Stem Cell Company Stocks - Updated 2/25/09

It's been an interesting week thus far with the stem cells stocks. After 3 days it's still not clear if these stocks are continuing to decline, leveling out, or reversing back upward. After witnessing Tuesday's action led by GERN and STEM where many of the larger cap stem cell stocks rose, today's action was fairly predictable. Since, these stocks have been on investors' radar, the large caps have led and the small caps have followed. The same occurred today. Many of the stocks that didn't participate in Tuesday's run, made up for it today. For example, after declines 8 of the last 9 days, CBAI.OB spike for 38% gain. Meanwhile, the large caps pulled back again.

First, I think Thursday's action is especially critical for the large caps. If it looks like names like GERN and STEM are getting hammered again, I would recommend you strongly consider exiting your position and then think about retooling if we reach that 6800 - 7000 level in the DOW. If the Stem cell action appears positive, it signals the next leg up.

As far as the small caps, be very careful. Recently, the stock movements of this group have been very "pennylike" (and I mean that in a bad way). CBAI.OB in particular should be watched very closely. Because it finished the end of the day Wednesday 2/25/09 so strongly, I'd expect a gap up Thursday morning. The buyers will probably pour in the first 5 minutes or so of trading based the stock's history the last few months. Shortly thereafter, someone will place a fairly large sell order to take profits and one of the MM's (probably NITE) will sharply drop the price. At this point, the stock could completely turn south giving up all of its gains as stops are taken out and others panic sell. On the other side of the coin, there could be so many buyers that the dip is temporary and the stock steadies into a nice intra-day incline. Overall though, the fate of the small caps lie with large caps. If the large caps respond positively, the small caps should follow.

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Wow! The week of 2/16/09 - 2/20/09 was a crushing one for stem cell stocks. Aside from one sparkling day thanks to CNBC's pump of the Stem Cell Summit, this was a week to forget. Thankfully, there were only 4 trading days. After rummaging through the carnage, it appears at first glance that there may be no survivors and that the stem cell stocks are done. The stock market as a whole is in free fall and the strength of its downward slide is carrying almost every sector down with it (the exception being Gold and Silver). Dow 7000 is right in our mist and to be quite honest, I don't see a market bounce until we hit the 6900 -7000 range. Right now, that appears to be the psychological barrier that everyone seems to be waiting for. Until we get there, I see everything going lower. Fundamentally, I think stem cell stocks are still a good play, but in today's blog, I wanted to focus on where they are technically.

After analyzing the charts of several stem cell stocks, it is still anybody's guess what will happen to them next. First, let me make a clarification. I do not consider myself to be a true stock technician. I'm not someone who looks at bollinger bands, moving averages, and candles. In my opinion, looking at basic linear trends is a much simpler approach and is just as effective. Let first look at Geron Corp (GERN)

This chart of GERN is indicative of many of the relatively larger cap stem cell stocks. Notice the steady 2 month rise beginning around the end of November. Then, all of a sudden there was an explosion on 1/23/09 with Geron's well publicized announcement. The quick rise was unsustainable and a precipitous drop happened shortly thereafter. Presently, the stock appears to be at a crossroads. The arrows show the two possible directions in which this stock can go. It could continue on it's downward path, in which case you cut your losses and wait for a new entry point. However, the spike and drop the last month could just be "noise" or "gap filling" as GERN continues its slow ascent. If we dip to that key level in the DOW of 7000 quickly, a reversal could occur and the positive chart trend remains intact. If it takes 2 to 3 weeks for us to drop another 350 to 400 points, it may be too much to overcome for a bounce back.

Let's look at MCET:

MCET's chart is indicative of many of the smaller cap stem cell stocks. The picture this chart paints is a little more negative and more defined than GERN's. This chart is setting up like a classic penny stock chart. A textbook penny stock consists of building a long term base and then a quick spike. The quick spike is usually followed by a return to the previous or new base building area. MCET seems to be back in a base building mode. However, the bright side is that the base building area appears to be at a higher level than the previous one and if things continue, it's a waiting game until the next super spike happens. Just be sure to sell at the top when it happens.

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Stem Cell Stocks 2/16/09 - 2/20/09 the Week That Was

A new stock was added to the list of stocks followed on http://tradingstemcells2009.blogspot.com/ . The stock is Cytori Therapeutics (CYTX). It should have been on the list to begin with. Purely an oversight on my part.

