Technical analysis of Cellectis stocks shows it could experience a bullish trend in the short-term before it fades into a bearish longer-term trend. Cellectis SA is a biotech firm that mainly focuses on creating immunotherapies from the CAR-T gene edited cells. The company’s main goal is to create a new generation of cancer therapies from the gene-edited T-cells.
The stock has been in a period of long-term consolidation following a sustained downtrend resulting from a 1-2-3-4-5 downside impulse wave from the previous year. This analysis gives accurate insight as to what you should expect as regards to the price movement pattern that we will see as we enter Q2 of 2019.
Fundamental Analysis of Cellectis stocks
The company released its Q1 of 2019 financial results on May 7. Among other statistics, the company experienced a net loss per share of $0.36. Additionally, the Q1 revenue amounted to $3 million as the firm focuses on Research and Development, on which it spends $14 million every year.
There was over $400 million total cash on hand, thus the runway may continue, but the stock’s investors want to see positive results of the R&D in clinical achievements, as indicated here. The company had previously announced that the U.S. FDA (Food and Drug Administration) had approved its Investigational New Drug request to begin Phase 1 trials of the UCARTCUS1. The request was submitted to the FDA In December 28th, last year, and by January 25th, this year, it had been approved.
The company sponsors the UCARTCAS1 clinical study and facilitated the successful manufacture and release of UCARTCS1 GMP batches and the approval of IRB. According to the Chief Executive Officer of CLLS, “The last quarters have been very productive for CLLS’s UCARTCSI products candidate. We successfully manufactured and released GMP batches of UCARTCS1, filed an IND and secured approval from the FDA to start the MUNDI-01 Phase 1 clinical study.”
Additionally, “This is the 4th time in 4 years that CLLS demonstrates excellence with an allogeneic product candidate. It further demonstrates the strength of our innovation, our manufacturing process, and our execution, as we are eager to bring the first allogenic multiple myeloma CAR-T cell treatment to patients.” This announcement sent a wave of positive relief for the stock’s price, but this was not enough to cause a full-scale reversal of the downtrend.
According to the stock price technical analysis, it is currently on a corrective channel after cascading downwards from its 2018 highs. As such, the technical signs reveal a bearish flag in the long-term, despite the recent positive trend.