Update-3… 5/1/26 ..After such big moves in the market this could be a good time to enjoy your profits and review your portfolio . Here are several SMID cap biotech stocks that we own, are in the money but poised for more gains: ABSI, ABOS, AXSM, COGT, ILMN, RCUS, XENE, XNCR. Small caps lagged for the week with the IWM down 0.96% at $279.30
Tracking biotech ETFs for the week: ARKG up 2.61% at $30.31, IBB down 1.48% at $167.27, XBI down 2.12% at $130.45.
Tracking sectors for the week: Energy up 4.69%, InfoTech: up 2.35%, Utilities 1.65%, Real Estate: up 1%, Staples up 0.99%.
- update-1… 4/30/26 11:56 a PDT…Earnings look good, resume “RISK ON “. Green screen boosted by ABBV, BMY, LLY and XBI- report to follow. IBB up 1.98% to $168.71.
Update-2 4/30 at close: Other posts are at close today 4/30as biotech stocks come back in a big way! And small caps are back on track.
- Bristol-Myers (BMY) up 4.5% beats, reaffirms 2026 outlook. Revs up 3% to $11.5B GAAP EPS $1.31. Guidance Revs to $46-47.5B for 2026..
- IBB up 2.11% to $169; XBI up 2% to $131.51; PPH up 3%, off recent Mar/ April bottom
- LLY soars up 10% as Q1 Revenue increase 56% to $19.8B, Q! EPS up 170%, t0 $8.26. GLP-1 drugs account for roughly 2/3 total revenue.
Long ABBV, BMY, LLY.
========
Assume Risk Off in Biotech-Wait for Completion of Earnings Cycle
- Large cap performance in 2026 has been lackluster: REGN down 7.5% today, PPH down 4.23% YTD.
- A Red Screen Day is developing in SMID biotech: XBI down 6.2% past five days but up 5.54% YTD, IBB down 2.23% YTD, down 5.4% WTD.
- Positive trend is small caps and the Russell 2000(WM) up 9.39% YTD and trades with the XBI .
The market is focused on two themes :The WAR and the price of oil which is slowly disrupting the economy, and AI with $ Billions of investor inflows boosting TECHNOLOGY stocks with the XLK up 10.4% YTD. We have been tracking market sectors in 2026 and the healthcare sector has been underperforming the XLV down 7.75% YTD. In 2026 the leading sectors are: Energy, Materials , industrials and Technology.
To make the situation worse the MEDtech sector is the worse with the IHI down over 3% today at low near $50! The FSMEX is down 28.83% YTD.
Reporting tomorrow:AMGN BMY LLY MRK and others.
updated at 615p PDT:
Abbvie (ABBV beats Q1 estimates with a 12.4% sales increase and an EPS up 7.7% at $2.65. Global immunology sales were $7.29B up 16.4% with Skyrizy and Rinvoq;Neuroscience portfolio sales were $2.875B up 26%.
In particular, revenue from Skyrizi—AbbVie’s biologic for plaque psoriasis, psoriatic arthritis, Crohn’s disease, and ulcerative colitis—grew 31% year over year to $4.5 billion. While the drug faces new competition from JNJ’s oral pill Icotyde, AbbVie expressed confidence in Skyrizi’s durability.
LONG ABBV and at $204 an excellent entry point. Stock was up 3.2% on heavy volume.