← Back to All US Stocks

Sutro Biopharma, Inc.. (STRO) Stock Fundamental Analysis & AI Rating 2026

STRO Nasdaq Biological Products, (No Diagnostic Substances) CIK: 0001382101
Recently Updated • Analysis: Apr 16, 2026 • SEC Data: 2025-12-31
STRONG SELL
88% Conf
Pending
Analysis scheduled

📊 STRO Key Takeaways

Revenue: $102.5M
Net Margin: -186.5%
Free Cash Flow: $-178.0M
Current Ratio: 2.01x
Debt/Equity: N/A
EPS: $-22.49
AI Rating: STRONG SELL with 88% confidence
Sutro Biopharma, Inc.. (STRO) receives a STRONG SELL rating with 88% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $102.5M, net profit margin of -186.5%, Sutro Biopharma, Inc.. demonstrates mixed fundamentals in the Healthcare sector. Below is our complete STRO stock analysis for 2026.

Is Sutro Biopharma, Inc.. (STRO) a Good Investment?

Claude

Sutro Biopharma exhibits critical financial distress with negative stockholders' equity of -$132.5M and annual operating cash burn of -$177.2M against only $58.1M in cash reserves, providing less than 4 months of runway. While revenue growth of 65.2% YoY demonstrates commercial traction, the company's massive operating losses (-$158.4M), negative net margin (-186.5%), and technically insolvent balance sheet indicate the business model is not yet viable and imminent capital restructuring is highly likely.

Why Buy Sutro Biopharma, Inc.. Stock? STRO Key Strengths

Claude
  • + Strong revenue growth momentum at 65.2% YoY suggests market adoption of products
  • + Current ratio of 2.01x indicates adequate short-term liquidity position
  • + Insider activity with 6 Form 4 filings in 90 days shows continued stakeholder engagement

STRO Stock Risks: Sutro Biopharma, Inc.. Investment Risks

Claude
  • ! Negative stockholders' equity of -$132.5M indicates technical insolvency with liabilities exceeding assets
  • ! Severe operating cash burn of -$177.2M annually with only $58.1M cash provides critical runway of ~4 months
  • ! Operating margin of -154.5% and net margin of -186.5% with no visible path to profitability
  • ! Likely imminent capital raise will be highly dilutive to existing shareholders
  • ! Unsustainable cash burn rate will force restructuring or bankruptcy if revenue does not dramatically accelerate profitability

Key Metrics to Watch

Claude
  • * Cash runway and monthly burn rate trends
  • * Revenue growth sustainability and gross margin expansion potential
  • * Operating expense reduction progress and path to operating breakeven
  • * Debt refinancing capability and equity raise completion status

Sutro Biopharma, Inc.. (STRO) Financial Metrics & Key Ratios

Revenue
$102.5M
Net Income
$-191.1M
EPS (Diluted)
$-22.49
Free Cash Flow
$-178.0M
Total Assets
$173.8M
Cash Position
$58.1M

💡 AI Analyst Insight

Strong liquidity with a 2.01x current ratio provides a solid financial cushion.

STRO Profit Margin, ROE & Profitability Analysis

Gross Margin N/A
Operating Margin -154.5%
Net Margin -186.5%
ROE N/A
ROA -109.9%
FCF Margin -173.7%

STRO vs Healthcare Sector: How Sutro Biopharma, Inc.. Compares

How Sutro Biopharma, Inc.. compares to Healthcare sector averages

Net Margin
STRO -186.5%
vs
Sector Avg 12.0%
STRO Sector
ROE
STRO 0.0%
vs
Sector Avg 15.0%
STRO Sector
Current Ratio
STRO 2.0x
vs
Sector Avg 2.0x
STRO Sector
Debt/Equity
STRO 0.0x
vs
Sector Avg 0.6x
STRO Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Sutro Biopharma, Inc.. Stock Overvalued? STRO Valuation Analysis 2026

Based on fundamental analysis, Sutro Biopharma, Inc.. has mixed fundamental signals relative to the Healthcare sector in 2026.