Top Stem Cell Stock Performer(s) of the Week:

- Celgene Corp(CELG) = Up 3% ; It appears the only safe haven is in this diversified large cap. You won't get big gains, but you won't get huge losses either

Worst Stem Cell Stock Performer(s) of the Week:

- Ariad Pharmaceuticals (ARIA) = Down -42%; Had an explosive run up into earnings; Looks like profit takers and shorters are viciously taking this one down

- Athersys, Inc. (ATHX) = Down -31%; Another stem cell high flyer finally taking its lumps

Stem Cell Stocks Performance Since 1/23/09:

Market Cap Over 50 Million

Ariad Pharmaceuticals (ARIA) = Current Price: $1.48; Up 3%

Aastrom Biosciences (ASTM) = Current Price: $0.45; Down -13%

BioTime, Inc. (BTIM) = Current Price: $1.64; Down -22%

Celgene Corp (CELG) = Current Price: $53.99; Up 10%

Cytori Therapeutics (CYTX) = Current Price: $3.33; Up 4%

Geron Corp (GERN) = Current Price: $5.33; Up 2%

ThermoGenesis (KOOL) = Current Price: $0.55; Unchanged

Osiris Therapeutics (OSIR) = Current Price: $19.04; Up 1%

StemCell Inc. (STEM) = Current Price: $1.96; Down -10%

Market Cap Under 50 Million

Advanced Cell Technology (ACTC.PK) = Current Price: $0.155; Up 29%

Athersys Inc. (ATHX) = Current Price: $0.67; Down -1%

Brainstorm Cell Therapeutics (BCLI.OB) = Current Price: $0.09; Down -13%

Bioheart Inc. (BHRT) = Current Price: Current Price: $1.03; Up 30%

Cord Blood America Inc. (CBAI.OB) = Current Price: $0.0102; Up 168%

Cyro-Cell Intl (CCEL.OB) = Current Price: $0.59; Up 28%

Neuralstem (CUR) = Current Price: $1.15; Down -20%

International Stem Cell (ISCO.OB) = CurrentPrice: $0.45; Up 55%

LifeStem International (LSTM.OB) = Current Price: $0.0150; Up 285%

MultiCell Technologies (MCET.OB) = Current Price: $0.0160; Up 272%

Therapeutics (PSTI) = Current Price: $1.06; Up 67%

Stem Cell Therapy Intl (SCII.OB) = Current Price: $0.07; Up 40%

Stem Cell Innovations (SCLL.PK) = Current Price: $0.0095; Up 73%

Possible Catalyst for the Week:

- Again there is the potential for President Obama to give an executive order to allow funding for stem cell research; Bashers will say sell the news, but after last week's sell off, it wouldn't make a lot of sense. I'd expect at least a 2-day run if it happens.

- If it happens quickly, the DOW hitting 7000 pts could cause a huge upward move. There always seems to be a bear market rally once the market hits some technical or psychological points of support. With every sector basically at the mercy of the general market, I think they'll be a major opportunity to make money online with the huge bounce.

Trading/ Investing in "Penny" Stem Cell Stocks 101

A lot of stock market traders and investors have recently entered into the Stem Cell sector because it is still undervalued and happens to be one of the few places right now where you can actually make money online. Because the vast majority of these stocks are $5.00/share or less with quite a few being less than $0.25/share, many people are venturing into the "penny stock" world for the first time. As a result, I decided to put together seven key concepts to remember when dealing specifically with Penny Stem Cell Stocks:

1. Penny Stem Cell Stocks Don't Trade Like Other Penny Stocks.

Let's not sugar coat it, most penny stocks are strictly pump and dumps. However, most of the penny stem cells stocks provide two things that typical penny stocks don't: legitimate reasoning for continued price appreciation and consistent volume.

2. These Stocks Are Volatile, But the Volatility Is Somewhat Controlled.

Most of the volatility in penny stem cell stocks is a function of extremely low prices and overall market uncertainty. Although the daily swings can be wild, a weekly or monthly chart quickly reveals a trading pattern that more so rivals stocks at $5 or $10 per share. As long as the outlook is not too short or long, these stocks have proven to be just as stable as any other stock in a market like this.

3. Curb Your Enthusiasm.

People kill me with stocks hovering around a penny or less with price targets of $1.00/share. I guess anything is possible, but that simply isn't very realistic. Pick reasonable price targets.

