November 16, 2016 5:12pm
… There is always a warm-down period as the sector “walked it off” on Tuesday and Wednesday
The iShares Russell 2000 (IWM) indicated a negative pre- open of -0.43% and closed DOWN -0.01% while the iShares NASDAQ Biotechnology (IBB) indicate a pre-open negative of -0.42% and closed DOWN -1.65%.
I answer one question; in which company should investors put, keep and commit their money!
Pre-open indication’s tally: 5 hits (BLUE, CLBS, CLLS, ONCE and XON) and 0 miss
Lose an advantage or be a subscriber! Today’s results have implications to Thursday's sector activity.
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.
I say today what others won't, so you can do what others can't whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.
U.S. stocks closed mixed on Wednesday, with a post-U.S. election rally slowing down as financials dropped more than 1%.
The NASDAQ closed UP +18.96 or +0.36% to 5,294.58 and the DOW closed DOWN -54.51 or -0.29% to 18,868.55.
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 16/26 and 1 flat;
- The mid-day flipped positive with an A/DL of 22/19 and 2 flats;
- The closing bell was negative with A/DL of 13/26 and 4 flats;
Henry’omics:
The stem, cell, gene and regenerative therapy (SCG&RT) sector opened negative, jumped barely positive at the mid-day and closed negative.
- From this morning’s investor’s letter, “where are the upgrades? What are the catalysts and milestones?”
As I had stated, milestones and catalysts are the “secret sauce” of cell therapy valuations - what makes share pricing sense, of course, is another matter!
- The CBOE Volatility Index (VIX), widely considered the best gauge of fear in the market, traded higher, near 13.9.
Reiterating, “Trump won for a reason, no-one listened to the electorate; many management teams will need to “wise-up” and start representing investors.”
Short-term oversold conditions to me … seem to generate just another quest for value which is usually followed by yet another overbought ailment.
At the close …
- Gainers included StemCells (STEM +$0.34), Northwest Bio (NWBO +$0.10), Asterias Biosciences (NYSEMKT: AST +$0.35) and surprisingly Opexa (OPXA +$0.029) contributed the most gains;
- The biggest losers of the session were ImmunoCellular (NYSEMKT: IMUC -$0.0123 or -14.93%), Mesoblast (MESO -$0.49), uniQure (QURE -$0.69 after Tuesday’s -$0.57) and Applied Genetic Technologies (AGTC -$0.75)
The iShares Russell 2000 (IWM) indicated a negative pre- open of -0.43% and closed DOWN -0.02% while the iShares NASDAQ Biotechnology (IBB) indicate a pre-open negative of -0.42% and closed DOWN -0.84%.
Today’s downside swing show just how “soft” pricing was this week to date. The sector had been on a roll post-election – and as I stated … beware!
The downside trend reflects a pricing trend range of:
- Wednesday’s decliners ranged from -0.42% <STML> to -14.93% <IMUC> in 26 equities;
- Tuesday’s decliners ranged from -0.02% <OPXA> to -9.52% <RENE.L> in 27 equities;
- Monday’s decliners ranged from –o.21% <CLLS> to -6.48% <FATE> in 17 equities;
- Friday’s decliners ranged from -0.61% <CYTX> to -10.79% <IMUC> in 10 equities;
- Thursday’s decliners ranged from -0.03% <CAPR> to -8.61% <HSGX> in 11 equities;
- Last Wednesday decliners ranged from -0.53% <CLBS> to -8.35% <FCSC> in 8 equities;
The upside shows a pricing trend range of:
- Wednesday’s gainers ranged from +0.46% <OSIR> to +31.78% <STEM> to in 13 equities;
- Tuesday’s gainers ranged from +0.58% <AXGN> to +11.11% <CLBS> in 13 equities
- Monday’s gainers ranged from +0.59% <ATHX> to +15.62% <CAPR> <> in 23 equities;
- Friday’s gainers ranged from +0.53% <VTGN> to +36.28% <FATE>in 31 equities;
- Thursday’s advancer’s ranged from +0.61% <AXGN> to +46.91% in 30 equities;
- Last Wednesday’s advancers ranged from +1.06% <VTGN> to +29.79% <AGTC> in 34 equities;
Wrap-up: anybody can read a paragraph … review the percentage changes per day in the week of the decliners and advancers. The shifting correlation of the number of equites inclining versus the decliners hasn’t abated!
- Wednesday’s 13 gainers post Tuesday’s 13 followed Monday’s 23 after Friday’s 31 compared to Thursday’s 30 followed last Wednesday’s 34 …
- Wednesday’s 26 decliners followed Tuesday’s 27 decliners post Monday’s 17 compared to Friday’s 10 after Thursday’s 11 as compared to last Wednesday’s 8...
Pre-open indication’s tally: 5 hits (BLUE, CLBS, CLLS, ONCE and XON) and 0 miss
- bluebird bio (BLUE) closed DOWN -$3.975 – hit;
- Caladrius Biosciences (CLBS) closed DOWN -$0.07 – hit;
- Cellectis SA (CLLS) closed UP +$0.96 – hit;
- Intrexon (XON) closed DOWN -$2.18 – hit;
- Spark Therapeutics (ONCE) closed DOWN -$1.36 – hit;
Percentage decliners:
- ImmunoCellular (NYSEMKT: IMUC) -14.93%;
- Mesoblast (MESO) -9.70%;
- uniQure (QURE) -8.93% after Tuesday’s -6.87%;
- Applied Genetic Technologies (AGTC) -7.43%;
- Intrexon (XON) -6.67%
Percentage advancers:
- StemCells (STEM) +31.78%;
- Northwest Bio (NWBO) +22.30%;
- Asterias Biosciences (NYSEMKT: AST) +9.09%;
- Opexa (OPXA) +5.34%;
- Cellectis SA (CLLS) +5.12%;
Flat:
- ReNeuron (RENE.L at $2.375
Review my fear gauge or the CBOE Volatility Index (VIX):
· Wednesday traded near 13.9;
· Tuesday traded near 13.4;
· Monday traded near 14.9;
· Friday traded near 14.17 – a 3.87% decrease;
· Thursday traded near 14.74;
· Last Wednesday traded near 15.6;
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.
