Sutro Biopharma (STRO) AI Stock Analysis

• Market Cap: $86.47M
• Dividend Yield: N/A
• Average Volume (3M): 987.85K
• Price to Earnings (P/E): ―
• Beta (1Y): 3.82
• Revenue Growth: -34.36%
• EPS Growth: -59.97%
• Country: US
• Employees: 269
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.67
• Shares Outstanding: 84,774,180
• 10 Day Avg. Volume: 2,002,360
• 30 Day Avg. Volume: 987,852
• PEG Ratio: >-0.01
• Price to Book (P/B): 3.17
• Price to Sales (P/S): 2.28
• P/FCF Ratio: -0.73
• Enterprise Value/Market Cap: 0.87
• Enterprise Value/Revenue: 0.71
• Enterprise Value/Gross Profit: 0.81
• Enterprise Value/Ebitda: -0.44
• 1Y Price Target: $2.36
• Price Target Upside: 187.80% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 40 Neutral
• Price Target: $1.00 ▲(21.95% Upside)

The overall stock score is primarily influenced by the company's financial instability and ongoing losses, as reflected in the low financial performance score. Technical analysis suggests potential for a rebound, but the valuation remains unattractive due to negative earnings. The lack of earnings call data and corporate events means these factors did not influence the score.

Positive Factors

Innovative Platform

Sutro's proprietary cell-free protein synthesis platform enables rapid development of complex biologics, enhancing its competitive edge in oncology.

Strong Partnerships

Collaborations with major pharmaceutical companies provide revenue through upfront and milestone payments, boosting financial stability and resource access.

Revenue Growth Potential

Strong revenue growth indicates potential for future profitability, especially if cost structures are optimized, supporting long-term business expansion.

Negative Factors

Financial Instability

Negative equity and debt ratios highlight financial instability, posing risks to long-term solvency and requiring strategic restructuring.

Ongoing Losses

Persistent losses reflect challenges in achieving profitability, necessitating improvements in cost management to sustain operations.

Cash Flow Challenges

While free cash flow is growing, negative operating cash flow indicates ongoing liquidity issues, impacting financial flexibility and growth capacity.

Sutro Biopharma Business Overview & Revenue Model

Company Description

Sutro Biopharma, Inc. is a biotechnology company focused on the development and commercialization of therapeutics for cancer and other serious diseases. Utilizing its proprietary cell-free protein synthesis platform, Sutro Biopharma designs and produces next-generation protein therapeutics such as antibody-drug conjugates (ADCs) and bispecific antibodies. The company's innovative approach allows for the rapid development of complex biologics, targeting various therapeutic areas, particularly in oncology.

How the Company Makes Money

Sutro Biopharma generates revenue primarily through collaborations and partnerships with pharmaceutical companies, where it provides its proprietary technology and expertise in the development of novel therapeutics. These collaborations often involve upfront payments, milestone payments upon achieving specific development goals, and royalties on future sales of the products developed. Additionally, the company may generate revenue through government grants and funding aimed at supporting its research and development activities. Significant partnerships with larger pharmaceutical entities can enhance Sutro's revenue potential by providing access to additional resources and distribution channels.

Sutro Biopharma Financial Statement Overview

Summary

Sutro Biopharma demonstrates strong revenue growth and gross profit margins, but faces significant profitability and financial stability challenges. The negative equity and ongoing losses suggest a need for strategic restructuring to achieve sustainable growth and profitability. Cash flow improvements are a positive sign, but further efforts are needed to stabilize operations.

Income Statement

Sutro Biopharma shows a strong gross profit margin of 96.39% TTM, indicating efficient cost management relative to revenue. However, the company faces significant challenges with negative net profit and EBIT margins, reflecting ongoing losses. Revenue growth is robust at 57.26% TTM, suggesting potential for future profitability if cost structures are improved.

Balance Sheet

The balance sheet reveals a concerning negative stockholders' equity, resulting in a negative debt-to-equity ratio. This indicates financial instability and potential solvency issues. The return on equity is also negative, highlighting inefficiencies in generating returns from equity investments.