4. Curb Your Disgust.

A stock doesn't need to be axed because of one or two bad trading days. It's a penny stock so, as I stated earlier, expect volatility. If a stock can achieve 20% daily gains, don't be surprised to see 20% the other way at times. As long as there continues to be catalyst for upward movement, don't let a couple of downward swings discourage you.

5. Understand Standard Penny Stock Price Points.

$0.01, $0.025, $0.05, $0.10, and $0.25
These numbers represent psychological points of resistance. Stocks that develop a base at less than a penny tend to eventually hit a penny once it begins to run. Stocks that form a base at $0.01 often hit $0.025 (and so on and so forth). Just keep this in mind when determining entrance and exit points.

6. 100,000 Share Block Transactions - Institutional Buying?

100,000 share blocks does not necessarily represent the presence of institutional buying or selling. A $500 to $1000 transaction (which is what this represents) is as about as retail as they come. In other words don't get caught up in multi-million share volume. It's really not that much money relatively speaking.

7. Understand the Truth about Forums/Message Boards.

For the most part, message boards should be seen as nothing more than entertainment and marketing platforms. Often times the comments here are wild and completely off base. Also, reading them everyday can really be a drag. It's not that difficult to distinguish the bashers and pumpers, yet many still fall prey to their ridiculous manipulations of the truth. However, a board can occasionally be a decent place to get ideas and sometimes a "nugget" is dropped. In the likelihood that this should happen, you should always follow up with your own due diligence to check for accuracy (something that should constantly be done anyway if you own a stock). It also helps to understand what you get from different message boards. Here's my take on some of the more popular ones:

- Yahoo Finance: Basher heavy particularly on a down day; Pumper heavy on good days
- Google Finance: Quite a few bashers and pumpers, but not as bad as Yahoo
- Investor Village: Pretty good blend of bashers, pumpers, and sound advice
- Ihub: Mostly pumpers

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Stem Cell Stocks 2/17/09 - 2/18/09

Thanks to a lots of media coverage from the Stem Cell Summit to begin the week on Tuesday, 2/17/09, Stem Cell Stocks got off to a blazing start. However, most of the gains were lost the following day due to news of a child fatality cause by the experimental treatment of neural stem cells. There was a swing of double digit gains on Tuesday to double digit losses on Wednesday. So, the week thus far has basically been a wash. Some will say that this has been a wild week. I'd say it's par for the course. Stocks of note are as follows:

Cord Blood America Inc.(CBAI.OB) = Current Price: $0.0104; Down -26% to begin the week. After showing lots of strength last week by remaining flat, the dumping has been pretty heavy due to false rumors of share dilution. $0.01/share has shown to have very strong support. CBAI.OB may not make up the deficit in the next two trading days, but I'd expect a strong finish to end the week.

Geron Corp (GERN) = Current Price = $5.74; Down -10% to begin the week. It still seems to be on its downward slide, but I really feel it stops here. On the bright side from a technical standpoint, the stock has almost completely "closed the gap" from its price prior to 1/23/09. This usually means the shorts will cover their positions and the slow steady rise that started in November should resume.

Stem Cell Company Stocks 2/15/09: The Week That Was

Click Here for Spotlight on Cord Blood Banking Companies

Last week was a tough one for the Stem Cell stocks. Practically every stock that we follow was down this week. Astonishingly, for first time since our reference point of 1/23/09, a few stocks actually finished below the stock price of that day (most notably STEM).


Top Stem Cell Stock performer of the Week:

Cryo-Cell Intl (CCEL) = Up 18% on very low volume. It's possibly riding the coattails of the CBAI.OB's success, which impressively finished flat for the week

Worst Stem Cell Stock Performer of the Week:

Geron Corp (GERN) = Down -21%; It had been flying high pretty consistently until they announced a secondary offering, which gave people a reason to sell the stock off. I'd expect a pretty sharp recovery this week.


