Genome What I’m Sayin’?
At long last … the day has come!
‘Round here, Fridays are filled with Reader Feedback from start to finish — like a feast of meaty market morsels, delectable investing questions and awkward food analogies.
It’s once again time to hold my nose and dive into the Great Stuff inbox to answer your questions, digest your rants and laugh at whatever absurd things you’ve sent me in the past week!
If you’ve never written into our inbox and have no idea what Reader Feedback is … your time is gonna come. It’s right now, actually. Since you’re too late to join this week’s edition — time is still seemingly linear, much to my dismay — you can always join in the fun next week.
Drop us a line at GreatStuffToday@BanyanHill.com and rant like the wind, bulls-eye!
Now, for today’s featured presentation:
Good afternoon, dear Joseph. I have been following you now for the past year and a half or so. It is always a pleasure to read your emails in the evenings as well as on the weekends. You are great, and you are greatly appreciated.
I would like to ask you if you could elaborate a little about CRISPR to me. I have been holding it for the past six months now and [am] hoping for it to go up beyond $132. Thank you if you could shed some light on this.
— Farhad T.
Ahh, CRISPR Therapeutics (Nasdaq: CRSP). Farhad, thanks for writing in about this unique and revolutionary company.
For those not in the know, CRISPR is a gene-editing company that develops genetics-based solutions for serious diseases.
Now, before we go all Ian Malcolm on CRISPR … we’re not talking about resurrecting dinosaurs or anything. We’re talking about genetic solutions for rare and serious human issues. Diabetes, cystic fibrosis —that kind of serious.
And CRISPR doesn’t mess around with trial-and-error drug testing. It goes right to the source: you and your disease … which also sounds kinda like a ’90s emo band, but whatever.
The key here is the efficacy and unique personalization of gene-editing therapies. It’s a level of precision and control never before seen in traditional drug making. No more “one size fits all” health care, no siree!
If you’ve kept up with all the other times we’ve gone down the genomic rabbit hole, you know we’re smack-dab in a health care and precision medicine revolution right now. I mean, genetic sequencing, MRNA vaccines, CRISPR’s tailored solutions to unique diseases … you name it.
When you’re literally editing and correcting the very building blocks of human beings, yeah, the sky is literally the limit! (As long as you have the research funding, that is…)
So, anyway, CRSP stock: Will it go beyond $132?
The short answer is: Yes. The long answer is: Yeeeeeeeeeesss.
Basically, with all its cutting-edge tech and custom-tailored health care solutions, CRISPR will either become one of the biggest drugmakers in the world … or it will be bought by one of the biggest drugmakers in the world. So goes the life cycle of biotech and therapeutics stocks.
Besides the fact that CRISPR Therapeutics is an OG genomics pioneer — I mean, one of its founders literally co-developed the CRISPR platform — it’s streets ahead of rivals Editas and Intellia. It has more programs underway in clinical trials … and a diverse blend of approaches, too.
Regenerative health? CRISPR is on it, tackling type 1 diabetes with its research in beta-cell replacement therapy. (Gesundheit.) CRISPR is already in clinical trials for immuno-oncology therapies. Plus, it’s also researching In Vivo approaches to treating Duchenne muscular dystrophy, cystic fibrosis and glycogen storage disease.
Not the glycogen! Say it ain’t so!
Then there’s CRISPR’s hemoglobinopathies trial, which works with disorders passed down by family. It’s insane technology once you get past the biotech mumbo jumbo. So when it comes down to CRISPR as a company and the genomics trend it’s running in, I’m all game.
But then … there’s the market.
Given the economy, the Fed and all the general market buffoonery going on right now, you could be waiting a bit before CRSP stock revisits the $130-plus range.
It’s not because CRISPR isn’t a solid company. It’s because CRISPR is a growth company.
And right now, Wall Street is very skittish about anything that’s not a value play or a blue chip. CRISPR is a disruptive biotechnology company. It falls squarely in the middle of that “growth stock” category, so CRSP shares are suffering more than they rightly should right now.
In other words, Farhad, if you’re holding CRSP stock … and you have the stomach for broad-market risk, keep holding CRSP stock.
In fact, as I started replying to you today, CRSP shares were headed south toward $100 — a critical psychological support price point for CRSP stock. I was going to tell you that, should CRSP fall below $100, then picking up a few more shares might not be a bad idea. The company is a steal at this price point and lower.
Well, guess what? CRSP fell about 4% today as the morning’s gains turned to red, dipping below that $100 point of support. Here’s your bargain, all ye bargain shoppers.
If you’re already in, buckle up and stay in. If you’re not in CRSP, consider this growth stock slaughter a buying opportunity — as long as you’re willing to brave the broad-market risk, like I said.
And for all y’all out there asking: “Ooh, ooh, is this an official pick?” Let me clarify: Nope. I am not officially adding CRSP to the Great Stuff Picks portfolio right now. If you buy CRSP, it’s your pick. Congrats!
We are watching the genomics trend overall … and I suggest you do the same, given the potential therein. If you want more actionable research on gene-editing companies, we’ve got you covered.
What you’re looking for is called “Imperium.” And according to experts, Imperium is set to go from virtually unknown … to having 2 billion users in the next four years, launching a stock market gravy train almost nobody sees coming.
I hope that helps, Farhad. Thank you again for writing in!
If you’re gung-ho about genomics or have more questions on the matter, write to us right meow! GreatStuffToday@BanyanHill.com is where you can reach us best, any day of the week.
