Sutro Biopharma (NASDAQ:STRO) Shares Gap Down – Here’s Why

Shares of Sutro Biopharma, Inc. (NASDAQ:STRO) gapped down prior to trading on Thursday . The stock had previously closed at $8.70, but opened at $8.22. Sutro Biopharma shares last traded at $8.0450, with a volume of 89,259 shares trading hands.

Wall Street Analysts Forecast Growth

STRO has been the subject of a number of research analyst reports. Wedbush reiterated a “neutral” rating and issued a $100.00 target price (up previously from $20.00) on shares of Sutro Biopharma in a research note on Tuesday. Wells Fargo & Company cut their price target on Sutro Biopharma from $40.00 to $30.00 and set an “equal weight” rating on the stock in a research note on Tuesday, August 12th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Sutro Biopharma in a report on Monday. Finally, Wall Street Zen downgraded Sutro Biopharma from a “hold” rating to a “sell” rating in a research note on Saturday, November 8th. Two analysts have rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $58.00.

Sutro Biopharma Stock Performance

The company has a fifty day simple moving average of $9.25 and a two-hundred day simple moving average of $8.75. The stock has a market capitalization of $705.21 million, a price-to-earnings ratio of -3.15 and a beta of 1.61.

Sutro Biopharma (NASDAQ:STRO) last posted its quarterly earnings results on Thursday, November 6th. The company reported ($0.67) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.42) by ($0.25). Sutro Biopharma had a negative return on equity of 852.70% and a negative net margin of 206.77%.The firm had revenue of $9.69 million for the quarter, compared to analyst estimates of $10.14 million. As a group, equities analysts anticipate that Sutro Biopharma, Inc. will post -2.92 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Connie Matsui acquired 5,000 shares of the firm’s stock in a transaction that occurred on Wednesday, October 15th. The stock was acquired at an average cost of $8.00 per share, for a total transaction of $40,000.00. Following the completion of the acquisition, the director directly owned 5,000 shares of the company’s stock, valued at approximately $40,000. This trade represents a ∞ increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. Over the last 90 days, insiders have purchased 11,175 shares of company stock worth $89,598. Insiders own 3.60% of the company’s stock.

Hedge Funds Weigh In On Sutro Biopharma

Institutional investors have recently added to or reduced their stakes in the business. RA Capital Management L.P. acquired a new position in shares of Sutro Biopharma during the first quarter worth approximately $2,885,000. Acadian Asset Management LLC raised its stake in shares of Sutro Biopharma by 78.9% in the first quarter. Acadian Asset Management LLC now owns 3,134,586 shares of the company’s stock worth $2,037,000 after purchasing an additional 1,382,661 shares during the last quarter. Velan Capital Investment Management LP boosted its position in shares of Sutro Biopharma by 2.0% during the third quarter. Velan Capital Investment Management LP now owns 3,120,000 shares of the company’s stock valued at $2,709,000 after buying an additional 60,000 shares during the last quarter. Vestal Point Capital LP grew its holdings in Sutro Biopharma by 1.2% during the first quarter. Vestal Point Capital LP now owns 2,600,000 shares of the company’s stock worth $1,692,000 after buying an additional 30,000 shares in the last quarter. Finally, UBS Group AG raised its position in Sutro Biopharma by 14.0% in the 3rd quarter. UBS Group AG now owns 1,845,839 shares of the company’s stock valued at $1,602,000 after buying an additional 226,955 shares during the last quarter. 96.99% of the stock is owned by institutional investors and hedge funds.

About Sutro Biopharma

Sutro Biopharma, Inc operates as a clinical-stage oncology company. The company develops site-specific and novel-format antibody drug conjugates (ADCs) that enables its proprietary integrated cell-free protein synthesis platform, XpressCF and XpressCF+. Its product candidates include STRO-002, an ADC directed against folate receptor-alpha, which is in Phase II/III clinical trials for patients with ovarian and endometrial cancers; VAX-24 and Vax-31 pneumococcal conjugate vaccine candidates that is in Phase II/III clinical trials for the treatment of invasive pneumococcal disease; and MK-1484, a distinct cytokine derivative molecule that is in Phase I clinical study for the treatment of cancer.