Sutro Biopharma Stock Buy Hold or Sell Recommendation

STRO Stock  USD 0.81  0.44  35.20%   
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Sutro Biopharma is 'Strong Sell'. The recommendation algorithm takes into account all of Sutro Biopharma's available fundamental, technical, and predictive indicators you will find on this site.
  
Check out Sutro Biopharma Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
To learn how to invest in Sutro Stock, please use our How to Invest in Sutro Biopharma guide.
In addition, we conduct extensive research on individual companies such as Sutro and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Sutro Biopharma. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.

Execute Sutro Biopharma Buy or Sell Advice

The Sutro recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Sutro Biopharma. Macroaxis does not own or have any residual interests in Sutro Biopharma or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Sutro Biopharma's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Sutro BiopharmaBuy Sutro Biopharma
Strong Sell

Market Performance

Very WeakDetails

Volatility

Very riskyDetails

Hype Condition

Over hypedDetails

Current Valuation

UndervaluedDetails

Odds Of Distress

Very HighDetails

Economic Sensitivity

Slowly supersedes the marketDetails

Investor Sentiment

AlarmedDetails

Analyst Consensus

Strong BuyDetails

Financial Strenth (F Score)

PoorDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Sutro Biopharma has a Mean Deviation of 4.28, Standard Deviation of 6.49 and Variance of 42.08
We provide advice to complement the current expert consensus on Sutro Biopharma. Our dynamic recommendation engine harnesses a multidimensional algorithm to analyze the firm's potential to grow using all technical and fundamental data available at the time. To make sure Sutro Biopharma is not overpriced, please validate all Sutro Biopharma fundamentals, including its cash and equivalents, as well as the relationship between the cash flow from operations and market capitalization . As Sutro Biopharma appears to be a penny stock we also recommend to double-check its price to earning numbers.

Sutro Biopharma Trading Alerts and Improvement Suggestions

Sutro Biopharma generated a negative expected return over the last 90 days
Sutro Biopharma has high historical volatility and very poor performance
Sutro Biopharma has some characteristics of a very speculative penny stock
Sutro Biopharma has a very high chance of going through financial distress in the upcoming years
The company reported the previous year's revenue of 62.04 M. Net Loss for the year was (227.46 M) with profit before overhead, payroll, taxes, and interest of 62.04 M.
Sutro Biopharma currently holds about 225.64 M in cash with (191.54 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 4.33, which can makes it an attractive takeover target, given it will continue generating positive cash flow.
Sutro Biopharma has a poor financial position based on the latest SEC disclosures
Over 75.0% of the company shares are owned by institutional investors
Latest headline from gurufocus.com: Sutro Biopharma Inc Q4 2024 Earnings Call Highlights Strategic Focus and Financial ...

Sutro Biopharma Returns Distribution Density

The distribution of Sutro Biopharma's historical returns is an attempt to chart the uncertainty of Sutro Biopharma's future price movements. The chart of the probability distribution of Sutro Biopharma daily returns describes the distribution of returns around its average expected value. We use Sutro Biopharma price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Sutro Biopharma returns is essential to provide solid investment advice for Sutro Biopharma.
Mean Return
-1.64
Value At Risk
-10.2
Potential Upside
6.40
Standard Deviation
6.49
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Sutro Biopharma historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Sutro Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument, such as Sutro Biopharma, soars without any apparent reason. This usually happens because many institutional investors are aggressively trading Sutro Biopharma back and forth among themselves. Companies that invest excess capital in these types of assets may also be included in this term and can influence corporate governance by exercising voting rights in their investments.
Shares
Geode Capital Management, Llc2024-12-31
1.9 M
Parkman Healthcare Partners Llc2024-12-31
1.7 M
Goldman Sachs Group Inc2024-12-31
1.7 M
State Street Corp2024-12-31
1.7 M
Morgan Stanley - Brokerage Accounts2024-12-31
1.5 M
Nuveen Asset Management, Llc2024-12-31
1.3 M
Dimensional Fund Advisors, Inc.2024-12-31
1.1 M
Renaissance Technologies Corp2024-12-31
M
Jacobs Levy Equity Management, Inc.2024-12-31
859.4 K
Blackrock Inc2024-12-31
7.6 M
Suvretta Capital Management, Llc2024-12-31
7.5 M
Note, although Sutro Biopharma's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Sutro Biopharma Cash Flow Accounts