Stem Cell Stocks Performance Since 1/23/09

Market Cap Over 50 Million

Ariad Pharmaceuticals (ARIA) = Current Price: $2.54; Up 76%
Aastrom Biosciences (ASTM) = Current Price: $0.52; Unchanged
BioTime, Inc. (BTIM) = Current Price: $2.08; Unchanged
Celgene Corp (CELG) = Current Price: $52.31; Up 6%
Geron Corp (GERN) = Current Price: $6.38; Up 22%
ThermoGenesis (KOOL) = Current Price: $0.74; Up 36%
Osiris Therapeutics (OSIR) = Current Price: $20.11; Up 7%
StemCell Inc. (STEM) = Current Price: $2.12; Down -1%

Market Cap Under 50 Million

Advanced Cell Technology (ACTC.PK) = Current Price: $0.17; Up 42%
Athersys Inc. (ATHX) = Current Price: $0.97; Up 43%
Brainstorm Cell Therapeutics (BCLI.OB) = Current Price: $0.09; Down -10%
Bioheart Inc. (BHRT) = Current Price: Current Price: $1.00; Up 27%
Cord Blood America Inc. (CBAI.OB) = Current Price: $0.0141; Up 271%
Cyro-Cell Intl (CCEL.OB) = Current Price: $0.65; Up 41%
Neuralstem (CUR) = Current Price: $1.30; Down -9%
International Stem Cell (ISCO.OB) = CurrentPrice: $0.39; Up 34%
LifeStem International (LSTM.OB) = Current Price: $0.0140; Up 259%
MultiCell Technologies (MCET.OB) = Current Price: $0.0180; Up 319%
Pluristem Therapeutics (PSTI) = Current Price: $1.16; Up 82%
Stem Cell Therapy Intl (SCII.OB) = Current Price: $0.08; Up 60%
Stem Cell Innovations (SCLL.PK) = Current Price: $0.010; Up 82%



Possible Catayst for the Week

- 4th Annual Stem Cell Summit on February 17, 2009; several companies that we follow will be participating in this event; could provide more press for the sector by news outlets; see http://www.stemcellsummit.com/ for details

- Potential for President Obama to give an executive order to allow funding for stem cell research; It could be done this week to coincide with the freshly approved stimulus package



Final Thoughts

From the surface the charts of most stem cell stocks are beginning to breakdown and the bashers will be quick to point out GERN secondary offering coupled with PSTI's a couple of weeks ago is a dooming pattern of stock killing dilution. I say don't be fooled. Dilution is only a big deal when you are dealing with stocks with actual earnings. The fact of the matter is that besides the big market caps, most Biotech stocks rarely if ever have postive earnings. There value is typically measured by pipelines, patents, FDA approvals, and positive test studies. With all this said, I think this upcoming week is a very important one for the sector. After a couple weeks in a row now of sideways to downward trading action, it is important that stem cell stocks reestablish there strength. After such a sharp sell off, I expect GERN to lead the charge. This has the potential to be a good week to make money trading stem cell companies.

Publicly Traded Cord Blood Banking Companies

As promised, here's a special spotlight on publicly traded cord blood banking companies. The business consists of storing the umbilical cords of new born babies. There are quite a few companies that offer these services in the United States, but only about 30 have met the strict FDA requirements to be considered private or family cord blood banks. Only four are publicly traded companies. Most traders/investors are familiar with names like Cord Blood America Inc. (CBAI.OB) and the slightly lesser known Cyro-Cell Intl (CCEL). However, a lot of people are surprised to find the third and fourth companies happen to be biophrama behemoth Celegene Corp. (CELG) and diagnostic instrument maker Perkin Elmer (PKI).

Cord Blood America Inc. (CBAI) has been one of the hottest Stem Cell stocks on the market. It is a holding company that owns subsidiary bank Cord Partners and CorCell
- Share price = $0.014 (as of 2/13/09)
- Received $4 million in funding in July 2008
- $3.3 million in revenues and $1.8 million in gross profits first 9 months of 2008
- Has established infrastructure so low burn rate
- Approximately 310 million shares outstanding; EPS (0.02)
- Approx. 10,000 customers in cord blood business

Cyro-Cell Intl (CCEL) is one of the oldest and largest private cord blood banks. It's been publicly traded since 1991, but shares are very thinly traded.
- Share price = $0.65 (as of 2/13/09)
- Partnership with National Institutes of Health (NIH) Clinical Center for study on Endometrial Stem Cells (working with NIH means a good chance at getting money from Obama's stimulus package)
- $13.1 million in revenue and $8.4 million in gross profits for the first 9 month of 2008;
- 11.7 million shares outstanding; EPS (.06)
- Approx. 175,000 customers in cord blood business