Return on Equity
N/A
Sector avg: 15%
Net Profit Margin
-186.5%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
N/A
Sector avg: 0.6x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Sutro Biopharma, Inc.. Balance Sheet: STRO Debt, Cash & Liquidity

Current Ratio
2.01x
Quick Ratio
2.01x
Debt/Equity
N/A
Debt/Assets
176.2%
Interest Coverage
-121.82x
Long-term Debt
$4.1M

STRO Revenue & Earnings Growth: 5-Year Financial Trend

STRO 5-year financial data: Year 2021: Revenue $61.9M, Net Income -$55.7M, EPS N/A. Year 2022: Revenue $67.8M, Net Income -$119.2M, EPS $-0.99. Year 2023: Revenue $153.7M, Net Income -$105.5M, EPS $-2.29. Year 2024: Revenue $153.7M, Net Income -$119.2M, EPS $-2.35. Year 2025: Revenue $102.5M, Net Income -$227.5M, EPS $-29.40.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Sutro Biopharma, Inc..'s revenue has grown significantly by 66% over the 5-year period, indicating strong business expansion. The most recent EPS of $-29.40 indicates the company is currently unprofitable.

STRO Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-173.7%
Free cash flow / Revenue

STRO Quarterly Earnings & Performance

Quarterly financial performance data for Sutro Biopharma, Inc.. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $8.5M -$11.5M $-0.59
Q2 2025 $25.7M -$11.5M $-0.14
Q1 2025 $13.0M -$58.2M $-0.91
Q3 2024 $8.5M -$38.5M $-0.59
Q2 2024 $10.4M -$38.5M $-0.59
Q1 2024 $12.7M -$50.1M $-0.85
Q3 2023 $16.9M -$19.5M $-0.37
Q2 2023 $10.4M -$26.0M $-0.55

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Sutro Biopharma, Inc.. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$177.2M
Cash generated from operations
Stock Buybacks
$7.0K
Shares repurchased (TTM)
Capital Expenditures
$763.0K
Investment in assets
Dividends
None
No dividend program

STRO SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Sutro Biopharma, Inc.. (CIK: 0001382101)

📋 Recent SEC Filings

Date Form Document Action
Mar 23, 2026 10-K stro-20251231.htm View →
Mar 23, 2026 8-K stro-20260323.htm View →
Mar 6, 2026 4 xslF345X05/form4-03062026_090355.xml View →
Mar 6, 2026 4 xslF345X05/form4-03062026_090306.xml View →
Mar 3, 2026 4 xslF345X05/form4-03032026_110346.xml View →

Frequently Asked Questions about STRO

What is the AI rating for STRO?

Sutro Biopharma, Inc.. (STRO) has an AI rating of STRONG SELL with 88% confidence, based on fundamental analysis of SEC EDGAR filings.

What are STRO's key strengths?

Claude: Strong revenue growth momentum at 65.2% YoY suggests market adoption of products. Current ratio of 2.01x indicates adequate short-term liquidity position.

What are the risks of investing in STRO?

Claude: Negative stockholders' equity of -$132.5M indicates technical insolvency with liabilities exceeding assets. Severe operating cash burn of -$177.2M annually with only $58.1M cash provides critical runway of ~4 months.

What is STRO's revenue and growth?

Sutro Biopharma, Inc.. reported revenue of $102.5M.

Does STRO pay dividends?

Sutro Biopharma, Inc.. does not currently pay dividends.

Where can I find STRO SEC filings?

Official SEC filings for Sutro Biopharma, Inc.. (CIK: 0001382101) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is STRO's EPS?

Sutro Biopharma, Inc.. has a diluted EPS of $-22.49.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is STRO a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Sutro Biopharma, Inc.. has a STRONG SELL rating with 88% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is STRO stock overvalued or undervalued?

Valuation metrics for STRO: ROE of N/A (sector avg: 15%), net margin of -186.5% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

Should I buy STRO stock in 2026?

Our dual AI analysis gives Sutro Biopharma, Inc.. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is STRO's free cash flow?

Sutro Biopharma, Inc..'s operating cash flow is $-177.2M, with capital expenditures of $763.0K. FCF margin is -173.7%.

How does STRO compare to other Healthcare stocks?

Vs Healthcare sector averages: Net margin -186.5% (avg: 12%), ROE N/A (avg: 15%), current ratio 2.01 (avg: 2).

Top Rated Stocks
NSSC 92% MLI 92% MELI 92% MDXG 92% MANH 92% INVA 92% GGG 92% GCT 92% FTNT 92% FSLR 92%
Sector: All Healthcare Stocks →
Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 16, 2026 | Data as of: 2025-12-31 | Powered by Claude AI