Wake Me Up Before You GOGO
Dear Mr. Great Stuff,
I am lucky enough to own a few shares of GOGO. I was down about 10% two weeks ago and am now up 37.5%. They’re into in-flight internet, and apparently, a large contract has triggered this move.
What do you know about its long-term prognosis? In other words, how long do I want to wait to pull the trigger? You can probably do a good tune with the name. — Laurence R.
Howdy, Laurence! Thanks for stopping by. I’m not gonna lie to you … I hate this company.
OK, mostly, I hate paying for in-flight wireless when it’s basically free everywhere else on the ground. That’s not Gogo’s (Nasdaq: GOGO) fault … but I can still complain. And I will.
Gogo banks on selling in-flight internet access … it is what it is. But Gogo isn’t making in-flight entertainment for just anyone anymore — no, last we talked about the stock, I mentioned that GOGO had just sold off its commercial aviation division.
Now Gogo just focuses on the bougie private jet market. (Shout-out to Ken, our eyes in the private-flying skies.) And wouldn’t you know: Gogo has actually benefitted from an increase in private jet travel. I mean, Gogo could also benefit from the pick-up in commercial air travel, but whatever.
Regardless, the stock surged in late September after Gogo boosted its earnings, revenue and margin guidance, which is probably why you’re up 37% right now. That guidance is all priced into GOGO stock, so don’t expect it to gain much more from this particular bit of news.
The company’s also building out its own 5G wireless network on the ground, but I’m not all that excited about it. You already have Verizon, T-Mobile and AT&T in the 5G market. Unless GOGO offers some seriously discounted rates or something else extremely unique, I don’t see this adding to the company’s bottom line all that much.
Now, what you do with your GOGO shares is entirely up to you. Certain alphabet agencies don’t like me getting all up in your business like that, you know?
But to me, personally? A 37% gain in two weeks ain’t too shabby, especially in this market. And I’m still not a fan of Gogo. The stock is already heaving up much of its recent gains, so if you want to pull a DB Cooper and jump ship … start eyeing those emergency exits now.
Hope that helps, Laurence!
Swimming With Short Sharks
Hello again, oh Great Stuff.
Once again, it appears that people — and I use that term loosely as I would prefer the term idiots — people would rather believe a self-serving short seller than good information from the company management team that is involved in the day-to-day operations.
The response from the company was good, but the movement of the stock after the response was not. HYZN dropped 40% on the short-seller attack and gained only 4% on the company response. Seems that people place more value on slander than they do good information. Sign of our times.
I will hold my shares in hopes that intelligence prevails at some point, but for now, it seems as if the short sharks are circling. — Richard K.
Dick! You sly Great One, you … it’s been a hot minute since you wrote in. How’s it hanging?
I’m sure you’ve already read my take on the whole Blue Orca thing with Hyzon Motors (Nasdaq: HYZN), so I’ll spare you the recap. But it does look like Wall Street is finally waking up to the fact that Blue Orca is about to make like that whale in Hitchhiker’s Guide to the Galaxy:
And wow! Hey! What’s this thing suddenly coming toward me very fast? Very, very fast. So big and flat and round, it needs a big wide-sounding name like … ow … ound … round … ground! That’s it! That’s a good name — ground!
I wonder if it will be friends with me?
And the rest, as we say, was silence after a sudden wet thud.
But I feel you on the whole “hoping that intelligence prevails” front. There are just some things — like semitrucks in cold weather — that work better with hydrogen power. Furthermore, we aren’t turning toward just one alternative energy solution to replace oil.
Europe has already figured all this out, and it’s where Hyzon will grow the most in the coming years.
Mark my words, though: Sooner or later, the U.S. will figure this out as well. And it won’t be a government stimulus package that sparks the next big move in hydrogen fuel cells. It will be corporate America.
They’re smart. They’ll figure it out … and tech advances will make companies like Hyzon the next big players in the energy market. We both know this. And we both know that HYZN is staying right there in the ol’ Great Stuff Picks portfolio.
Thanks for writing in, Dick!
Fear & Self-Loathing: A Facebook Fable
Never trusted it or used it to this day.
Old Zuckster is in it for the MONEY and doesn’t care about your precious feelings or self-worth. You are but fodder and data that feed the toxic algorithms in the never-ending stream of filth and detritus spewing from that sewer hole!
What a way to WASTE TIME, only to leave with: Fear and Self-Loathing! Hunter S. Thompson, anyone? — Rick J.
Rick, why don’t you tell us how you really feel?
I’m kidding, buddy — I completely agree with those not-so-warm-and-fuzzy Facebook feelings of yours. There is nothing in the world more helpless and irresponsible and depraved than someone in the depths of a social media binge.
Somehow, there are still people who believe Zuckerberg’s trying to create an altruistic “free communication for everyone” world with Facebook … but most of us see the platform for the data driver that it really is.
But let’s be honest: If younger generations start moving away from Facebook, it won’t be over privacy or data-collection concerns. That ship has already sailed.
Instead, they’ll just move to whatever social media app is new and trending at the time. Spoiler alert: It’s TikTok. And we know there are absolutely no privacy concerns whatsoever with TikTok … insert your “old man shakes fist at cloud” jokes here.
Anyway, as Thompson would say: Buy the ticket, take the ride. I just really wish that ride didn’t generate ads that are eerily accurate to the conversation I had five minutes ago…
Thanks for playing along, Rick!
And for all you other cool cats and kittens wanting to chime in for Friday Feedback, write to us whenever the market muse calls to you: GreatStuffToday@BanyanHill.com.
In the meantime, here’s where you can find our other junk — erm, I mean where you can check out some more Greatness:
Until next time, stay Great!
Editor, Great Stuff