Celgene Corp (CELG) is the parent company of LifeBankUSA, the subsidary that runs the cord blood bank unit. They are the only company that offers the option of banking placental stem cells for family use.
- Share price = $52.31 (as of 2/13/09)
- LifeBankUSA was bought for approx. $60 million
- Approx. 20,000 customers in cord blood business

Perkin Elmer (PKI) is the parent company of Viacord, a cord blood banking business. Viacord was bought in 2007
- Share price = $14.46 (as of 2/13/09)
- Approx. 110,000 customers in cord blood business
- $60-$65 million in revenue form cord blood business
- Viacord was bought for $300 million


Although I did not include Neostem (NBS) in list of companies, it is often lumped into the group of cord blood banking companies. The difference is that Neostem specializes in storing adult stem cells. This is a completely different field with its own set of challenges.

Stem Cell Company Stocks 2/10/09: When to Exit Your Position

All the Stem Cell Stocks are struggling to begin the week with the exception of only one.

Top Stem Cell Stock Performer 2/9/09 - 2/10/09:

Cord Blood America Inc. (CBAI) - Up 23% so far this week (was the only stem cell stock we track in the green at almost 7% on 2/10/09)

***Be on the lookout later this week for a post spotlighting the publicly traded Cord Blood Stem Cell Companies***

Topic of the Day: "I really believe that stem cell stocks have a lot of potential, but I don't want to make the mistake of holding on to them too long. When will be a good time to exit my position?"

Not even the red hot Stem Cell stocks were immune from today's rough stock market. It's easy to get lulled into thinking that a stock in a hot sector will continue to rise day after day, but it's days like today that bring stock traders or investors back down to reality. Based on history, stocks in bull market sectors can run for months. However, as the profits mount, it is nearly impossible to not think more and more about protecting gains. The 64 million dollar question becomes, "When should I exit my position?"

From a fundamental and technical viewpoint, there appears to be an awful lot of similarities between the Solar sector boom of 2007 and this current Stem Cell push. Both began in the mist of unprecedented economic circumstances (oil's rise and the credit crisis respectively). Both focus on much hyped technology that was previously underfunded. Finally, both obtained renewed government interest to catapult themselves forward. We can learn a lot from the recent booms in Solar, Coal, and other commodities. However, Solar appears to be the perfect comparison because its run happened to end before the recession began. I believe Solar will be a reliable indicator of what will happen with Stem Cells. Let's investigate the technical aspect a little closer. Check out the chart below:




This happens to be a 2 year chart of Canadian Solar (CSIQ). I chose this solar stock because it isn't an industry leader and its market cap was "middle of the road" compare to the other names in the sector. Notice the explosive first move of this stock in September 2007. There was over a 300% gain during the course of 4 months. What was interesting is that if you look at most of the other solar names, there first explosive move lasted between 3 and 7 months. The smaller market caps tended to run closer to 3 months and the larger caps ran closer to 7.

So, what does this all mean? If form holds true, names like Geron Corp (GERN) and StemCells (STEM) will have a continuous climb for 5 to 6 months before a multi-month pull back occurs. Although we have been spotlighting 1/23/09 as the key turning point with most stem cell stocks, GERN and STEM actually began to move a couple of weeks after the Presidential election. As a result, I would begin to get out of these names by April 2009. Practically all of the penny stock names in the sector began their run on 1/23/09. I wouldn't stay in them any more than 2 or 3 months tops.

In summary, the move in Stem Cell stocks, so far, have paralleled the solar names. If history is any indication, you may want to exit the relatively larger cap names after a run of 5 to 6 months and the smaller cap names like CBAI.OB and MCET.OB in 2 to 3 months. To a certain extent, you are taking a calculated risk by holding these names long term in the first place, but you're really gambling if you decide to hold beyond the time frames suggested. Basically, the figurative "bubble" could burst for most stem names by April or May of 2009, but you can sure make money online until then.

Stem Cell Company Stocks 2/7/09: The Week That Was

Right now, trading Stem Cells stocks is the number one place to make money in the stock market. It has been a little over two weeks now since Geron Corp's ground breaking announcement on 1/23/09. In classic bull market fashion, the share price of every publicly traded Stem Cell company that we have followed since then remains significantly higher. After such explosive share price movement prior to last week, a substantial pullback would have been expected. However, the fact that most of the gains held is a testament to the strength of this sector. See below for our company list. Please note that Vitro Diagnostics (VODG.OB) was remove from due to a lack of volume. It has been replaced with BioTime, Inc. (BTIM). BioTime is interesting because of one of its subsidiaries called Embryome Sciences, Inc. It happens to be one of the lesser known stocks that deal directly with embryonic stem cells.

