June 1, 2021 5:04pm

As Nasdaq got whipped on weakness as the June initiates summer doldrums?

Pre-open indications: 4 HITs and 5 MISS

My comments are important in trying to distinguish the temporary from real pricing digression or progress.

If you’re looking for sector intel, ideas and facts or numbers (which don’t lie) in a volatile climate, RMi defines the rigors of share pricing! My comments distinguish the temporary from real pricing digression or progress.

Subscription is coming, it’s not conscription but, an offer to join our collective of like-minded investors!  


The Dow closed UP +45.86 points (+0.13%); the S&P closed DOWN -2.07 points (-0.05%) while the Nasdaq closed DOWN -12.26 points (-0.09%)

 

Henry’omics:

The stock market was closed Monday for Memorial Day …

Then on Tuesday, the Dow added 0.13%, the S&P 500 traded down -0.05% while the Nasdaq “flipped the bird” to the upside -0.09% down trend.

Reviewing the month of May, last week, there were 3 negative sector closes of five sessions (beginning 5/24) after the previous week’s) beginning 5/17) two negative closes of five sessions following the mid-month (5/10) four negative closes of five sessions as Monday began the month (5/3) with a negative close.

Not a good track record as the sector barely closed positive.

 

RegMed Investors’ (RMi) pre-open: “new month, the only change is the date as Q2 whittles it way down”https://www.regmedinvestors.com/articles/11935

 

RegMed/Stem/Cell and Gene therapy’s 35 covered equities’ Advance/Decline (A/D) lines:

  • Tuesday opened positive at 18/15, 1 flat and 1 acquired, strayed neutral by the mid-day to 16/16, 2 flats and 1 acquired, closing positive at 17/16, 1 flat and 1 acquired;

 

The Biostage (BSTG) Chronicles: WHO is buying this “zombie” stock, +$0.10 to $1.22 with 2216 shares traded in a company with NO runway, a filed IND - no clinical trial after a year plus (+), an auditor (RSM US LLP “ceasing the client-auditor relationship”, a Beijing based board of directors (BOD) majority, barely ANY employees left in 17,000 square feet of office – WHAT’s the allure and again, WHO is buying – SEC, Mass Secretary of State – enforcement division where are you in regulatory review?

  • BSTG was up +$0.10 to $1.22 with 2,216 shares traded after Friday’s -$0.20 to $1.12 with 600 shares traded, Thursday’s flat at $1.32 after Wednesday’s $1.32 after it had been down -$0.21 to $1.11 with 5,605 shares traded until the “promote and pump” kicked-in with shares bought to move it to -$0.00 with 5,617 shares trade.

 

Pre-open Indications: 4 HITs <Alnylam Pharmaceuticals (ALNY +$2.29), Cellectis SA (CLLS +$0.68), Sage Therapeutics (SAGE +$0.37), Editas Medicine (EDIT +$0.27)> and 5 MISS <Biostage (BSTG +$0.10), bluebird bio (BLUE -$0.01), Precigen (PGEN +$0.02), CRISPR Therapeutics (CRSP -$2.38), Ionis Pharmaceuticals (IONS -$0.51),

 

RegMed/Cell and Gene Therapy Earnings Scorecard Q1/21 LPS Results … to date: https://www.regmedinvestors.com/articles/11628

 

There are clear winners and losers

Jumping with share pricing momentum:

  • Alnylam Pharmaceuticals (ALNY) on news, Cellectis SA (CLLS), Regenxbio (RGNX), Sage Therapeutics (SAGE), Chinook Therapeutics (KDNY) to name 5 of the 17 inclining of the 35 covered

Hammered in today’s market:

  • Fate Therapeutics (FATE), CRISPR Therapeutics (CRSP), Ultragenyx (RARE), Global Blood Therapeutics (GBT), Intellia Therapeutics (NTLA) to name 5 of the 16 declining of the 35 covered

 

Key metrics:

  • Sector volume was LOW with 3 of the 17-upside having higher than the 3-month average volume with the volume of 1 of 16-downside having higher than the 3-month average volume;
  • Monday’s percentage (%) of the 17-upside were +0.28% (BCLI) to +8.93% (BSTG) while the 16-downside ranges from -0.02% (VCEL) to -5.40% (FATE);

 

Tuesday’s (10 of 17) incliners:

  • Alnylam Pharmaceuticals (ALNY +$2.29);
  • Cellectis SA (CLLS +$0.68);
  • Regenxbio (RGNX +$0.48);
  • Sage Therapeutics (SAGE +$0.37);
  • Chinook Therapeutics (KDNY +$0.29);
  • Editas Medicine (EDIT +$0.27);
  • Applied Genetic Technologies (AGTC +$0.20);
  • Pluristem (PSTI +$0.14);
  • MiMedx (MDXG +$0.11);
  • Biostage (BSTG +$0.10);
  • Verastem (VSTM +$0.08);

Monday’s (10 of 16) decliners:

  • Fate Therapeutics (FATE -$4.14); 
  • CRISPR Therapeutics (CRSP -$2.38);
  • Ultragenyx (RARE -$1.88);
  • Global Blood Therapeutics (GBT -$1.23);
  • Intellia Therapeutics (NTLA -$1.21);
  • BioLife Solutions (BLFS -$1.04);
  • AxoGen (AXGN -$0.54);
  • Ionis Pharmaceuticals (IONS -$0.51);
  • Mesoblast (MESO -$0.34);
  • uniQure NV (QURE -$0.17);

Closing 1- ReNeuron (RENE.L) and 1 - Stemline Therapeutics (STML – acquired)

 

COVID-19 updates:

  • Prior to the Memorial Day holiday weekend, U.S. case counts had been trending downward for weeks.

Tuesday’s COVID Data Tracker <Million>:

  • Cases: 34.1 M
  • Death rate totaled 610,008
  • 62.8% of the U.S. population has received one dose or more.

 

Stats:

The iShares NASDAQ Biotechnology (IBB) and the SPDR S&P ETF (XBI) indicators:

  • Tuesday, the IBB closed down -0.69% and XBI closed down -1.29%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Tuesday was up +1.14 points or +6.80% at 17.90

Upside volume: low

  • Tuesday: 3 out of the 17-upside had higher than the 3-month average volume;

Downside volume: low

  • Tuesday: 1 out of the 16-downside had higher than the 3-month average volume;

Percentage (%) movement/range statistics: LOW % with limited pricing drops as upside maintains

  • Tuesday’s percentage (%) of the 17-upside were +0.28% (BCLI) to +8.93% (BSTG) while the 16-downside ranges from -0.02% (VCEL) to -5.40% (FATE);

 

June, third month of Q2/21:

Tuesday closed positive with 17 advancers, 16 decliners, 1 flat and 1 acquired

 

The BOTTOM LINE: I haven’t been wrong, as I had stated “Expect the sector rotation trades to continue to play out.”

Q1 earnings season is wrapping up and my reaction to earnings LPS (loss-per-share) results reveals more than some skepticism that Q1 losses provide a reason for additional forward-looking less than optimistic and more pessimism through the mid-year.”

I’m STILL a “beware or the cautious man” whose focus has always been “warning analysis” … earnings’ season is NOT over … my advice, trim and skim any new highs if one can!”

My time frame of measurement remains Friday to Friday and has been proved right again, don’t get complacent …

 

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.