Calidi Plunges 40%: Capital Raise and Reverse Split Spark Investor Panic

Summary
• Calidi Biotherapeutics (CLDI) slumps 40% pre-market amid a $6M capital raise and 1-for-12 reverse split.
• Intraday range widens to $1.68–$1.90, signaling extreme volatility.
• CEO Eric Poma highlights 'difficult market conditions' despite investor participation.

Calidi’s stock has imploded in pre-market trading, driven by a capital-raising move and structural adjustments. The 40% drop reflects investor skepticism over financial stability and strategic clarity, with the reverse split and weak earnings forecasts amplifying concerns. The stock’s intraday range underscores a fragile market sentiment.

Capital Raise and Reverse Split Trigger Sharp Decline
Calidi’s 40% plunge stems from a $6 million public offering priced at $2.00 per common stock unit and $1.999 per pre-funded warrant unit. The reverse split, combined with tepid earnings forecasts, has eroded investor confidence. The offering’s structure—issuing 1.47 million common units and 1.528 million pre-funded units—dilutes existing shareholders, while the 1-for-12 split artificially inflates the share price, raising red flags about financial health. CEO Eric Poma’s admission of 'difficult market conditions' further fuels uncertainty.

Technical Deterioration and Options Void: A Bearish Playbook
• MACD: 1.01 (bearish divergence from signal line 1.098)
• RSI: 59.18 (oversold territory)
• Bollinger Bands: Price at $1.7943, far below upper band ($8.15), near lower band ($-1.79)
• 200D MA: 1.1568 (price at 1.7943, above long-term support)
• Support/Resistance: 30D support at 0.5496–0.6836; 200D support at 0.3642–0.5048

Calidi’s technicals paint a dire picture: bearish MACD divergence, oversold RSI, and a price near Bollinger lower band. The 200-day MA at $1.1568 acts as a critical floor. With no options liquidity, short-term traders should target 0.5496–0.6836 support levels. A breakdown below $0.5048 could trigger panic selling. Amgen’s 0.619% gain highlights sector resilience, but Calidi’s structural issues isolate it from broader biotech strength.

Backtest Calidi Stock Performance
The CLDI ETF has experienced a -40% intraday plunge, and the backtest results show a mixed performance in the following days. The 3-day win rate is 40.40%, the 10-day win rate is 36.00%, and the 30-day win rate is 35.20%. However, the ETF has negative returns in the short term, with a -0.36% return in 3 days, a -2.06% return in 10 days, and a -5.85% return in 30 days. The maximum return during the backtest period is 0.50%, which occurred on day 0.

Calidi’s Freefall: A Race to the Bottom or a Buying Opportunity?
Calidi’s 40% drop reflects a perfect storm of capital-raising dilution, reverse split optics, and weak fundamentals. While the 200-day MA at $1.1568 offers a potential rebound floor, the 0.3642–0.5048 support zone remains a critical test. Investors should monitor Amgen’s 0.619% gain for sector sentiment but brace for Calidi’s continued fragility. A breakdown below $0.5048 could force further capital raises or restructuring. For now, short-term bearish plays dominate, with a watch on 0.5496–0.6836 as a potential short-term bottom.