July 22, 2016 4:49pm
… “A time to get, a time to lose; a time to keep, and a time to cast away”
The Biblical text posits there being a time and place for all things
… Are investors willing to wait?
My pre-open indications – 3 hit (BLFS, BSTG and CLLS) and 1 miss (ADRO)
I answer one question; in which company should investors put, keep and commit their money!
Do you care what happened today, you should … because it has implications to Monday's sector activity? Where has today’s market gone – subscribe and find out.
There are two things that investors need - interpretation of news and translation of market metrics concerning the stem, cell, gene and regenerative therapy sector to substantiate share pricing.
U.S. stocks closed higher for the fourth straight week Friday, with the S&P hitting a new record high, as investors waded through mixed earnings and an upbeat U.S. manufacturing report.
The NASDAQ closed UP +26.26 or +0.52% to 5,100.16 and the DOW closed UP +52.67 or -0.28% to 18,569.90.
A day in the life of the stem, cell, gene and regenerative therapy (SCGT & RT) sector – the advance/decline line scenario of our 43 covered companies:
- The open was negative with an A/DL of 18/22 and 3 flats;
- The mid-day flipped positive with an A/DL of 22/18 and 4 flats;
- The closing bell was positive with A/DL of 22/18 and 3 flats;
Henry’omics:
The stem, cell, gene and regenerative therapy (SCGT&RT) sector opened negative, slipped positive at the mid-day and closed positive.
- What change does a summer Friday show; here lays the volatility as seen in trading ranges.
The real question as to trading ranges is … do investors really care about valuation? NO, they are based on illusionary models.
- While spending increases and negative share pricing growth is the norm.
What makes investors come back for more punishment as traders, ETFs and algorithms RULE the pricing!
- Some investors might be willing to pay-up … but, looking out 6 to 12 months at many price targets; they should know – they’re about to be “screwed” by the elements of dilution and discounts as many sector participants need to raise money to “keep the lights on”.
Investors who are considering buying today NEED to be willing to wait - Q2 results may NOT be good!
Review my fear gauge or the CBOE Volatility Index (VIX):
- Friday traded near 12.17;
- Thursday traded near 12.73;
- Wednesday traded near 11.72;
- Tuesday near 12.6;
- Monday traded near 12.4;
- Last, Friday closed near 13;
Today’s Bottom Line:
The sector’s daily rotation is getting monotonous.
My pre-open indications – 3 hits and 1 miss:
- Aduro Biotech (ADRO) closed UP +$0.32 – miss;
- Biostage (BSTG) closed DOWN -$0.01 – hit;
- BioLife Solutions (BLFS) closed UP +$0.04 – hit;
- Cellectis SA (CLLS) closed UP +$0.07 – hit;
Largest decliners:
- Fibrocell (FCSC) -4.46% after Thursday’s +5.66% after Wednesday’s -7.02% post Tuesday’s -6.56%;
- Capricor (CAPR) -4%;
- Northwest Bio (NWBO) -3.05%;
- VistaGen (VTGN) 2.77% post Thursday’s -4.22% after Wednesday’s +7.23% and Tuesday’s -5.39%;
- uniQure (QURE) -2.71%
Advancers:
- Adverum (ADVM) +5.90%;
- Asterias Biosciences (NYSEMKT: AST) +2.42%;
- Aduro Biotech (ADRO) +2.41%;
- BioTime (NYSEMKT: BTX) +2.22%;
- Fate Therapeutics (FATE) +2.10%
Flat:
- Histogenics (HSGX) at $1.90;
- International Stem Cell (ISCO) at $1.945;
- ReNeuron (RENE.L) at $3.00;
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.
