Beware of SBET, WeBull, and Sarepta
Investors who bought WeBull (BULL) before last week gained 33.6%. However, after the market closed on Friday, July 18, the trading firm filed for a massive stock sale.
WeBull is selling 75,159,236 shares, or one-quarter of its entire float, by a selling shareholder. BULL stock traded as low as $9.54 and as high as $79.56. It closed at $16.89 last week.
Investors should consider Coinbase (COIN), Robinhood (HOOD), or Futu (FUTU) instead.
The jump and fade cycle in SharpLink Gaming (SBET) will benefit day traders. However, investors should avoid it entirely. The stock rose after the online performance marketing platform briefly became the biggest holder of ether (ETH-USD). According to strategicethreserve.xyz, the top three holders are Bitmine Immersion Tech, SharpLink, and Ethereum Foundation.
In the biotechnology sector, Sarepta Therapeutics (SRPT) lost 36% of its value last Friday. The company reported a third death associated with the DMD gene therapy. It is down by 88.4% YTD. Bloomberg’s report that the FDA commissioner, Marty Makary, might be “taking a hard look” at halting shipments of the gene therapy.
Sarepta co-developed the therapy with Roche (RHHBY).
The casualty sets back the use of AAV vectors for delivering gene therapy. This might lead to Sarepta shifting toward siRNA. That would increase risks, adding uncertainty to Sarepta’s gene therapy platform.
