Editas Medicine Inc (NASDAQ:EDIT)
Editas Medicine, Inc. (EDIT), a genome editing company yesterday reported their first quarter 2017 financial results. The company reported a first quarter loss of $31.1 million.
EDIT reported first quarter adjusted earnings of a loss of $0.85 per share which fell short of analyst expectations of a loss of $0.62 per share. EDIT reported first quarter revenues of $682,000.
Editas Medicine, Inc. CEO’s Comments
“We made outstanding progress this quarter building our business for the long term, including forming a strategic alliance with Allergan (NYSE:AGN) in ocular diseases, cementing our unmatched intellectual property position with a favorable USPTO decision, and doubling our cash runway,” said Katrine Bosley, President and Chief Executive Officer of Editas Medicine. “These achievements represent significant strides forward in positioning Editas Medicine to execute our vision to build a company that pioneers a broad new category of genomic medicines.” Globe Newswire
EDIT Technical Analysis
Editas Medicine Chart
EDIT opened trading yesterday at $20.02 which was up from the previous day’s trading close of $19.29. EDIT closed trading yesterday at $20.01 and crashed down after market to $18.88, equivalent to a 6% decrease from the closing price.
Taking a look at the daily chart we can see the last time EDIT traded below these levels we have to go back to May 11th when it traded at $18.51. It’s higher priced than the usual penny stocks that I trade but there could still be plenty of opportunity for a trade here.
Taking a closer look at the daily chart we can see that before the spike down EDIT had already been in an overall downward trend dating back to February 21st when it traded at $27.27. EDIT has a float of 20.59 million shares and traded below the normal daily trading volume on Monday.
For trading purposes, I would like to see EDIT open trading on Tuesday below $19.25 and if it does I would be looking to take a short position at the bell. My stop loss would be $0.20 from my entry position fearing anything more than that and the stock would start to fill in the gap down.
Company Profile
Editas Medicine, Inc. operates as a genome editing company. It focuses on treating patients with genetically defined diseases by correcting their disease causing genes. It is developing a proprietary genome editing platform based on CRISPR technology to target genetically defined diseases with an initial focus on debilitating illnesses where there are no approved treatments.
Editas Medicine, Inc. has a collaboration and license agreement with Juno Therapeutics, Inc. for the research and development of engineered T cells with chimeric antigen receptors and T cell receptors; and collaboration, option, and license agreement with Adverum Biotechnologies, Inc. to explore the delivery of genome editing medicines for the treatment of inherited retinal diseases.
The company was formerly known as Gengine, Inc. and changed its name to Editas Medicine Inc. in November 2013. Editas Medicine, Inc. was founded in 2013 and is based in Cambridge, Massachusetts.