$ ATHX - Athersys, Inc. future is bright!

Next swing trade: $ATHX

  • Anticipated buy-in: $1.44-$1.48
  • Anticipated sell: $1.70+
  • Return On Investment (ROI): 15%+

This is a great company because it is trading off 52-week lows at $1.35 with catalysts coming up. It works to my advantage because it is about to become oversold, which tells me a selloff is about to come Thursday. I will be going into technicals, the recent PR released, and why I believe the incoming catalysts on May 20th, is going to be positive.

Recent positive PR:

04/22/2019 Athersys Is Poised To Snatch The Holy Grail Of Acute Injury

04/23/2019 HEALIOS K.K. Announces Enrollment of First Patient in Japan in the ONE-BRIDGE Study of MultiStem® Treatment for Acute Respiratory Distress Syndrome

04/23/2019 Athersys (ATHX) Upgraded to Strong Buy: Here's What You Should Know

  • Received a $2.0 million payment from Healios for a right of first negotiation through June 2019 for an option to develop and commercialize MultiStem therapy for certain indications in China; Healios may extend the negotiation period through December 2019 with an additional payment of $3.0 million;

  • Receiving cash is always a good thing, especially up front.
  • Recognized revenues of $1.5 million and net loss of $11.3 million, or $0.08 net loss per share, for the quarter ended December 31, 2018; and

    • This is pretty bad because they are spending more than they make. They made $1.5 million but spent $11.3 million.
    • Ended 2018 with $51.1 million in cash and cash equivalents and February 28, 2019 with $51.5 million in cash and cash equivalents, reflecting a solid financial foundation.

      • This is actually pretty good, because even thought they spent $11.3 million last quarter, they still have some cash to stay afloat.

    TECHNICALS:

    05/08/2019: 2D 30M

    Resistance: $1.62

    High of Day: $1.66

    Support: $1.59

    Next step down: $1.56

    Based on past behavior on Earning Reports. It will sell off again to $1.44 and reverse to run. This leaves room for a ROI of 15%+ if done correctly. Luckily for us, Earning Report is this morning (05/08/2019) and catalyst is May 20th so agreat buy in will be at oversold $1.44 😊 Goodluck to US! (If you join me!)

    Disclaimer: Do your Due Diligence, just sharing my opinion. I cannot predict the market, but if you compare past behaviors... this is a great ticker to setup for a swing when investors overreact.

     

    Buy in the RED
    Sell in the GREEN

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