202020212022202320242025 (projected)
Change To Inventory(1.7M)(1.3M)(58K)(4.5M)(4.1M)(3.9M)
Investments604K(82.0M)(35.0M)(18.3M)(16.5M)(17.3M)
Change In Cash202.0M(175.7M)16.8M22.0M121.0M127.1M
Free Cash Flow(74.9M)(97.0M)(4.3M)(115.9M)(194.6M)(184.9M)
Depreciation4.3M4.8M5.7M6.8M7.2M6.0M
Other Non Cash Items606K6.2M(13.6M)(2.2M)4.0M4.2M
Capital Expenditures7.1M15.3M7.9M4.3M3.1M6.2M
Net Income(32.1M)(105.5M)(119.2M)(106.8M)(227.5M)(216.1M)
End Period Cash Flow207.0M31.3M48.1M70.1M191.2M200.7M
Change To Netincome10.7M(28.5M)36.6M12.7M14.6M15.3M

Sutro Biopharma Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Sutro Biopharma or Biotechnology sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Sutro Biopharma's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Sutro stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over Dow Jones
-1.62
β
Beta against Dow Jones0.34
σ
Overall volatility
6.33
Ir
Information ratio -0.24

Sutro Biopharma Volatility Alert

Sutro Biopharma is displaying above-average volatility over the selected time horizon. Sutro Biopharma is a potential penny stock. Although Sutro Biopharma may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Sutro Biopharma. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Sutro instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.

Sutro Biopharma Fundamentals Vs Peers

Comparing Sutro Biopharma's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Sutro Biopharma's direct or indirect competition across all of the common fundamentals between Sutro Biopharma and the related equities. This way, we can detect undervalued stocks with similar characteristics as Sutro Biopharma or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Sutro Biopharma's fundamental indicators could also be used in its relative valuation, which is a method of valuing Sutro Biopharma by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Sutro Biopharma to competition
FundamentalsSutro BiopharmaPeer Average
Return On Equity-2.34-0.31
Return On Asset-0.35-0.14
Operating Margin(4.41) %(5.51) %
Current Valuation(225.88 M)16.62 B
Shares Outstanding82.46 M571.82 M
Shares Owned By Insiders4.28 %10.09 %
Shares Owned By Institutions75.17 %39.21 %
Number Of Shares Shorted4.41 M4.71 M
Price To Earning53.08 X28.72 X
Price To Book1.52 X9.51 X
Price To Sales1.08 X11.42 X
Revenue62.04 M9.43 B
Gross Profit62.04 M27.38 B
EBITDA(238.45 M)3.9 B
Net Income(227.46 M)570.98 M
Cash And Equivalents225.64 M2.7 B
Cash Per Share4.33 X5.01 X
Total Debt23.15 M5.32 B
Debt To Equity0.27 %48.70 %
Current Ratio7.44 X2.16 X
Book Value Per Share0.54 X1.93 K
Cash Flow From Operations(191.54 M)971.22 M
Short Ratio4.90 X4.00 X
Earnings Per Share(1.55) X3.12 X
Price To Earnings To Growth0.12 X4.89 X
Target Price7.89
Beta1.22-0.15
Market Capitalization66.8 M19.03 B
Total Asset387.21 M29.47 B
Retained Earnings(786.87 M)9.33 B
Working Capital327.8 M1.48 B
Net Asset387.21 M
Note: Disposition of 18750 shares by Newell William J of Sutro Biopharma subject to Rule 16b-3 [view details]

Sutro Biopharma Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Sutro . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Sutro Biopharma Buy or Sell Advice

When is the right time to buy or sell Sutro Biopharma? Buying financial instruments such as Sutro Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

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In addition to having Sutro Biopharma in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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When determining whether Sutro Biopharma offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Sutro Biopharma's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Sutro Biopharma Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Sutro Biopharma Stock:
Check out Sutro Biopharma Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
To learn how to invest in Sutro Stock, please use our How to Invest in Sutro Biopharma guide.
You can also try the Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Is Biotechnology space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Sutro Biopharma. If investors know Sutro will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Sutro Biopharma listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(1.55)
Revenue Per Share
0.808
Quarterly Revenue Growth
(0.87)
Return On Assets
(0.35)
Return On Equity
(2.34)
The market value of Sutro Biopharma is measured differently than its book value, which is the value of Sutro that is recorded on the company's balance sheet. Investors also form their own opinion of Sutro Biopharma's value that differs from its market value or its book value, called intrinsic value, which is Sutro Biopharma's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Sutro Biopharma's market value can be influenced by many factors that don't directly affect Sutro Biopharma's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Sutro Biopharma's value and its price as these two are different measures arrived at by different means. Investors typically determine if Sutro Biopharma is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sutro Biopharma's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.