Market Cap Over 50 Million

Ariad Pharmaceuticals (ARIA) = Current Price: $2.86; Up 99%
Aastrom Biosciences (ASTM) = Current Price: $0.64; Up 24%
BioTime, Inc. (BTIM) = Current Price: $2.45; Up 17%
Celgene Corp (CELG) = Current Price: $55.35; Up 13%
Geron Corp (GERN) = Current Price: $8.05; Up 55%
ThermoGenesis (KOOL) = Current Price: $0.77; Up 42%
Osiris Therapeutics (OSIR) = Current Price: $20.71; Up 10%
StemCell Inc. (STEM) = Current Price: $2.52; Up 17%

Market Cap Under 50 Million

Advanced Cell Technology (ACTC.PK) = Current Price: $0.19; Up 58%
Athersys Inc. (ATHX) = Current Price: $1.10; Up 62%
Brainstorm Cell Therapeutics (BCLI.OB) = Current Price: $0.13; Up 25%
Bioheart Inc. (BHRT) = Current Price: Current Price: $0.99; Up 25%
Cord Blood America Inc. (CBAI.OB) = Current Price: $0.0146; Up 284%
Cryo-Cell Intl (CCEL.OB) = Current Price: $0.56; Up 22%
Neuralstem (CUR) = Current Price: $1.55; Up 8%
International Stem Cell (ISCO.OB) = CurrentPrice: $0.42; Up 45%
LifeStem International (LSTM) = Current Price: $0.130; Up 233%
MultiCell Technologies (MCET.OB) = Current Price: $0.022; Up 412%
Pluristem Therapeutics (PSTI) = Current Price: $1.35; Up 112%
Stem Cell Therapy Intl (SCII) = Current Price: $0.10; Up 100%
Stem Cell Innovations (SCLL.PK) = Current Price: $0.015; Up 109%

Notable Moves the Week of 2/2/09 - 2/6/09

Last Week's Top Performer: ARIA
- Up every day last week for a 71% total gain; Speculation is that it is an "Earnings Call" run up. Earnings are scheduled to be released on 2/12/09

Last Week's Worst Performer: PSTI
- Down 4 out of 5 days for a 25% total loss; Pulled back after company sold additional shares

Cord Blood America (CBAI.OB), which provides cord blood stem cell banking services and MultiCell Technologies (MCET.OB) were notable mostly in that they remained fairly flat for the week. Despite many critics declaring these two stocks as being nothing more than "pump and dumps", they appear to be holding up pretty well.

Possible Catalyst for Next Week

- Further progress in Congress regarding new stem cell legislation
- Senate passes the Stimulus Package
- Bio CEO & Investor Conference begins Monday February 9, 2009; Several of the companies that we are following have their CEO's presenting; See link for the entire list BIO CEO & Investor Conference


Don't forget to check back frequently to http://tradingstemcells2009.blogspot.com for all your Stem Cell stock "homework". I think the upcoming article on determining when to exit a position in a hot sector will be eye opening. So, check back soon!

Stem Cell Company Stocks 2/5/09: Why are the "Stems" Up today?

Many of the Stem Cell Stocks moved up quite nicely today. This includes some previous “big movers” that finally bounced back after selling off for most of the week. You would have been making money today had you bought during the pullback. See below for some of the more notable moves:

Ariad Pharmaceuticals (ARIA) = Current Price: $2.68; Up 13%
- Up 4 straight days and 60% for week so far; It’s due for a pull back

Athersys, Inc.(ATHX) = Current Price: $1.10; Down 7%
- Pulling back a bit after a nice 4 day run

Cord Blood America Inc.(CBAI.OB) = Current Price: $0.0136; Up 12%
- Another stock coming back

MultiCell Technologies (MCET.OB) = Current Price: $0.023; Up 44%
- Coming off 5 straight down days, it may be preparing for another run

Pluristem Therapeutics (PSTI) = Current Price: $1.56; Up 20%
- Dropped from $2.21 to $1.14 in just a couple of days; seems to be coming back


Why Did Many of the Stem Cell Stocks Comeback Today?

