Long Position on STRO @ $25.75 on 1/26/2021 (Momentum)

Sutro Biopharma, Inc. (STRO) operates as clinical stage drug discovery, development, and manufacturing company.

It focuses on creating protein therapeutics for cancer and autoimmune disorders through integrated cell-free protein synthesis and site-specific conjugation platform, XpressCF.

The company's product candidates include STRO-001, an antibody-drug conjugate (ADC) directed against the cancer target CD74 for patients with multiple myeloma and non-Hodgkin lymphoma; and STRO-002, an ADC directed against folate receptor-alpha for patients with ovarian and endometrial cancers. It has collaboration and license agreement with Celgene Corporation to discover and develop bispecific antibodies and/or ADCs focused primarily on the field of immuno-oncology. 

Shares have formed a bullish "cup and handle" after the company reported positive news about it's STRO-002 drug. The company's STRO-002 cancer drug candidate showed impressive results in an early-phase clinical study involving patients with ovarian cancer. Updated data from the phase 1 clinical trial of STRO-002 showed that of the 31 evaluable participants, 23 reached disease control after 12 weeks, with 18 doing so after 16 weeks. Following the news, company offered 5 million shares to the public. That was in early December.  Now shares are poised to move higher.

Entry Point: $25.75

Stop Loss: $24.50

Trading Range: $6.00 - $28.09

Target Price: $28.35

Updates

3/30/2021 10:46:17 AM

STRO closed at $21.50 

Position closed on 3/30/2021 at price of $21.50 with a -16.50% loss in 63 days.

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