H.C. Wainwright analyst Debjit Chattopadhyay maintained a Buy rating on Sutro Biopharma Inc (STRO) today and set a price target of $18. The company’s shares closed yesterday at $10.15.
Chattopadhyay said:
“Valuation and risks to our investment thesis. Our 12-month, $18 price target on shares of Sutro is derived from a 13-year DCF-based, sum-of-the-parts analysis. Our DCF is driven by: beta of 1.60, terminal growth rate of 0.5%, risk premium of 4.93%, calculated WACC of 10.3%, and tax rate of 15% beginning in FY 2029. Until clarity on Sutro’s collaboration with not rated) crystallizes, our $18 price target remains leveraged on the outcome of STRO-002’s safety and efficacy outcome, which represents approximately 67% of our rNPV of $12 per share.”
According to TipRanks.com, Chattopadhyay is a 2-star analyst with an average return of 0.1% and a 43.1% success rate. Chattopadhyay covers the Healthcare sector, focusing on stocks such as Global Blood Therapeutics, Autolus Therapeutics Plc, and Voyager Therapeutics Inc.
The word on The Street in general, suggests a Strong Buy analyst consensus rating for Sutro Biopharma Inc with a $20 average price target, implying a 97.0% upside from current levels. In a report issued on May 7, Cowen & Co. also maintained a Buy rating on the stock.
See today’s analyst top recommended stocks >>
The company has a one-year high of $15.90 and a one-year low of $8.50. Currently, Sutro Biopharma Inc has an average volume of 22.46K.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
Sutro Biopharma Inc. engages in the drug discovery, development and manufacturing of pharmaceutical products. Its products technologies include XpressCF, anti-body drug conjugates, bispecifics & engineered antibodies and cGMP facility. The company was founded by James R. Swartz and Sutanto Widjaja in June 2003 and is headquartered in South San Francisco, CA.
