Watching BCRX as of today after noticing it finally reached $20. I think there’s a potential that the earnings ramp up is beginning to reverse on BCRX. The catalyst to the uptrend I’m presuming is introducing someone new to their board of directors.
I believe this is a historical resistance. They currently have an upcoming earnings, but currently unsure whether or not people are bullish on it.
I already entered into a very small position at the end of day. A $19 March 18th. It has enough open interest to allow for mid-buys, but noticed it was a struggle to get in at the bid. Options are sort of cheap, but definitely a risky area as it did not seem to have confirmed an actual reversal as of yet.
Ended today up 6% ($10). It reached around 10-20% in the morning with the dip momentum, but I decided to hold it. Likely today is confirmation that a downtrend is to begin. As to how far it’s likely to go down? $15 has been a good area of support for BCRX. I might buy a second on Monday and then hold one over earnings, but there is a chance this is all only due to the Index movement. Only time will tell.
Sold my BCRX for $40 profit with a cost basis of $1.15. Think that’s around 40%? BCRX is planned to have earnings tomorrow at PM, so I’m going to go with my gut and enter the $16 Put. I don’t believe the earnings report will reverse the trend unless they smash earnings.
Although they’ve run pretty hard since their 4th quarter Orladeyo sales were released, it has seemed to track XBI and SPY in general for the last few weeks. This Russia/Ukraine uncertainty is probably going to make it dump a little more, unless like you said, they kill earnings.
Longer term I think this company is great, and has a very bright future. They have several drugs already on the market, and therefore are experienced in navigating the FDA approval process (The also have on their board Dr. Galson, who is a former Director of the Center for Drug Evaluation and Research at the FDA and former Surgeon General).
Their next drug (BCX9930) takes aim at replacing Soliris (Eculizumab), a drug which generated 1 billion in revenue for Alexion before they were bought out by Astra Zeneca. Phase 1 had favorable results, but Phase 2/3 is what investors are waiting on.
Sold out of BCRX. Didn’t make too much on the earnings play, only $15. It doesn’t that the options ended up being too profitable here. Technically BCRX is still at a ‘high’, but they did come out with news saying details for their sales in 2022.
