September 2, 2021 5:40pm

The Biostage (BSTG) Chronicles: WHY hasn’t the SEC looked into this share pricing activity – Is this another Theranos – faking it to not make it?  <red more)

Pre-open indications: 5 HITs and 1 MISS

My comments try to distinguish the temporary from real pricing digression or progress with a 360-degree view.

 

The Dow closed UP +131.29 points (+0.37%); the S&P closed UP + 12.86 points (+0.28%) while the Nasdaq closed UP +21.80 points (+0.14%)

 

Henry’omics:

The Dow moved slightly higher in today's stock market, but pared gains, the S&P 500 showed modest gains while both notching an all-time high.

The Nasdaq climbed (+01%) to a new record on Thursday after weekly U.S. jobless claims reached their lowest level since the start of the Covid crisis.

The Nasdaq is entering September with a gain of 19% year to date.

 

Data Docket: First-time claims for unemployment insurance totaled 340,000 for the week ended Aug. 28, versus an estimate of 345,000. The number is also the lowest since March 2020.

 

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

  • Thursday opened positive at 27/7 and 1 acquired, stayed positive at the mid-day at 24/9, 1 flat and 1 acquired, ending with a positive close of 27/5, 2 flats and 1 acquired;

 

RegMed Investors’ (RMi) pre-open: “low volume sets the pace of the upside” …  https://www.regmedinvestors.com/articles/12077

 

The Biostage (BSTG) Chronicles: “Facts from filed 10-Q” … still a few to report … https://www.regmedinvestors.com/articles/12055

 

Q2/21 Earnings releases … https://www.regmedinvestors.com/articles/11542  … to date:

  • Net Income: 3 and Net losses: 23

 

Key Metrics:

  • Sector volume was LOW with 9 of the 27-upside having higher than the 3-month average volume with very LOW volume of 2 of 5-downside having higher than the 3-month average volume;
  • Thursday’s percentage (%) of the 27-upside were +0.16% (PGEN) to +9.42% (EDIT) while the 5-downside -0.28% (BCLI) to -7.67% (BLFS);

 

The Biostage (BSTG) Chronicles: Thursday closed up +$0.11 with 14,939 shares traded after Wednesday traded 22,299 shares (-$0.36 to $3.00) after Tuesday traded 11,564 shares traded (-$0.44 to $3.36), Monday’s 25,607 shares traded (+$0.75 to $3.80), Friday traded 13,942 (+$0.47 to $3.07), Thursday traded 3,137 shares, last Wednesday traded 18,472 shares traded (+$0.16 to $2.21), the previous Tuesday closed up +$0.28 with 10,590 shares trade and following last Monday’s +$0.68 with 38,354 shares traded following the previous Friday’s -$0.07 with 570 shares traded.

Questions to consider:

  • Today is just another fact, how the share trades with the “push/promote” - another typical example,
  • WHAT is BSTG’s value proposition, after all the share price pumping?
  • What’s the end game of the “pumping” buys of stock in a company with NO clinical trial after an approved IND for 1.5 years and only three (3) or was it four (4) employees left in a 17,00 sq. foot lab? <Questions to consider – read more>
  • WHAT is the end game of “pumping” the share price as the float is MINIMAL compared to the ever-OUTSTANDING shares?
  • WHERE is the SEC?
  • Does the SEC [Securities and Exchange Commission] have a term for this – could it be said, it’s an affinity fraud?
  • Affinity scams often involve “Ponzi” or pyramid schemes where new investor money is used to pay earlier investors, making it appear as if the investment is successful and legitimate.

