Update 10/30 1:45 pm EDT Markets weak on China deal, PMI data
- Sold CRSP at $50.with 25% gain in 2 weeks; will get back in on weakness.
- XBI off 0.89%, IBB down 0.85%, NAZ off 0.44%.
- BMY up 1.5% near 52 week highs.
- Teledoc (TDOC) a top 2019 small cap pick up over 12% on earnings-revenues up 24%.
Update 10/29 IBB up 0.43%,XBI down 0.32%, NASDAQ down 0.59%
Our healthcare re-balancing call on 10/15 was good for your portfolio: IHI UNH XBI XLV etc.
Earnings on Amgen and Merck support biopharma rally.
- Mirati Therapeutics (MRTX) up 16.7% to $95 on favorable safety profile clinical Phase1/2 data for KRAS inhibitor for cancer therapeutics.
- CRSP continues its run up 9% to $48.92. We are up 25% in 9 days!.
- Biiomarin (BMRN) up 2.92% to $74.27 after an upgrade.
- Amgen (AMGN) up 1.94% to $208.99 before earnings but stock tepid after hours on earnings. Revenues down 3%, GAAP EPS up 14% to $3.27.
- Merck (MRK) beats on 15% revenue increase and GAAP earnings EPS of 0.74 . Keytruda sales up 62% to $3.1B.Stock up 3.5%.
Biotech Momentum Picks Up-Bullish Trend Intact
NASDAQ up 1%. at 10:30a PDT, IBB up 1.33%.
As we have written recently healthcare stocks appear to have bottomed and interest in biotech has picked up.Here are some indicators to watch:
- The XBI hit a double bottom around $75 in early October and held the $80 mark now around $82.
- The healthcare sector SPDR Fund (XLV) is up 1% today to $93 up 6 pts from early October bottom.
- Gene therapy stocks are rallying today: CRSPR Therapeutics (CRSP) up 8.2% to $43 on a business and clinical trial update. CSPR is one of the better performing stocks in a weak group.
- Mid-cap biopharma stocks are in green screen mode with new highs in Seattle Genetics (SGEN) at $.105. BLUE is up 4.7% to $86.
- Issue for now is small caps as IWM and VTWO lag market since Q1.
- Illumina (ILMN) is up 6% tp $308 recovering from last week’s losses.
- Big news is expected after hours on Mirati Therapeutics (MRTX) on their KRAS inhibitor for targeted therapy of solid tumors. The stock now a $82 could move +- 20% on results.
Long CRSP, ILMN, MRK, XBI