May 11 Biotech Update

Yesterday the sector was a little weak but that is neither surprising nor a killer given the strength we saw Monday. That being said we cannot see continued under-performance and have a positive view in the near term. I am starting to think of the performance of the sector as less strong or weak and […]

May 9 Biotech Update

We have some news to start that week that all else being equal would be positive catalysts. The price action today off of the news should be a good tell as to whether sentiment has shifted a little in the sector but I would wait to see where we end the day not where we […]

May 2 Biotech Update

It was not a great end of the week for the sector. Trading has not been good and earnings were fine but not exciting. As much as the sector has bounced from its recent lows, it still does not feel like sentiment has changed dramatically. It as an odd dynamic that I will talk about […]

April 13 Biotech Update

It has been a strange sort of trading. The sector did well last week but has been underperforming for a couple days now. Ideally this is simply back testing the move from the AGN/PFE breakup but we clearly need to turn it around soon. We seem to be stuck in the sell every rally environment […]

April 6 Biotech Update

The news is obviously the failed AGN and PFE deal, so I will focus on why the deal fell through and what it means for the companies and sector. I obviously underestimated both the desire and ability of treasury to kill this deal but it is now about dealing with the news and how to […]

April 1 Biotech Update

Yesterday was generally a good day for the sector but it is hard to feel particularly good about it. We certainly need more time to see if this is another rally that leads to additionally dumping of positions. We have been waiting for catalysts that would turn the sector but that is probably a false […]

March 28 Biotech Update

We start the week with some biotech news although not the M&A that many expect. I will be interested to see how MDVN trades given its takeover speculation at the end of last week. In any case, we got real news and for the most part it is positive, so the key now is for […]

March 22 Biotech Update

It looks like the sector did not fall off a cliff and perhaps has been finding some support. We still have the recurring question of whether this is real buying or simply short covering. As has been the case, I fall in the camp that this is short covering at least among the smaller caps. […]

February 29 Biotech Update

I would have expected more action to start the week but it has been pretty quiet. It looks like we are left to the sentiment tides once again as there is nothing I see on the news front that can make a dent in either direction. As such, I will spend today mainly talking about […]

February 19 Biotech Update

We are getting the pullback after that quick rip your face off rally and so now is the real moment of truth. Did the rally simply reset the relative strength to allow another leg lower or will buyers step in and buy this pullback? As I noted before there is no way of knowing and […]

December 31 Biotech Update

I figured there would be a more positive bias as we headed into the end of the year but the market has seen some selling. Obviously volume is low but the new Clinton talk of drug prices plus the low volumes is probably not good for the sector. Just as the drug pricing issue was […]

August 26 Biotech Update

The market had a rough day yesterday where the rally from the “lows” earlier in the week faded at the end of the day. That is never a good sign and at this point we need to ignore the gaps higher until they strengthen into the end of the day as opposed to fade. I […]

August 4 Biotech Update

Looks like the sector was saving the fireworks for today with a lot more news. The reaction so far seems a little tepid given the positives but it is early and I think some are a little worried about the broader market. The collapse in oil may unfortunately signal a return to the macro market […]

July 27 Biotech Update

The market looks bad and it is bringing down the sector although I think BIIB has done a pretty good job at reversing some bullish biotech sentiment. That being said the sector might be outperforming the broader market a little as there was a nice big deal announced this morning. When all is said and […]

July 7 Biotech Update

There is a little more news today but still relatively quiet. The market seems to be looking for a direction but the sector seems to be outperforming to the upside. Yesterday was certainly better than expected but it also did not end in an exceptionally bullish manner. That is why I still think the market […]

July 3 Biotech Update

This is the last note before the fourth and I wanted to spend time going into a new therapeutic space and highlight a new company (well, it is new to me but has already had a good run this year). I also wanted to wrap up the discussion from yesterday as the trading action is […]

April 21 Biotech Update

A lot of news to cover and I want to get to it all, so maybe a little less detail and more topics today and I will circle back to the ideas over the next couple of days. In general, the sector is doing well with the deal flow news but I will talk more […]

Chimera Research Group Catalyst Summary for March 2015

At the end of each month Chimera Research Group provides you with a monthly summary of TEN notable catalysts/events that have occurred during the past month. MARCH 2015: 1) Bristol-Myers Squibb Company (NYSE:BMY) announced that the FDA approved the expanded use of Opdivo to treat patients with advanced squamous non-small cell lung cancer (NSCLC). Approval came just over two […]

January 20 Biotech Update

Not the way you want to start the week with the sector going down with the rest of the market after a weak gap higher. Even more problematic is the severe weakness in the high flying momentum stocks like KITE and BLUE. The fact that these are underperforming can be read as an early warning […]