April 23, 2024 4:39pm

As indexes take a bullish tone ahead of key economic data and the beginning of sector earnings’ season

A 360-degree review of the who, why, when and what happened in the sector as the market and economics surround your portfolio’s defense or offence.

Last week, I wrote that I favor … caution over the next few weeks!  Sticking to MY position.

Never leave an investor uninformed! A trusted source of factual reporting!

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! 

 

Tuesday: The Dow closed UP +263.71 points or +0.69%, the S&P closed UP +59.95 points or +1.20% while the Nasdaq closed UP +245.34 points or +1.59%

 

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 on Tuesday as earnings’ season ramped-up while electronic trading and algorithms with investors propelled gains from the Monday’s session.

Economic Data Docket: The S&P Global Flash U.S. Composite PMI showed a 49.9 reading for manufacturing, down from 51.9 in February and the lowest reading in four months. On the services side, the index came in at 50.9, compared to 51 the prior month. Economists surveyed by Dow Jones had been looking for 52 readings on both measures.

  • Sales of single-family homes totaled 693,000 for the month, considerably higher than the downwardly revised 637,000 in February and better than the 669,000 estimate from Dow Jones. With the lower February total, the 8.8% gain in March was much higher than the 1.1% forecast.
  • The Philadelphia semiconductor index rose for the second straight session on the stock market today. The index erased some of the sharp losses it incurred last week.

 

Tuesday’s RegMed Investors’ (RMi) opening bell: “finding our way. Another weak aftermarket/pre-open after Monday’s close; “it’s always darkest before it goes pitch black.” Q1/24 earnings season begins this week, alongside the March reading of the Personal Consumption Expenditures index (on Thursday) and the Fed's preferred inflation gauge (on Friday)” …  https://www.regmedinvestors.com/articles/13429

 

Advance/Decline (A/D) Line:

  • Tuesday’s advance/decline line at the open was positive with 30 incliner, 4 decliners and 1 flat; ending with a positive close of 23 incliners, 11 decliners and 1 flat
  • Monday’s advance/decline line at the open was negative with 12 incliner, 21 decliners and 2 flats; ending with a positive close of 26 incliners, 6 decliners and 3 flats

 

Ebb and flow of MY covered sector cell and gene therapy session daily “endings”:

Q2/24: 13 negative and 4 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:

  • Tuesday, the IBB was up +1.51% and the XBI was up +1.10%
  • Monday, the IBB was up +1.11% and the XBI was up +1.16%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Tuesday was down -1.19 point or -7.03% at 15.75
  • Monday was down -1.78 point or -9.51% at 16.93

 

Tuesday’s Closing Down (11 of 11):

  • Beam Therapeutics (BEAM -$0.66),
  • Adverum Biotechnologies (ADVM -$0.34),
  • Fate Therapeutics (FATE -$0.235 after Monday’s $0.00),
  • Intellia Therapeutics (NTLA -$0.23),
  • Editas Medicine (EDIT -$0.14),
  • Graphite Bio (GBIO -$0.09 after Monday’s -$0.09),
  • uniQure NV (QURE -$0.045),
  • Cellectis SA (CLLS -$0.02),
  • Caribou Biosciences (CRBU -$0.01)
  • Brainstorm Cell Therapeutics (BCLI -$0.015),
  • Bellicum Pharmaceuticals (BLCM -$0.0054 after Monday’s -$0.0054),

Flat (1):

  • Harvard Apparatus RT (OTCQB: HRGN Tuesday and Monday)

Tuesday’s Closing Up (10 of 23):

  • Alnylam Pharmaceuticals (ALNY +$0.28 after Monday’s +$1.38),
  • Blueprint Medicine (BPMC +$1.68 after Monday’s +$3.76)
  • Ultragenyx Pharmaceuticals (RARE +$1.42 after Monday’s +$1.32),
  • Vericel (VCEL +$1.04 after Monday’s +$1.64),
  • Agenus (AGEN +$0.69 after Monday’s +$0.46),
  • Ionis Pharmaceuticals (IONS +$0.77 after Monday’s +$0.39),
  • CRISPR Therapeutics (CRSP +$0.75 after Monday’s +$0.61),
  • Mesoblast (MESO +$0.47),
  • Generation Bio (GBIO +$0.45 after Monday’s -$0.05),
  • Regenxbio (RGNX +$0.26)

 

Q2/24 – April:

  • Tuesday closed positive with 23 incliners, 11 decliners and 1 flat
  • (4/22) Monday closed positive with 26 incliners, 6 decliners and 3 flats

 

The BOTTOM LINE:  CAUTION … take it if you can get it!

On the docket this week would be the price consumption expenditure (PCE) index reading for March - the Fed's preferred inflation gauge - to further ascertain the monetary policy trajectory.

  • Q1/24 GDP results and the Personal Income and Outlays for March; both are considered vital data points for the Fed. Economists expect the inflation index to rise slightly to 2.6% after February's 2.5% gain on an annual basis.

Q1/24 Reporting Season, it’s all about LPS (loss-per-share), cash positions and runways:

  • Sage Therapeutics (SAGE) on 4/25;
  • MiMedx (MDXG) on 4/30,
  • Alnylam Pharmaceuticals (ALNY),
  • AxoGen (AXGN)
  • Blueprint Medicine (BPMC) on Thursday, 5/2;
  • Ionis Pharmaceuticals (IONS) and Agenus (AGEN) on Tuesday, 5/7

 

Reiterating:  Is Agenus (AGEN preparing for an offering … $300 common stock, preferred stock, warrants and debt securities … Shelf Filing … Post Effective Amendment … reasoning for the Share Reverse?

https://d18rn0p25nwr6d.cloudfront.net/CIK-0001098972/2aeed437-11b5-4133-be70-d8c22ec43843.pdf

  • A sales agreement prospectus supplement that covers the potential offering, issuance and sale from time to time of up to 134,512,851 shares of Agenus’ common stock pursuant to a sales agreement with B. Riley Securities, Inc. (formerly B. Riley FBR, Inc.).
  • The base prospectus immediately follows this explanatory note. The sales agreement prospectus supplement immediately follows the base prospectus. Upon termination of the sales agreement with B. Riley Securities, Inc., any amounts included in the sales agreement prospectus supplement that remain unsold will be available for sale in other offerings pursuant to the base prospectus, and if no shares are sold under the sales agreement, the full amount of this registration statement may be sold in other offerings pursuant to the base prospectus and a corresponding prospectus supplement.

Agenus (AGEN) shares jumped 4/23 +$0.69 after 4/22's +$0.39 or +7.34 to $5.70 after Friday’s $5.31 (+$0.34 or +6.8%) after Thursday’s $4.97 (-$0.43). This move can be attributable to notable volume with a higher number of shares being traded than in a typical session.

  • 4/12, a stock reverse of 1/20 split
  • Notice how AGEN is pushing its earnings release much earlier than is has in past!

 

The top three (3) performing in the session:  

  • Tuesday: Blueprint Medicine (BPMC), Ultragenyx Pharmaceuticals (RARE) and Vericel (VCEL)
  • Monday: Blueprint Medicine (BPMC), Alnylam Pharmaceuticals (ALNY) and Vericel (VCEL)

The worst three (3) in the session:

  • Tuesday: Beam Therapeutics (BEAM), Fate Therapeutics (FATE) and Intellia Therapeutics (NTLA)
  • Monday: Sage Therapeutics (SAGE), Graphite BIO (GBIO) and bluebird bio (BLUE)

 

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.