Should You Buy Sutro Biopharma Inc (STRO) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Buy
Latest Price
14.950
1 Day change
0.20%
52 Week Range
21.250
Analysis Updated At
2026/01/30
BUY now. Even with the post-market dip (~14.82), STRO’s trend structure remains bullish (SMA_5 > SMA_20 > SMA_200) and Wall Street sentiment has turned sharply positive with major upgrades/price-target resets. With no proprietary buy signal today, this is not a “must-buy today” momentum trigger, but for an impatient buyer the current pullback near the pivot (~15.08) offers a reasonable entry with upside toward the next resistance zone (~16.89) if sentiment follows the recent analyst catalysts.
Technical Analysis
Trend is constructive: moving averages are stacked bullish (SMA_5 > SMA_20 > SMA_200), indicating an upward bias/positive regime. RSI_6 at 46.6 is neutral, suggesting the stock is not overbought and has room to move either way. MACD histogram is slightly positive (0.0169) but contracting, implying upside momentum has cooled and price may chop or pull back before a renewed push. Key levels: Pivot 15.08 (price ~14.82 is slightly below), Support S1 13.27 (next major downside reference), Resistance R1 16.89 (first meaningful upside target). Overall: bullish trend, short-term momentum paused—dip-buy setup rather than breakout confirmation.
Options Data
Bullish
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
Positioning skews bullish: open interest put/call ratio at 0.22 suggests far more call OI than puts. Volume is extremely thin (only 4 calls traded, 0 puts), so the day’s volume ratios are not very informative and can be noisy. Volatility is very elevated (30D IV ~248% vs historical vol ~114%), consistent with a biotech name where clinical/program updates can move the stock sharply; this also implies options are pricing in large swings.
Technical Summary
Sell
2
Buy
7
Positive Catalysts
Analyst-driven catalyst: Citizens upgraded to Outperform with a $23 PT (2026-01-20), citing platform value/cash per share and a “rapid return” to clinic; Deutsche Bank reiterated Buy and massively raised PT to $51 (2025-12-
on STRO-004 entering the clinic and dual-payload ADCs expected in
Pipeline/clinical progression focus: STRO-004 entering the clinic and 2026 ADC milestones are clear narrative drivers.
Cost discipline: headcount reductions to preserve cash were highlighted by analysts as supportive for runway/value.
Neutral/Negative Catalysts
Near-term momentum is not strong: MACD is positive but contracting, and price is slightly below the pivot while trading down post-market (~-4%).
Fundamental risk still present: company remains deeply loss-making (EPS -6.7 in the latest quarter), so the stock is highly dependent on clinical progress and financing/runway perceptions.
Options market is expensive/volatile (very high IV), which reflects expectation of big moves and can accompany sharp drawdowns as well as rallies.
Financial Performance
Latest quarter: 2025/Q3. Revenue grew to ~$9.69M (+13.77% YoY). Losses improved but remain large: net income was -$56.86M (an improvement vs prior year), and EPS improved to -6.7 (still significantly negative). Gross margin shown as 100% suggests revenue mix (often collaboration/other revenue in biotech) rather than a mature product margin story. Net: top-line improved and losses narrowed YoY, but the business remains in development-stage economics where clinical execution is the key driver.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Recent trend is strongly positive: (1) Deutsche Bank raised its price target dramatically to $51 from $5 while maintaining Buy (2025-12-17), explicitly tied to clinical entry for STRO-004 and 2026 pipeline milestones. (2) Citizens upgraded to Outperform from Market Perform with a $23 PT (2026-01-20), emphasizing platform differentiation, cash-per-share valuation support, and operational reset/cost actions. Wall Street pros view: meaningful upside optionality from the platform + upcoming clinical catalysts and improved cash discipline. Cons view (implied): the thesis is still catalyst-dependent with ongoing losses and prior clinical/program ‘reset’ risk. Politician/influential trading: no recent congress trading data available; hedge fund and insider activity are described as neutral with no significant recent trends.
Wall Street analysts forecast STRO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for STRO is 17.96 USD with a low forecast of 0.8 USD and a high forecast of 51 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
Wall Street analysts forecast STRO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for STRO is 17.96 USD with a low forecast of 0.8 USD and a high forecast of 51 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Buy
2 Hold
1 Sell
Moderate Buy
Current: 14.920
Low
0.8
Averages
17.96
High
51
Current: 14.920
Low
0.8
Averages
17.96
High
51
Citizens
Market Perform -> Outperform
upgrade
$23
AI Analysis
2026-01-20
Reason
Citizens
Price Target
$23
AI Analysis
2026-01-20
upgrade
Market Perform -> Outperform
Reason
Citizens upgraded Sutro Biopharma to Outperform from Market Perform with a $23 price target. The firm cites its platform and cash per share value analysis for the upgrade following a meeting with management. When factoring in the recent clinical reset and "rapid return" to the clinic, headcount reductions to preserve cash, and the potential for STRO-004 to highlight "best-in-class attributes" of the cell-free protein synthesis platform incorporating non-natural amino acids, Sutro shares are likely to outperform in the near term, the analyst tells investors in a research note.
Deutsche Bank
Buy
maintain
$5 -> $51
2025-12-17
Reason
Deutsche Bank
Price Target
$5 -> $51
2025-12-17
maintain
Buy
Reason
Deutsche Bank raised the firm's price target on Sutro Biopharma to $51 from $5 and keeps a Buy rating on the shares. The company's STRO-004 is entering the Clinic while its dual payload antibody-drug conjugates will emerge in 2026, the analyst tells investors in a research note.
Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for STRO
