Ironwood Pharmaceuticals (NASDAQ:IRWD) Cut to Hold at Zacks Research

Zacks Research cut shares of Ironwood Pharmaceuticals (NASDAQ:IRWD) from a strong-buy rating to a hold rating in a research note published on Wednesday,Zacks.com reports.

Several other equities analysts have also commented on the company. Jefferies Financial Group restated a “hold” rating and set a $3.70 price target on shares of Ironwood Pharmaceuticals in a research note on Thursday. Citigroup upgraded shares of Ironwood Pharmaceuticals from a “market perform” rating to an “outperform” rating in a report on Monday, January 5th. Craig Hallum raised shares of Ironwood Pharmaceuticals from a “hold” rating to a “strong-buy” rating in a research report on Monday, January 5th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Ironwood Pharmaceuticals in a research report on Monday, December 29th. Finally, Citizens Jmp lifted their price objective on shares of Ironwood Pharmaceuticals from $8.00 to $10.00 and gave the company a “market outperform” rating in a report on Thursday. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Ironwood Pharmaceuticals currently has a consensus rating of “Hold” and a consensus target price of $4.93.

Ironwood Pharmaceuticals Stock Performance

Shares of NASDAQ:IRWD opened at $3.42 on Wednesday. The firm’s 50 day simple moving average is $4.28 and its 200-day simple moving average is $2.82. Ironwood Pharmaceuticals has a one year low of $0.53 and a one year high of $5.78. The firm has a market cap of $556.37 million, a PE ratio of 26.31 and a beta of 0.17.

Ironwood Pharmaceuticals (NASDAQ:IRWD) last announced its quarterly earnings data on Wednesday, February 25th. The biotechnology company reported ($0.01) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.02 by ($0.03). The firm had revenue of $47.71 million during the quarter, compared to the consensus estimate of $86.10 million. Ironwood Pharmaceuticals had a negative return on equity of 13.72% and a net margin of 8.11%. Equities research analysts predict that Ironwood Pharmaceuticals will post 0.1 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of IRWD. Los Angeles Capital Management LLC increased its position in shares of Ironwood Pharmaceuticals by 76.1% during the second quarter. Los Angeles Capital Management LLC now owns 1,211,155 shares of the biotechnology company’s stock worth $869,000 after purchasing an additional 523,368 shares in the last quarter. Focus Partners Advisor Solutions LLC boosted its position in shares of Ironwood Pharmaceuticals by 284.6% in the 2nd quarter. Focus Partners Advisor Solutions LLC now owns 39,743 shares of the biotechnology company’s stock worth $29,000 after purchasing an additional 29,409 shares in the last quarter. Armistice Capital LLC grew its stake in Ironwood Pharmaceuticals by 17.9% during the 2nd quarter. Armistice Capital LLC now owns 16,150,000 shares of the biotechnology company’s stock worth $11,583,000 after buying an additional 2,450,000 shares during the last quarter. Universal Beteiligungs und Servicegesellschaft mbH increased its position in Ironwood Pharmaceuticals by 26.0% during the 2nd quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 526,775 shares of the biotechnology company’s stock valued at $378,000 after buying an additional 108,822 shares in the last quarter. Finally, Connor Clark & Lunn Investment Management Ltd. raised its stake in Ironwood Pharmaceuticals by 48.3% in the second quarter. Connor Clark & Lunn Investment Management Ltd. now owns 2,206,948 shares of the biotechnology company’s stock valued at $1,583,000 after buying an additional 718,904 shares during the last quarter.

Ironwood Pharmaceuticals News Summary

Here are the key news stories impacting Ironwood Pharmaceuticals this week:

• Positive Sentiment: Analyst price-target lift from Citizens JMP — Citizens JMP raised its price target to $10 and kept a “market outperform” rating, signaling significant upside potential if execution or pipeline news turns favorable. Read More.
• Neutral Sentiment: Q4 earnings call highlighted continued strength in LINZESS sales even as overall revenue fell; investors will watch whether LINZESS can stabilize top-line trends going forward. Read More.
• Neutral Sentiment: Post-quarter valuation and 2026 revenue guidance analysis is prompting re‑rating discussions — analysts and commentators are reworking models after the miss, which could amplify volatility while estimates are adjusted. Read More.
• Neutral Sentiment: Market commentaries explaining the share drop (e.g., coverage pieces) are framing the move as a reaction to the earnings miss plus guidance/pipeline uncertainty rather than a single catalyst. Read More.
• Negative Sentiment: Pipeline setback for apraglutide and an extended development timeline — Seeking Alpha and other analysts lowered expectations after management pushed timelines, increasing risk to future upside from the pipeline. Read More.
• Negative Sentiment: Q4 results missed estimates — IRWD reported a loss for the quarter, with revenue falling ~47% YoY and coming in well below consensus, which directly triggered the share sell-off. Read More.
• Negative Sentiment: Zacks Research downgraded IRWD from “strong-buy” to “hold,” removing a supportive endorsement and adding selling pressure amid the disappointing quarter. Read More.

About Ironwood Pharmaceuticals

Ironwood Pharmaceuticals, Inc is a commercial‐stage biotechnology company focused on the discovery, development and commercialization of medicines for gastrointestinal (GI) disorders. The company’s flagship product is linaclotide, marketed under the brand name LINZESS in the United States for the treatment of irritable bowel syndrome with constipation (IBS-C) and chronic idiopathic constipation (CIC). Through a strategic collaboration with Allergan (now part of AbbVie), Ironwood also commercializes linaclotide in select ex-U.S.