IRWD Stock Analysis: Ironwood Pharmaceuticals | NASDAQ
Drug Manufacturers - Specialty & Generic | NASDAQ, USA | Market Cap: 666m USD | 12M Return: 90.1% | US46333X1081 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 6.87M
Qual. Beats: 0
Rev. Trend: -37.5%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.9 years of data, until 10/2026
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, ≥40 worth a closer look and ≥60 is strong.
Ironwood Pharmaceuticals is a Boston-based biotechnology company (NASDAQ: IRWD) that develops and commercializes therapies for gastrointestinal (GI) and rare diseases in the U.S. and internationally. Its lead commercial product is linaclotide, a guanylate cyclase type-C (GC-C) agonist marketed under the names LINZESS and CONSTELLA for adults with irritable bowel syndrome with constipation (IBS-C) or chronic idiopathic constipation, as well as for pediatric patients with functional constipation. The company is also advancing two pipeline candidates: IW-3300, a GC-C agonist targeting visceral pain conditions such as interstitial cystitis/bladder pain syndrome and endometriosis, and Apraglutide, a long-acting GLP-2 analog being developed for short bowel syndrome and acute graft-versus-host disease.
Ironwood commercializes linaclotide through strategic partnerships with AbbVie, AstraZeneca, and Astellas Pharma, a common structure in the biotechnology sector where smaller companies partner with larger pharmaceutical firms to handle sales, marketing, and international distribution. The company was originally incorporated in 1998 as Microbia, Inc. and adopted its current name in April 2008.
- LINZESS royalty revenue growth from AbbVie partnership demand
- Apraglutide phase 3 short bowel syndrome data readout expected
- Share repurchase program accelerates capital return to shareholders
| Net Income: 149.6m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.64 > 0.02 and ΔFCF/TA 56.30 > 1.0 |
| NWC/Revenue: 47.78% < 20% (prev 9.25%; Δ 38.53% < -1%) |
| CFO/TA 0.64 > 3% & CFO 185.6m > Net Income 149.6m |
| Net Debt (313.8m) to EBITDA (253.4m): 1.24 < 3 |
| Current Ratio: 6.51 > 1.5 & < 3 |
| Outstanding Shares: last quarter (166.0m) vs 12m ago -6.62% < -2% |
| Gross Margin: error (current vs previous; cannot be calculated due to missing/invalid data or negative margin) |
| Asset Turnover: 116.6% > 50% (prev 85.59%; Δ 31.00% > 0%) |
| Interest Coverage Ratio: 8.27 > 6 (EBIT TTM 251.5m / Interest Expense TTM 30.4m) |
| A: 0.66 (Total Current Assets 226.0m - Total Current Liabilities 34.7m) / Total Assets 290.6m |
| B: -5.24 (Retained Earnings -1.52b / Total Assets 290.6m) |
| C: 0.73 (EBIT TTM 251.5m / Avg Total Assets 343.3m) |
| D: -0.25 (Book Value of Equity -97.2m / Total Liabilities 387.8m) |
| Altman-Z'' = -8.09 = D |
| DSRI: 0.93 (Receivables 132.7m/120.4m, Revenue 400.3m/339.0m) |
| GMI: 0.69 (GM 68.48% / 99.53%) |
| AQI: 0.68 (AQ_t 0.19 / AQ_t-1 0.27) |
| SGI: 1.18 (Revenue 400.3m / 339.0m) |
| TATA: -0.12 (NI 149.6m - CFO 185.6m) / TA 290.6m) |
| Beneish M = -3.44 (Cap -4..+1) = AA |
As of November 11, 2026, the stock is trading at USD 4.81 with a total of 4,594,390 shares traded. Over the past week, the price has changed by +37.43%, over one month by +27.93%, over three months by +18.77% and over the past year by +90.12%.
Current recommended Stop Loss: 4.30 (which is 10.6% or 2.1 ATR below the current price).
Ironwood Pharmaceuticals has received a consensus analysts rating of 3.75. Therefore, it is recommended to hold IRWD.
