January 10, 2017 7:50am
I’d be watching the cash position and NOT paying the rates to "meet-up with the usual suspects" in SF for many companies, it’s just another kumbaya!
I answer one question; in which company should investors put, keep and commit their money!
Who is in today’s headlights – four (4) equities, are they a BUY or a SELL?
Miss me, it’s time to become a 2017 subscriber – free reads are over!
I write in every line that investors need to avoid risks as if I were the first to be hurt if I am wrong!
I am right more often than not and investors have always been able to count on ME for return on investment (ROI); start thinking return on speculation (ROS)!
BUY: KITE and PSTI
SELL: BSTG, CLBS
Indexes and ETFs: The IWM (+0.01%), IBB (+0.57%) are UP; while the XLV and XBI are NOT indicating
Dow futures are DOWN -0.01% and NASDAQ futures are UP +0.06%
U.S. stock index futures pointed to a mixed open on Tuesday morning as traders geared up for the start of earnings season and eyed economic data.
Europe markets were slightly higher in mid-morning trade, with the U.K.'s FTSE 100 leading the gains, as investors reacted to fresh data from China and volatility in currency markets.
Asian markets were under pressure, as investor sentiment soured after the Dow retreated further from the 20,000 mark and oil prices plunged as much as 4% overnight.
Data docket: the NFIB's small business survey results for December showed sentiment soaring to a 12-year high. Wholesale trade and job openings and labor turnover survey (JOLTS) for November are slated for release at 10 a.m. ET.
The stem, cell, gene and regenerative therapy (SCG&RT) sector closed POSITIVE on Monday, NEGATIVE on Friday and Thursday, POSITIVE on Wednesday and last Tuesday.
The SCG&RT sector’s record after the last 5 days (of 43 covered companies):
· Monday closed POSITIVE with 10 decliners, 29 advancers and 4 flats;
· Friday closed NEGATIVE with 23 decliners, 17 advancers and 3 flats;
· Thursday closed NEGATIVE with 25 decliners, 15 advancers and 3 flats;
· Wednesday closed POSITIVE with 6 decliners, 34 advancers and 3 flats;
· Last Tuesday closed POSITIVE with 12 decliners, 30 advancers and 1 flat;
Remembering Monday’s closing bell newsletter, “This is conference week that sets the tone of 2017 or does it? There are a lot of angry investors out there fueled by “some” management’s lack of meeting expectation if they had been set at all. Bottom line, the issue is share pricing sustainability which will be the KEY WORDS for 2017!”
- As I had stated, “the sector is NOT focused on accountability ... which explains much of the uncertainty!”
Starting yesterday, the JPMorgan annual healthcare conference is more than one conference at the Westin St. Francis; the Biotech Showcase sets up at the Hilton San Francisco Union Square; and the OneMedForum across Post Street from the St. Francis.
Add in the StartUp Health Festival on Montgomery Street and other conferences for those not invited conferences.
So, how many of the stem, cell, gene and regenerative therapy companies (SCG&RT) companies are presenting at JPM:
· Stemline (STML) bluebird bio (BLUE) Cellectis SA (CLLS), Juno Therapeutics (JUNO), Spark Therapeutics (ONCE) and Celgene (CLGN)
And why, a simple answer – share pricing.
Most are presenting at Biotech Showcase:
· Monday Biostage (BSTG), Brainstorm (BCLI), Cesca Therapeutics (KOOL) and ReNeuron (RENE.L)
· Tuesday’s agenda: Cytori (CYTX), TiGenix (TNG) and VistaGen (VTGN)
Y
ou’ve made it to the office, turned on the monitor, having just gotten your coffee and it hits you - what could be today’s trades?
Watch list:
· The iShares Nasdaq Biotechnology (IBB) closed Monday up +1.16% and is UP +0.57% in Tuesday’s pre-market;
· The SPDR S&P Biotech ETF (XBI) closed Monday up +3.17% and is UP +0.21% in Tuesday’s after-market;
· The Health Care Select Sector SPDR ETF (XLV) closed up +0.42% Monday and is UP +0.21% in Tuesday’s pre-market;
· The iShares Russell 2000 (IWM) closed down -0.66% on Monday and is DOWN -0.03% in Tuesday’s pre-market
Companies in my headlights – short, sweet and some sour:
Biostage (BSTG) closed UP +$0.03 to $0.91. After a week of pricing instabilities, Friday’s $0.88, Thursday’s $0.85, Wednesday’s $0.86 and Tuesday’s $0.87 – what is driving the pricing up after announcing an $8 M offering by Rodman Renshaw – SELL;
Caladrius Biosciences (CLBS0 closed UP +$0.26 to $3.54 following Friday’s $3.28 (-$0.05). A private placement investor stiffs company for $6 M – wonder why? $6 million from a single investor in a targeted to be received in Q4/16 has yet to be received. Wonder WHY? CLBS is worth, in my view: $2.75 - $2.85 – Maintaining SELL;
Kite Pharma (KITE) closed UP another +$0.75 to $51.99 after Friday’s $51.24 (+$1.56) following Thursday’s $49.88 (+$0.70), Wednesday’s $48.98 (+$3.03) after last Tuesday’s $45.95 (+$1.11). KITE partnered with Daiichi Sankyo Co Ltd to develop and commercialize its cancer treatment therapy in Japan to receive up to $250 M in payments. KITE will also receive low to mid double-digit sales royalties. Of the $250 M, KITE would receive $50 M as upfront payment. The aftermarket indication is +$0.51– Sell to BUY;
Pluristem (PSTI) closed DOWN -$0.03 to $1.47. Some positive news, PSTI’s P3 study of PLX-PAD cells for the treatment of Critical Limb Ischemia cleared by U.S. FDA. Pluristem’s strategy is to use this single multinational Phase III study to support the submission of a biologics license application (BLA) to the FDA for marketing approval. Pluristem expects to begin enrolling patients in its P3 study in both the U.S. and Europe during the first half of 2017. I wouldn’t be so bold in defining the proof of the BLA being approved – BUY;
Whether information or intelligence is good, bad or somewhere in between; I put into context what is relevant and useful for investors.
Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions in securities referred to in this publication.
Henry’s comments are for informational purposes only and are not a substitute for personalized advice. Consult your advisor about what is best for you.