Cash Flow

Cash flow analysis shows a positive free cash flow growth rate of 26.96% TTM, but the company still operates with negative operating cash flow. The free cash flow to net income ratio is slightly above 1, indicating that cash flow generation is somewhat aligned with net income, albeit both are negative.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	105.65M	62.04M	153.73M	67.77M	61.88M	42.72M
Gross Profit	92.19M	54.83M	146.91M	59.48M	52.11M	-34.24M
EBITDA	-171.38M	-180.45M	-67.92M	-105.07M	-97.56M	-23.75M
Net Income	-216.77M	-227.46M	-106.79M	-119.20M	-105.54M	-32.13M
Balance Sheet
Total Assets	209.66M	387.21M	470.74M	406.94M	341.41M	394.11M
Cash, Cash Equivalents and Short-Term Investments	167.59M	316.89M	375.62M	334.36M	197.94M	368.14M
Total Debt	17.66M	23.15M	33.63M	50.43M	57.37M	24.55M
Total Liabilities	296.93M	342.61M	321.09M	189.90M	88.84M	62.06M
Stockholders Equity	-87.27M	44.60M	149.65M	217.05M	252.56M	332.05M
Cash Flow
Free Cash Flow	-225.11M	-194.64M	-115.93M	-4.31M	-97.00M	-74.93M
Operating Cash Flow	-222.53M	-191.54M	-111.62M	3.55M	-81.68M	-67.80M
Investing Cash Flow	113.80M	218.51M	-3.92M	-35.02M	-97.31M	604.00K
Financing Cash Flow	84.00K	94.05M	137.55M	48.31M	3.26M	269.25M

Sutro Biopharma Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.82
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For STRO, the sentiment is Negative. The current price of 0.82 is below the 20-day moving average (MA) of 1.02, below the 50-day MA of 0.95, and below the 200-day MA of 1.00, indicating a bearish trend. The MACD of 0.01 indicates Positive momentum. The RSI at 38.68 is Neutral, neither overbought nor oversold. The STOCH value of 10.45 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for STRO.

Sutro Biopharma Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CRVO	52 Neutral	$64.95M	-2.69	-54.21%	―	-19.44%	-492.39%
INMB	52 Neutral	$43.33M	―	-155.77%	―	19.05%	2.01%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
RPTX	47 Neutral	$76.47M	-0.69	-69.96%	―	-99.64%	-59.17%
HOWL	41 Neutral	$55.33M	-0.74	-122.43%	―	-100.00%	-8.30%
STRO	40 Neutral	$86.47M	-0.40	-347.64%	―	-34.36%	-59.97%
ACET	27 Underperform	$105.79M	-0.53	-71.73%	―	―	25.89%

Sutro Biopharma Corporate Events

Sutro Biopharma Reports Q3 2025 Financial Results

Sutro Biopharma, Inc., a company specializing in the development of next-generation antibody-drug conjugates (ADCs) for cancer treatment, has reported its financial results for the third quarter of 2025. The company is known for its innovative approach in creating site-specific and novel-format ADCs that aim to improve drug exposure and reduce side effects in oncology treatments.

Sutro Biopharma Announces Major Organizational Restructuring

On September 29, 2025, Sutro Biopharma announced an organizational restructuring to prioritize its three preclinical ADC programs and research collaborations, aiming to extend its financial runway into mid-2027. The restructuring involves a workforce reduction of about one-third and is expected to result in cost savings and milestone payments, with initial clinical data from its STRO-004 ADC anticipated in 2026.

The most recent analyst rating on (STRO) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on Sutro Biopharma stock, see the STRO Stock Forecast page.

Sutro Biopharma’s STRO-002: A Promising Phase 1 Trial Update in Ovarian and Endometrial Cancers

Sutro Biopharma’s recent clinical study update focuses on a Phase 1 trial of STRO-002, an anti-Folate Receptor Alpha (FolRα) antibody-drug conjugate, aimed at treating advanced epithelial ovarian and endometrial cancers. The study’s primary goal is to evaluate the safety, pharmacokinetics, and preliminary efficacy of STRO-002, which is significant for developing new treatments for these challenging cancers.

Sutro Biopharma Advances ADC Pipeline and Reports Q2 2025 Results

Sutro Biopharma, Inc. is a biotechnology company specializing in the development of innovative cancer therapeutics, particularly focusing on antibody drug conjugates (ADCs) with a unique site-specific approach.