The obvious answer would be that the market was up, so, the “stems” were up. Although there may be some validity to that thought, this sector has been in bull mode despite the DOW beginning to consistently dip below 8000. Consequently, it has got to be something else.

There is a very strong possibility that today’s strength was a function of Wall Street discovering “political action” involving the amendment of the Public Health Service Act. Yesterday and today, legislation was introduced and referred to the House Energy and Commerce Committee to provide for human embryonic stem cell research. The critics would say that this isn’t that big of a deal because there are still several stages remaining before any formal changes can occur. However, I am of the opinion that this is “stock moving” news because it further reinforces the rumor that government will make stem cell research a priority and sufficiently fund it. Don’t forget that the anticipation of “what could be” is far more powerful than “what is” when it comes to the stock market. Look for this positive momentum to continue Friday.

Hot Stem Cell Stock Topic to be Featured Next Week:
“I really believe in the potential of stem cell research and would rather invest than trade. How will I know when to exit my position?"

Check back to http://tradingstemcells2009.blogspot.com/ frequently where the stem cell stock “homework” is done for you.

Stem Cell Company Stocks 2/3/09: What has Last Week Taught Us

Welcome back to http://tradingstemcells2009.blogspot.com . Let's take a look and see what has happened so far this week.


Notable Stem Cells Stocks moving up 2/2/09 - 2/3/09:
ARIA - UP 29%
ATHX - Up 21%
BHRT - UP 44% (Caution! Volume is still a little low on this one, but it appears to be increasing)

Notable Stem Cell Stocks pulling back 2/2/09 - 2/3/09:
KOOL - Down 14%

PSTI - Down 20%

What Have We Learned from the Stem Cell Stock Moves of Last Week?

When trading quick moving stocks like these, you have to have a game plan. Let look back at the past week and a half. Yes, a lot of the stem cell stocks began to move shortly after Barack Obama was elected president back in early November. However, I keep going back to Geron Corp’s announcement the morning of 1/23/09 because that was a defining turning point. Every stem cell stock we are following is up since that announcement. The first significant thing this brief stock history tells us is which stocks will give us volume. Volume is particularly needed when dealing with really small market caps stocks that frankly most of us had never really heard of prior to Geron’s press release.

Which Stem Cell Stocks Experienced Significant Moves First?

GERN and STEM. GERN, of course, moved because the big news came directly from them. STEM moved immediately because it has the most recognizable and notable name in the sector. However, the largest immediate mover was MCET.OB moving from $0.0043/share to as high as $0.07/share in 2 days. That’s over 1500%! From what I can see, there really isn’t anything that stands out about the company, but it moved quickly because it had the combination of having a super cheap share price and a relatively low number of outstanding shares (76 million per Google Finance)

Which Stem Cell Stocks Experienced Significant Moves Next?

CBAI.OB, SCLL.PK, and ACTC.PK. The first two listed stocks were comparable in share price to MCET.OB, but had a lot more shares outstanding (+300 Million and 1.1 Billion respectively). CBAI.OB has a strong PR machine, a solid business plan, and a notable investor. SCLL.PK has several stem cell related patents and is a potential takeover candidate. It appears that traders/ investors began to analyze companies in the sector a little more stringently and then "doubled down" on the ones that appeared to be the most solid. ACTC.PK, also fits this criteria despite being a little more expensive from a share price standpoint.

LSTM.OB also move pretty significantly around this time because its share price was comparable to MCET.OB, CBAI.OB and SCLL.PK. However, there are some questions regarding whether LSTM.OB is a serious stem cell company due to its involvement in other nonrelated fields.

During the later part of last week, the final big mover was PSTI. Its tiny 6 million share float made it too irresistible for traders late in game not to push up.

Based on the early stock trends of this week, it appears most of the stocks are either pulling back or leveling off. Wednesday or Thursday of this week may be a good time to begin thinking about establishing or re-establishing positions in your favorite stocks for the next run.

Final Synopsis

The stems cell stocks that have moved the most have had volume and at least one of the following criteria: super cheap share prices, low outstanding shares, and company legitimacy. After compiling all of this data it appears that if you want to be making money as quickly as possible, you want to watch CBAI.OB, SCLL.OB, ACTC.PK, PSTI, and MCET.OB. If you see one of these making a move, you’d better act fast.

