Nov 18th Biotech Update

Today should be a good day.  We were near the bottom end of the range where support should exist and the sector was oversold.  As such, we were probably likely to bounce and today we got some M&A.  While the deal was itself not a massive deal the timing works out for the sector to […]

October 29th Biotech Update

It was a good day for the sector yesterday and with generally positive earnings there is a chance we could build some momentum.  Add to that the removal of the drug pricing reform threat (it came out yesterday that was removed as a source of funding) and you have the potential to develop momentum.  Of […]

October 25th Biotech Update

The sector continues its muddle.  We are approaching earnings seasons but there are not any real launches that are exciting and M&A has picked up a little but clearly has not really sparked interest.  It is a broken record to talk about the sentiment and how poor it has been.  It is at the point […]

July 30th Biotech Update

Unfortunately we were unable to string together some momentum for the sector.  It could have be worse but ideally we would have built on some of our earlier strength this week as opposed to bounce around with some weakness mixed with the strength.  It is not surprising given the downtrend we have established but there […]

June 24th Biotech Update

The sector is hot today and it is not precisely clear as to why.  There has been some news that seems to be read as positive but this still looks to me like a sector that lacks a clear conviction.  Usually you could see a day like this and then expect some positive momentum for […]

June 21st Biotech (and MLP) Update

We has some M&A to start the week but not in the sector.  Deals have been happening to a certain extent but they have been partnerships and not M&A.  Is that the wave of the future?  Buying private companies and partnerships when it is public.  That has been the pattern so far this year and […]

April 30th Biotech Update

The hits keep coming for the sector.  It is certainly underperforming compared to many other market sector but let us be clear.  It is not sentiment.  I know it is frustrating to see the sector perform poorly but this year has seen a dearth of M&A, clinical and regulatory failures, and now a disaster of […]

April 15th Biotech Update

I want to be optimistic and speak to the new upside momentum in the sector and in the immediate term that is accurate.  The issue is that even with all the positive price action we have only been able to get to the middle of the $125 to $140 range that is key for the […]

February 8th Biotech (and MLP) Update

We have moved past the large cap portion of the earnings with positive price action in the sector but less so in the companies that are reporting.  I do not believe that is related to the quality of the earnings as they were generally fine but more of a broader disconnect between large and SMID […]

February 5th Biotech Update

The market seems like the prototypical market at highs tends to make marginal new highs.  If that is the case, then the assumption would be a continued slow grind higher until the elevator down correction.  In some ways, it also means that we are unlikely to get those price dislocations that make for the really […]

January 21st Biotech Update

We seem to be in a lull in terms of news.  Certainly we are drifting higher with the market which is good but I do not expect any thesis changing news or even stock moving news until earnings start popping up in a week or two.  I would think that next week we start to […]

January 20th Biotech Update

So the page has turned from JPM and next is earnings and the usual rush of secondaries.  Remember, however, that we had lot of secondaries to end the year, so perhaps the end of January will not be as flush with cash raising as in previous years.  Earnings will likely be a little anti-climatic as […]

January 15th Biotech Update

So JPM is done and it was the least eventful one I can remember.  I am still a little surprised that the sector has done this well.  Usually post JPM we see a flood of secondaries and I suspect there will be an uptick in the next couple weeks.  That being said we ended last […]

January 13th Biotech Update

So I think JPM is a complete failure in terms of news.  It is obviously a dud in terms of M&A.  I do not remember the last time we had a JPM with zero mergers. There have been some with minor deals but it has been awhile since there have not been any.  This actually […]

January 4th Biotech Update

Volume and the market news should start to pick up this week as people get back from the holiday but keep in mind that JPM is next week, so I would not expect a ton of biotech news.  Most of the biotech news should be speculation heading into JPM and the news that could be […]

December 17th Biotech Update

I am a little surprised at the lack of follow through after Monday.  I expected the potential of a small retracement but then strength to return to the sector.  I am not willing to say the trading is indicating a near term top is in for the sector as we are still in a seasonally […]

December 16th Biotech Update

Well, we have had two red days in a row after Monday’s move.  I noted that we should be setup for a rally into the end of the year and that anything other than that bodes poorly in the near term.  So is it time to call it and in the short term?  Not quite […]

December 10th Biotech Update

The sector is clearly doing well and there is some interesting news that perhaps bodes well heading into JPM and the end of the year.  We are not quite making news highs again today but the sector is feeling like it wants to and it really stands in stark contrast to the pandemic and economy.  […]

November 18th Biotech (and MLP) Update

So the market continues to look good including the sector that is pushing all time highs.  While I often say the trend is your friend (and it is), it might also be time to pull out another saying.  When markets are making all time highs, the most likely outcome is to continue to make marginal […]