RegMed stocks move on news – it doesn’t take a much of the brain to realize that … you might want to hold off a little on that “sell in May and go away” this year. While the adage may carry some weight to it, the cycle gets tweaked in the first year following a presidential election.
I’ve been warning people about burn rates and development cycles … as the RegMed sector is still being viewed as “Speculative” in accord to buying opportunities. I however … remain a bit bearish for 2013 and bullish overall for 2014, but we’re still likely to see continuing flat-lines in Q2 and we haven’t even seen the full Q1 results. Stay long the sector, but continue to hedge on the downside.
In the broader market … stocks erased their early losses on the final day of the month, with all 3 major averages on track to finish higher for April, despite some weak corporate earnings and mixed economic data.
There were some bright spots … Harvard Bio (HBIO) was up on news of their subsidiary – HART having successfully transplanted a regenerated trachea +$0.37 or +7.79% to $5.12 – and that IPO was postpone! The big dog in the park, Mesoblast (PINK: MBLTY) closed UP +$0.83 or +2.80% to $30.48 while Dendreon (DNDN) was UP +$0.11 or +2.39% to $4.71 – do I smell a comeback followed by Stemline (STML) +$0.30 or +2.14% to $14.34 – I am beginning to question this rising stock and wonder if the floor will drop or just decline. Athersys (ATHX) stays UP at +$0.03 or +1.37% to $2.22 but, on NO news and Cytori (CYTX) is UP again +$0.07 or +2.55% to $2.81 – resurrection time?
Closing negative were … Shire (SHPG) DOWN -$0.6 <was $2.10> or -0.70% to $93.64, and feeling the heat of trader hits were Osiris (OSIR) DOWN -$0.16 or -1.41% to $11.22. Another favorite followed by NeoStem (NBS) -$0.13 or -20.63% to $0.50 – not that bad … after raising $10 M in an overnight offering. Also still taking the hit was Aastrom (ASTM) after announcing another offering -$0.016 or -2.60% to $0.599 – if this marketing road trip and monetary raise takes any longer – we will be also looking at a $0.50 offering price.
Other favorites closing – was Cytomedix (CMXI) was UP <having been DOWN> +$0.01 or +2% to $0.51 while BioTime (BTX) was DOWN -$0.16 or -4.23% to $3.62 – data bases don’t sell research products – humans do – hire a current Oracle sales director with the new CFO and or buy Mike Rice who would race barefoot to be first – from BioLife Solutions (BLFS) which closed UP +$0.01 0r +3.45% to $0.30. Even Fibrocell (FCSCD) had a good day although flat at $4.22 after a stock reverse!
Measuring the close – barely POSITIVE – 15 green (ups) followed by 14 red (downs) and 8 black (flats) … The CBOE Volatility Index traded below 14.
Closing Bell: The NASDAQ closed UP +21.77 (+0.66%) to 3,328.79 while the DOW was UP +21.05 (+0.14%) to 14,839.80.