- StrongBuy: 1
- Buy: 1
- Hold: 2
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 6.1 | 26.8% |
P/E Trailing = 4.4778
P/E Forward = 12.3305
P/S = 1.7105
P/B = 2.5899
P/EG = -0.26
Revenue TTM = 400.3m USD
EBIT TTM = 251.5m USD
EBITDA TTM = 253.4m USD
Long Term Debt = 385.0m USD (from longTermDebt, last fiscal year)
Short Term Debt = 3.30m USD (from shortTermDebt, last quarter)
Debt = 400.2m USD (corrected: LT Debt 385.0m + ST Debt 3.30m) + Leases 11.9m
Net Debt = 313.8m USD (calculated: Debt 400.2m - CCE 86.4m)
Enterprise Value = 979.7m USD (665.9m + Debt 400.2m - CCE 86.4m)
Interest Coverage Ratio = 8.27 (Ebit TTM 251.5m / Interest Expense TTM 30.4m)
EV/FCF = 5.28x (Enterprise Value 979.7m / FCF TTM 185.6m)
FCF Yield = 18.94% (FCF TTM 185.6m / Enterprise Value 979.7m)
FCF Margin = 46.35% (FCF TTM 185.6m / Revenue TTM 400.3m)
Net Margin = 37.38% (Net Income TTM 149.6m / Revenue TTM 400.3m)
Gross Margin = unknown ((Revenue TTM 400.3m - Cost of Revenue TTM 1.88m) / Revenue TTM)
Tobins Q-Ratio = 3.37 (Enterprise Value 979.7m / Total Assets 290.6m)
Interest Expense / Debt = 7.60% (Interest Expense 30.4m / Debt 400.2m)
Taxrate = 34.07% (77.3m / 227.0m)
NOPAT = 165.8m (EBIT 251.5m * (1 - 34.07%))
Current Ratio = 6.51 (Total Current Assets 226.0m / Total Current Liabilities 34.7m)
Debt / Equity = -4.12 (negative equity) (Debt 400.2m / totalStockholderEquity, last quarter -97.2m)
Debt / EBITDA = 1.24 (Net Debt 313.8m / EBITDA 253.4m)
Debt / FCF = 1.69 (Net Debt 313.8m / FCF TTM 185.6m)
Total Stockholder Equity = -184.5m (last 4 quarters mean from totalStockholderEquity)
RoA = 43.58% (Net Income 149.6m / Total Assets 290.6m)
RoE = -81.10% (negative equity) (Net Income TTM 149.6m / Total Stockholder Equity -184.5m)
RoCE = 125.5% (EBIT 251.5m / Capital Employed (Equity -184.5m + L.T.Debt 385.0m))
RoIC = 69.34% (NOPAT 165.8m / Invested Capital 239.1m)
WACC = 9.09% (E(665.9m)/V(1.07b) * Re(11.54%) + D(400.2m)/V(1.07b) * Rd(7.60%) * (1-Tc(0.34)))
Discount Rate = 11.54% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 52.18 | Cagr: 1.93%
[DCF] Terminal Value 75.61% ; FCFF base≈123.3m ; Y1≈141.4m ; Y5≈208.0m
[DCF] Fair Price = 14.86 (EV 2.77b - Net Debt 313.8m = Equity 2.46b / Shares 165.2m; r=9.09% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.62 | # QB: 0
Revenue Correlation: -37.46 | Revenue CAGR: -5.09% | SUE: 0.57 | # QB: 0
EPS current Quarter (2027-03-31): EPS=0.29 | Chg30d=+0.00% | Revisions=-25% | Analysts=2
EPS current Year (2026-12-31): EPS=1.21 | Chg30d=+0.00% | Revisions=+25% | GrowthEPS=+384.0% | GrowthRev=+59.2%
EPS next Year (2027-12-31): EPS=1.50 | Chg30d=+0.00% | Revisions=-25% | GrowthEPS=+24.0% | GrowthRev=+4.8%
[Analyst] Revisions Ratio: -17% (up=1, down=2)