Stem Cell Company Stocks 2/1/09

Stem cell stocks are on fire right now! Let's take a look at how well these stocks have performed since the pivotal announcement by Geron Corp regarding the first human stem cell trial the morning of 1/23/09:

Market Cap over 50 Mil

Ariad Pharmaceuticals (ARIA) = Current Price: $1.67; Up 16%
Aastrom Biosciences (ASTM) = Current Price: $0.73: Up 43%
Celgene Corp (CELG) = Current Price: $52.95; Up 8%
Geron Corp. (GERN) = Current Price: $7.84; Up 50%
ThermoGenesis (KOOL) = Current Price: $0.77; Up 42%
StemCell, Inc. (STEM) = Current Price: $2.68; Up 25%

Market Cap Under 50 Mil

Advanced Cell Technology (ACTC.PK) = Current Price: $0.24; Up 100%
Athersys, Inc.(ATHX) = Current Price: $1.01; Up 49%
Brainstorm Cell Therapeutics Inc.(BCLI.OB) = Current Price: $0.16; Up 60%
Bioheart Inc.(BHRT) = Current Price: $0.80; Up 1%
Cord Blood America Inc.(CBAI.OB) = Current Price: $0.0151; Up 297%
Cyro-Cell International (CCEL.OB) = Current Price: $0.74; Up 61%
Neuralstem (CUR) = Current Price: $1.74; Up 22%
International Stem Cell Corp.(ISCO.OB) = Current Price: $0.51; Up 76%
LifeStem International (LSTM) = Current Price: $0.0199; Up 410%
MultiCell Technologies (MCET.OB) = Current Price: $0.024; Up 458%
Osiris Therapeutics (OSIR) = Current Price: $20.05; Up 6%
Pluristem Therapeutics (PSTI) = Current Price: $1.81; Up 184%
Stem Cell Therapy Intl (SCII) = Current Price: $0.11; Up 100%
Stem Cell Innovations (SCLL.PK) = Current Price: $0.016; Up 191%
Vitro Diagnostics (VODG.OB) = Current Price: $0.14; Up 133%


Possible Catalyst for Further Upward Price Movement This Week

The FDA is expected to rule whether they will approve a drug developed by GTC Biotherapeutics (Nasdaq: GTCB) called ATryn by 2/07/09. The drug is prepared from the milk of genetically engineered goats and is used as an anti-blood clotting medication. Because of the recommendation of an advisory panel, the FDA is expected to approve this drug for sale in the US. Although this development does not directly relate to stem cell research, it would further validate this new administration's commitment to using biotechnology and nontraditional methods for medical treatments. An approval by the FDA regarding the use of genetically engineered animals would be huge and reverberate throughout the Biotech community and, more importantly, Wall Street. Most of stocks in this sector will rise.

Notable Trends and Events for Key Stem Cell Stocks

- Pluristem Therapeutics (PSTI) - Stock has gone up 7 days in a row. What's appealing about this stock is that compared to all the other publicly traded stem cell companies, it has very few outstanding shares, steadily increasing volume and was one of the last stem cell stocks to make a big move. On Friday 1/29/09 they sold over a 1 million additional shares to raise money. After moving up so many days in a row, expect a pull back to come soon although it should be brief.

- Geron Corp (GERN) and StemCell (STEM) - Both stocks began to surge back in November 2008 and had huge pops after the news on 1/23/09. However, they each pulled back during the latter part of the week. Look for both stock to begin a slow steady incline to new highs starting this week.

- Advanced Cell Technology (ACTC.PK) - This stock actually began to really move at the start of 2009. Although it has gone up 100% since 1/23/09 it began the year at around $0.03/share and peaked at $0.29/ share. It looks to be finding a trading range at around $0.25/share, but I wouldn't be surprised to see it hit $1.00/ share in the next 3 months.

- Cord Blood America (CBAI.OB) - This cord blood stem cells stock went up 4 days in a row until finally pulling back Friday 1/29/09. Despite its "micro-penny" status, this stock appears to be one of the best candidates for quick price appreciation. Word has spread that Blue Cross Blue Shield recently purchased over 15 million shares. Although this doesn't represent that large of an investment monetarily, the fact that a large reputable entity has shown interest speaks volumes. I expect this stock will move from $0.015/share to $.05/share in the next two weeks.

My final word for traders or potential traders is to not fear the "Penny" status of stem cell stocks. The current stock price of these companies was simply a function of political suppression. Don't allow any negative thoughts you may have about trading stocks that are less than a dollar keep you from making money.