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

STRO Nasdaq Biological Products, (No Diagnostic Substances) CIK: 0001382101
Updated This Month • Analysis: May 16, 2026 • SEC Data: 2026-03-31
Combined AI Grade
D
85% Confidence
N/A
D
85% Conf
Pending
Analysis scheduled

📊 STRO Key Takeaways

Revenue: $14.5M
Net Margin: -265.0%
Free Cash Flow: $-43.0M
Current Ratio: 3.12x
Debt/Equity: N/A
EPS: $-2.94
AI Grade: D with 85% confidence
Sutro Biopharma, Inc.. (STRO) receives a D fundamental grade with 85% confidence from our AI analysis based on SEC 10-K filings. With revenue of $14.5M, net profit margin of -265.0%, 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 faces critical financial distress with negative stockholders' equity of -$66.9M and operating cash burn of -$43M annually, creating <2 year runway absent additional capital raises. While revenue growth of 65.2% YoY demonstrates commercial progress, the company is operating at massive losses (-265% net margin) with no clear near-term profitability trajectory, indicating unsustainable fundamentals.

Sutro Biopharma, Inc.. Key Strengths (STRO)

Claude
  • + Revenue growth of 65.2% YoY demonstrates commercial traction and market acceptance
  • + Adequate short-term liquidity with $73.7M cash and 3.12x current ratio
  • + Minimal debt burden with only $4.1M long-term debt reduces refinancing risk

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

Claude
  • ! Negative stockholders' equity of -$66.9M indicates technical insolvency on book value basis
  • ! Operating cash burn of -$43M annually against only $73.7M cash creates <2 year survival window
  • ! Massive operating losses (-204% margin) with no demonstrated path to profitability despite revenue growth
  • ! Company dependent on capital raises or dramatic operational turnaround for viability

Key Metrics to Watch

Claude
  • * Operating cash flow trajectory and progress toward cash flow breakeven
  • * Revenue growth sustainability and gross margin expansion as product scales
  • * Cash balance depletion rate and timing/need for additional equity financing

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

Revenue
$14.5M
Net Income
$-38.5M
EPS (Diluted)
$-2.94
Free Cash Flow
$-43.0M
Total Assets
$242.0M
Cash Position
$73.7M

💡 AI Analyst Insight

Strong liquidity with a 3.12x current ratio provides a solid financial cushion.

STRO Profit Margin, ROE & Profitability Analysis

Gross Margin N/A
Operating Margin -204.2%
Net Margin -265.0%
ROE N/A
ROA -15.9%
FCF Margin -296.2%

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

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

Net Margin
STRO -265.0%
vs
Sector Avg 12.0%
STRO Sector
ROE
STRO 0.0%
vs
Sector Avg 15.0%
STRO Sector
Current Ratio
STRO 3.1x
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
-265.0%
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
3.12x
Quick Ratio
3.12x
Debt/Equity
N/A
Debt/Assets
127.6%
Interest Coverage
-22.81x
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
-296.2%
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
Q1 2026 $14.5M -$38.5M $-2.94
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

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
-$42.3M
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
May 14, 2026 10-Q stro-20260331.htm View →
May 14, 2026 8-K stro-20260514.htm View →
Apr 22, 2026 DEF 14A stro-20260420.htm View →
Mar 23, 2026 10-K stro-20251231.htm View →
Mar 23, 2026 8-K stro-20260323.htm View →

Frequently Asked Questions about STRO

What is the AI rating for STRO?

Sutro Biopharma, Inc.. (STRO) has an AI grade of D with 85% confidence, based on fundamental analysis of SEC EDGAR filings.

What are STRO's key strengths?

Claude: Revenue growth of 65.2% YoY demonstrates commercial traction and market acceptance. Adequate short-term liquidity with $73.7M cash and 3.12x current ratio.

What are the risks of investing in STRO?

Claude: Negative stockholders' equity of -$66.9M indicates technical insolvency on book value basis. Operating cash burn of -$43M annually against only $73.7M cash creates <2 year survival window.

What is STRO's revenue and growth?

Sutro Biopharma, Inc.. reported revenue of $14.5M.

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 $-2.94.

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 grade reflects both perspectives for balanced insights.

What is STRO's fundamental grade?

Based on our AI fundamental analysis in May 2026, Sutro Biopharma, Inc.. has a D grade with 85% confidence. Review the strengths and risks sections above for full context. 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 -265.0% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.

What is STRO's AI grade for 2026?

Our dual AI analysis gives Sutro Biopharma, Inc.. a combined D grade 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 $-42.3M, with capital expenditures of $763.0K. FCF margin is -296.2%.

How does STRO compare to other Healthcare stocks?

Vs Healthcare sector averages: Net margin -265.0% (avg: 12%), ROE N/A (avg: 15%), current ratio 3.12 (avg: 2).

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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: May 16, 2026 | Data as of: 2026-03-31 | Powered by Claude AI