The Australian diagnostics company Genetic Technologies (GENE)(GTG.AX) is giving up gains from Wednesday, down 6% on the day to $3.48. The middle of the week saw immense momentum on the stock from traders, driving share price from $3.18 to $4.20 before beginning a descent that lasted through Thursday and into this morning. Gains on Wednesday were triggered when the Australian banking firm Lodge Partners initiated coverage of Genetic Technologies with a `Buy` rating, followed by news of a patent infringement suit from GENE against the Reproductive Genetics Institute. GENE markets BREVAgen, a diagnostic tool for determining genetic predisposition to breast cancer in women and is the exclusive marketer of Rosetta Genomics` (ROSG) miRview set of assays in Australia, New Zealand, and Singapore. Genetic Technologies had losses of $1.15 per share in fiscal 2012 - ended June 30 - but expects to improve revenue through sales of BREVAgen, saying that market penetration so far is in-line with similar products; the assay is now available in 48 states. GENE is beginning to even out as trader involvement dissipates and is trading on the low end of its 52-week range. Investor chatter points to Roche`s (RHHBY) Investor Day on the 5th as a catalyst for companies in the field of personalized medicine, like Genetic Technologies, however, this kind of trade is very speculative. PropThink identified another company that will benefit from Roche`s conference next week, however, and that report on Halozyme Therapeutics (HALO) is availablehere.
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PropThink: Genetic Technologies' Wednesday Gains Unsustainable, Declining Without Momentum