RegMed Investors’ (RMi) closing bell, what news as the sector stays up …

June 26, 2017 5:56pm

Continuing with some solid moves

While volume, on the whole is lower …

Pre-open indications re-cap: 1 hit and 5 miss, even I get flummoxed by this market

As the VIX drops -1.90%, IBB -0.32%, XBI -0.27% and the XLV -0.11% yet the IWM rose +0.12%

Out and about:  

Osiris (Pink Sheets: OSIR) jumps on its newest CEO being named, could the issues of the past illegalities be coming to a close?  Their reputation is still in tatters

bluebird bio (BLUE) proposes $350 M share offering. BLUE closed down -$0.90 or -0.80% to $111.10 and is DOWN -$2.29 or -2.07% in the aftermarket

I answer one question, in which company should investors commit and keep their money.

Monday’s results have implications to Tuesday's sector activity.  

A daily report may say little or a lot and its final judgement may be inconclusive; yet it serves as insurance that all indications are being examined and evaluated.

The advance/decline line scenario of 43 SCGT & RT covered companies:   

·         The open was negative with an A/DL of 17/22 and 4 flats;

·         The mid-day was positive with an A/DL of 26/15 and 1 flat;

·         The close was positive with an A/DL of 26/15 and 2 flats;

Pre-open indications re-cap:  1 hit and 5 miss

• Athersys (ATHX) closed up +$0.02 – miss;
• bluebird bio (BLUE) closed down -$0.90 – miss <offering>;
• Juno Therapeutics (JUNO) closed up +$0.70 – hit;
• Kite Pharma (KITE) closed down -$0.23 – miss;
• Regenxbio (RGNX) closed up +$0.90 – miss;
• Sangamo Therapeutics (SGMO) closed UP +$0.05 – miss;

Henry’omics:

From the pre-open’s investor’s newsletter … “shovel ready … which way is which … does one throw the dug? The upbeat mood pre-market comes after stocks finished mostly higher on Friday.”

• Reiterating, “The indexes are still projected up:  XLV at +0.17%, the IWM +0.33%, the XBI +0.39% and the IBB seeing stars at +0.69%.”

Many investors are playing with and through the cell therapy sector hoping for more share pricing growth believing clinical trials are fertile grounds for increasing share values.

Cell therapy stock markets are more volatile than biotechs – there is more history of success or exits, making it easier to find stocks that are cheap relative to their cash needs.

With sector feelin’ the high, get ready for some more offerings – SGMO last week, BLUE in an overnight and a few more … as the window is open … for how long?

Out and about:

Osiris (OSIR) jumps on new CEO, could the issues of the past illegalities be coming to a close, their reputation is still in tatters …

• Ms. Linda Palczuk, age 55, to serve as President and CEO, effective July 10, 2017. She will stand for election to the Board of Directors at the next shareholder meeting.  Ms. Palczuk had an extensive and successful 30 year career with AstraZeneca Pharmaceuticals and its legacy companies, serving in senior level commercial and general management roles, including Vice President, Mature Brands and Vice President Global Commercial Excellence, Vice President Sales & Marketing, and Vice President Sales.  Afterward Ms. Palczuk was an independent consultant providing business expertise within the pharmaceutical sector.

• A lot of lawyers need to be paid until the company can return to its prominence and FULL NASDAQ listing!

OSIR closed UP +$0.285 to $6.18 with 98.1 shares traded <3 month average volume = 59.46 K> …

bluebird bio (BLUE) proposes $350 M share offering

·         BLUE closed down -$0.90 or -0.80% to $111.10 and is DOWN -$2.29 or -2.07% in the aftermarket, so far …

·         bluebird bio (BLUE), has commenced an underwritten public offering of $350 million of its common stock.

·         BLUE also intends to grant the underwriters a 30-day option to purchase up to an additional fifteen percent (15%) of the shares of common stock offered in the public offering.

·         Goldman Sachs & Co. LLC, BofA Merrill Lynch and Cowen are acting as joint book-running managers of the proposed offering.

The Bottom Line: $100 a share for 35 M shares?

Daily analytics:

U.S. equities closed on Monday … with the DOW closing UP +0.07% (+14.79) as the NASDAQ closed DOWN -0.29% (-18.10) …

… The CBOE Volatility Index (VIX) widely considered the best gauge of fear in the market, near 9.7, breaking below 10 for the first time since June 9.

·Friday traded near 10.02 … down -4.39% after Thursday’s near 10.5 … Wednesday traded near 10.75 – DOWN -1.01%, Tuesday’s  near 10.86% - UP +4.73% after Monday traded 10.24 down -1.35%

Welcome to another day of the sector’s roller coaster …

… The iShares Russell 2000 (IWM) indicated a close of:

·         Monday traded UP +0.12%

·         Friday+0.66%

·         Thursday +0.38%

·         Wednesday -0.25%

·         Tuesday -1.01%

·         Last Monday+0.74%

… The iShares NASDAQ Biotechnology (IBB) indicated a close of:

·         Monday traded DOWN -0.32%

·         Friday+0.20%

·         Thursday +1.27%

·         Wednesday +4.12%

·         Tuesday +1.27%

·         Last Monday +2.41%

The count - decliners versus gainers:

……. look at the differences in the spreads as decliners jump and %’s migrate……….

·         Monday’s decliners ranged from -0.23% <KITE> to -3.93% <NWBO> in  15  equities;

·         Friday’s decliners ranged from -0.31% <FATE> to -11.36% <BSTG> in  14  equities;

·         Thursday’s decliners ranged from -0.38% <MDXG> to -5.95% <ATHX> in  12  equities;

·         Wednesday’s decliners ranged from -0.13% <OSIR> to -4.23% <VTGN> in  13 equities;

·         Tuesday’s decliners ranged from -0.16% <BLCM> to -7.32% <BSTG> in  21 equities;

·         Last Monday’s decliners ranged from -0.47% <ADRO> to -8.33% <ISCO> in  7 equities;

Versus

………… look at the percentage’s (%) and their decreases …….

·         Monday’s gainers ranged from +0.08%  <XON> to +10.41% <CAPR> in 26 equities;

·         Friday’s gainers ranged from +0.28%  <XON> to +7.49% <JUNO> in 24 equities;

·         Thursday’s gainers ranged from +0.31%  <FATE> to +14.74% <NWBO> in 27 equities;

·         Wednesday’s gainers ranged from +0.38%  <ONVO> to +12% <ATHX> in 27 equities;

·         Tuesday’s gainers ranged from +0.31%  <BLUE> to +8.61% <NWBO> in 20 equities;

·         Last Monday’s gainers ranged from +0.20%  <QURE> to +13.92% <FCSC> in 35 equities;

Some of MY working trend lines or indications for Tuesday:

… The greatest volume to the downside:  NWBO, KITE, MDXG, BLUE and ONVO

… Upside volume was weighted to:  JUNO, CYTX, SGMO,

… Biggest $ downside:  BLUE, ONCE, MDXG, AXGN and KITE

… Largest $ upside: RGNX, JUNO, CUR, STML and CLLS                 

… Flat: ADVM and BCLI

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.