April 17, 2024 7:07pm
Valuations are pretty low, bad news has also been sheared from sector
News: Sage Therapeutics (SAGE-$3.06 or -19.58% to 12.57) as its Parkinson's treatment failed in a mid-stage study; collapsing to a record low. Sage tested dalzanemdor in patients with mild cognitive impairment due to Parkinson's disease. But the drug didn't show any difference from the placebo. All patients showed a 2-point improvement on a scale measuring cognition after 6 weeks.
Pre-open Indicators: 1 Positive and 3 Negative Indicators
A 360-degree review of the who, why, when and what happened in the sector as the market and economics surround your portfolio defense.
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The present and future value of RegMed Investors (RMi) NEWS sheds light on the stem, cell and gene therapy sector’s risks to share pricing and the sector’s upside acrobatics and potential downslides.
I write this blog/newsletter about – facts in evidence!
Wednesday: The Dow closed DOWN -4 points or -0.01%, the S&P closed UP +1.50 points or +0.03% while the Nasdaq closed UP +20.50 points or +0.12%
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 traded near the flatline on Wednesday evening after the S&P 500 and the Nasdaq logged a 4th straight day of losses.
Wednesday’s market pullback adds to a more difficult Q2. All 3 major indexes are lower so far in April, in stark contrast to the stronger-than-expected market performance seen inQ1 . The Dow, S&P 500 and the Nasdaq have also closed below their respective 50-day moving averages.
Economic Data Docket: initial jobless claims data will be due on Thursday morning, and the existing home sales report for March is also out.
All-time Low:
- Verve Therapeutics (VERX) at $6.95
- Intellia Therapeutics (NTLA) at $21.53
- Editas Medicine (EDIT) at $5.79
- Prime Medicine (PRPE) at $5.11
- Sage Therapeutics (SAGE) at $12.96
Wednesday’s RegMed Investors’ (RMi) opening bell: “Start BUYING-in after a 5-session downhill slide. Most sector equities are actionable, while a few need a couple more sessions to begin some gain.” … https://www.regmedinvestors.com/articles/13421
Pre-open Indicators: 1 Positive < Ultragenyx Pharmaceuticals (RARE +$1.80)> and 3 Negative Indicators < Generation Bio (GBIO -$0.15), Alnylam Pharmaceuticals (ALNY -$1.40), Vericel (VCEL -$1.26)
Advance/Decline (A/D) Line:
- Wednesday’s advance/decline line at the open was negative with 20 incliner, 15 decliners and 0 flat; ending with a negative close of 7 incliners, 28 decliners and 0 flat
Ebb and flow of MY covered sector cell and gene therapy session daily “endings”:
Q2/24: 11 negative and 2 positive closes
Q1/24:
- March, 1 holiday, 8 positive and 12 negative closes
- February, 1 holiday, 9 negative and 11 positive closes
- January: 2 holiday, 12 negative and 8 positive closes
Key Metrics:
The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:
- Wednesday, the IBB was down -0.85% and the XBI was down -1.12%
The CBOE Volatility Index (VVIX: INDEX) tracked:
- Wednesday was down -0.19 points or -1.03% at 18.21
Wednesday’s Closing Down (10 of 28):
- Sage Therapeutics (SAGE -$3.06 after Tuesday’s +$0.31),
- CRISPR Therapeutics (CRSP -$2.40 after Tuesday’s -$0.76 and Monday’s -$1.95)
- Alnylam Pharmaceuticals (ALNY -$1.40 after Tuesday’s -$0.98 and Monday’s -$0.80),
- Beam Therapeutics (BEAM -$1.39 and Tuesday’s $0.00),
- Vericel (VCEL -$1.26 after Tuesday’s -$1.18 and Monday’s -$0.82),
- Agenus (AGEN -$0.90),
- BioLife Solutions (BLFS -$0.86 after Tuesday’s +$0.32 and Monday’s -$0.82),
- Ionis Therapeutics (IONS -$0.63),
- Regenxbio (RGNX -$0.47 after Tuesday’s -$0.52),
- Verve Therapeutics (VERVE -$0.40)
Wednesday’s Closing Up (7 of 7):
- Blueprint Medicine (BPMC +$2.29 after Tuesday’s +$0.91 after Monday’s -$2.07),
- Ultragenyx Pharmaceuticals (RARE +$1.80 after Tuesday’s -$0.56 after Monday’s -$4.13),
- Mesoblast (MESO +$0.32 after Tuesday’s -$0.48),
- Solid Biosciences (SLDB +$0.17),
- MiMedx (MDXG +$0.10),
- Brainstorm Cell therapeutics (BCLI +$0.0137),
- Homology Medicine (FIXX +$0.0071 after Tuesday’s +$0.0071 after Monday’s +$0.0071),
Q2/24 – April
- Wednesday closed negative with 7 incliners, 26 decliners and 0 flat
The BOTTOM LINE: This market trend is Not our friend ...
Cell and gene therapy sector equities have sold off … 6 sessions in a row and 11 to date this month of April!
- Last week, I wrote that I favor … caution over the next few weeks! Wednesday … proved me true, yet again, again, again and again!
The top three (3) performing in the session:
- Wednesday: Blueprint Medicine (BPMC), Ultragenyx Pharmaceuticals (RARE) and Mesoblast (MESO)
- Tuesday: Blueprint Medicine (BPMC), BioLife Solutions (BLFS) and Sage Therapeutics (SAGE)
- Monday: Ultragenyx Pharmaceuticals (RARE), Blueprint Medicine (BPMC) and CRISPR Therapeutics (CRSP)
The worst three (3) in the session:
- Wednesday:
- Tuesday: Vericel (VCEL), Intellia Therapeutics (NTLA) and Alnylam Pharmaceuticals (ALNY)
- Monday: Vericel (VCEL), Sangamo Therapeutics (SGMO) and Homology Medicine (FIXX)
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!”
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.
