indication could be a signal of being oversold or overbought, a recommendation, or grounds for inferring or a basis for believing.

 

Negative Indications:

Monday, Friday, Thursday’s, Wednesday and last Tuesday’s closing “numbers” with aftermarket dollar ($) and cent ($0.00) value and percentage (%)

Caribou BioSciences (CRBU) closed up +$0.53 after Friday’s +$0.09 after Thursday’s +$0.16 with a -$0.18 or -3.01% pre-open indication.

CRISPR Therapeutics (CRSP) closed up +$4.77 after Friday’s -$1.85, Thursday’s -$0.14 and Wednesday’s -$3.38 with a positive +$0.11 or +0.17% pre-open indication

Intellia Therapeutics (NTLA) closed up +$1.50 after Friday’s -$0.41 with a negative -$0.38 or -1.45% pre-open indication

Vericel (VCEL) closed up +$1.96 after Friday’s $0.00, Thursday’s +$1.78 and Wednesday’s +$1.43 with a negative -$2.22 or -4.908% pre-open indication

 

Sell into Strength Indications:

Monday, Friday, Thursday’s, Wednesday and last Tuesday’s closing “numbers” with aftermarket dollar ($) and cent ($0.00) value and percentage (%)

Beam Therapeutics (BEAM) closed up +$4.00 after Friday’s -$0.63 and Thursday’s +$0.16 with a positive +$0.50 or +1.77% pre-open indication.

 

The BOTTOM LINE: If you're buying into strength, you might be jumping onto a sinking ship …

  • It's also a good idea to take some profits, especially if you didn't do so in past sessions.
  • Have you heard of Albert Einstein’s definition of insanity? The one where he says it’s “doing the same thing over and over again and expecting different results?”

 

Coming attractions …Q4 and FY23 reporting season and “runways” will get measured as consensus and estimates will get missed!

For the next few weeks, if you're buying on weakness, you might be jumping onto a sinking ship even as … Q4 and FY23 earnings LPS (loss-per-share) are due even though some highlights were delivered to facilitate JPM presentations – there are consensus and beaten estimates to be reckoned!

Tuesday coming actions and thoughts: Help from Monday,

  • The 10-year U.S. Treasury yield ticked lower to 4.09% as treasury yield slipped as funding supply fears ease
  • Investors were also sensitive to geopolitical risks with oil rising after a Couth missile attack caused a fire on a fuel tanker in the Red Sea and a drone attack killed three U.S. troops in Jordan.

Pharma earnings:

Pfizer (PFE) posted a surprise adjusted Q4 profit, even as demand plummet for its Covid products. PFE reversed roughly $3.5 billion in revenue related to the expected return of 6.5 million doses of its Covid drug, Paxlovid, from the U.S. government. That hit is less than the $4.2 billion Pfizer initially expected. PFE’s Covid vaccine raked in $5.36 billion in revenue for the quarter, down 53% from the same period last year.

  • For Q4, PFE booked a net loss of $3.37 billion, or 60 cents per share.
  • That compares to a net income of $4.99 billion, or 87 cents per share, during the same period a year ago.
  • Analysts had expected the shot to bring in $4.99 billion in sales, according to FactSet estimates.
  • Earnings per share: 10 cents per share adjusted vs. loss of 22 cents expected
  • Revenue: $14.25 billion vs. $14.42 billion expected
  • Pre-open +$0.20 or +0.73%

Welcome to my world of defining the “grey’ in our universe!

  • Right up front, “I also hate to be so negative or contrarian but, this is a NO spin zone and facts are its product; I can always be WRONG but … I am mostly EARLY!”
  • The sector is what it is, until it isn’t and even then, it doesn’t seem to be… as NOT much changes as the sector’s share pricing rides the waves of volatility, algorithms, electronic trading and short covering.

 

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. All investments are subject to risks. Investors should consider investment objectives.

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.  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.

Henry McCusker, the editor and publisher of RegMed Investors could hold or have positions securities referred to in this publication and he will NOTIFY investors of holdings.