 

Pre-open Indications: 5 HITs < SELL into Strength: Intellia Therapeutics (NTLA +$9.97), CRISPR Therapeutics (CRSP +$0.71), Editas Medicine (EDIT +$6.28); BUY: Mesoblast (MESO +$0.08); SELL:  BioLife Solutions (BLFS -$4.64)> 1 MISS < Biostage (BSTG +$0.11)>

 

There are clear winners and losers

Jumping with share pricing momentum:

  • Intellia Therapeutics (NTLA) – another again, Alnylam Pharmaceuticals (ALNY), Editas Medicine (EDIT) – another again, Vericel (VCEL), Ultragenyx (RARE) to name 5 of the 27 inclining of the 35 covered

Hammered in today’s market:

  • BioLife Solutions (BLFS), Fate Therapeutics (FATE), Bellicum Pharmaceuticals (BLCM), MiMedx (MDXG), Pluristem (PSTI) to name 5 of the 5 declining of the 35 covered

 

Thursday’s (10 of 27) incliners:

  • Intellia Therapeutics (NTLA +$9.47 after Wednesday’s +$3.51, Tuesday’s +$6.40 and Monday’s -$6.05);
  • Editas Medicine (EDIT +$6.28 after Wednesday’s +$3.07, Tuesday’s +$1.79 and Monday’s -$3.73);
  • Vericel (VCEL +$3.27 after Wednesday’s +$2.31, Tuesday’s -$1.51 and Monday’s +$0.07),
  • Alnylam Pharmaceuticals (ALNY +$3.14 after Wednesday’s -$2.08 and Monday’s -$0.42);
  • uniQure NV (QURE +$1.82);
  • Ultragenyx (RARE +$1.82 after Wednesday’s +$3.36, Tuesday’s +$0.50 and Monday’s +$1.84);
  • Regenxbio (RGNX +$1.12 after Wednesday’s +$1.32 and Tuesday’s +$0.53);
  • CRISPR Therapeutics (CRSP +$0.71 after Wednesday’s +$1.41, Tuesday’s +$4.24 and Monday’s -$3.10);
  • Global Blood Therapeutics (GBT +$0.69 after Wednesday’s +$1.16, Tuesday’s +$0.61 and Monday’s -$0.35);
  • Sage Therapeutics (SAGE +$0.41 after Wednesday’s +$0.62 and Tuesday’s +$1.39);

Thursday’s (5 of 5) decliners:

  • BioLife Solutions (BLFS -$4.64 after Wednesday’s +$2.14 as BLFS registers acquisition),
  • Bellicum Pharmaceuticals (BLCM -$0.20);
  • MiMedx (MDXG -$0.07);
  • Pluristem (PSTI -$0.06);
  • Brainstorm Cell Therapeutics (BCLI -$0.01);

Closing –2 – Caladrius Biosciences (CLBS), ReNeuron (RENE.L) and 1 - Stemline Therapeutics (STML) – acquired

 

Stats:

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

  • Thursday, the IBB closed up +1.11% and XBI closed up +1.07%

The CBOE Volatility Index (VVIX: INDEX) tracked:

  • Thursday was up +0.30 points or +1.86% at 16.41

Upside volume:

  • Thursday:  9 out of the 27-upside had higher than the 3-month average volume;

Downside volume:

  • Thursday: 2 out of the 5-downside had higher than the 3-month average volume;

Percentage (%) movement/range statistics: price versus percentage …

  • Thursday’s percentage (%) of the 27-upside were +0.16% (PGEN) to +9.42% (EDIT) while the 5-downside -0.28% (BCLI) to -7.67% (BLFS);

 

September, the third month of Q3/21:

  • Thursday closed positive with 27 advancers, 5 decliners, 2 flat and 1 acquired
  • Wednesday closed positive with 20 advancers, 13 decliners, 1 flat and 1 acquired

 

 

The BOTTOM LINE: the month of September begins … I welcome the upside; but, too many up sessions will brin an oversold position.

I am still waiting for clinical data to validate the rush to the upside.

The upbeat mood for equities came despite signs that Asia's factory activity lost momentum in August and that U.S. private employers hired far fewer workers than expected last month, likely due to a resurgence in COVID-19 infections. (Reuters>

When you’re on a roller coaster, the only thing you can be sure of is you’ll end up back where you started.

Q2 reporting season has essentially run its course; although a few remain with my questions of WHY so late …?

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!”

 

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.

Regulation Analyst Certification ("Reg AC"): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.