Ironwood Pharmaceuticals Inc (IRWD) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target
Ironwood Pharmaceuticals Inc stock (IRWD) is currently trading at $3.04. Ironwood Pharmaceuticals Inc PE ratio is 20.27. Ironwood Pharmaceuticals Inc PS ratio (Price-to-Sales) is 1.67. Analyst consensus price target for IRWD is $6.10. WallStSmart rates IRWD as Underperform.
- IRWD PE ratio analysis and historical PE chart
- IRWD PS ratio (Price-to-Sales) history and trend
- IRWD intrinsic value — DCF, Graham Number, EPV models
- IRWD stock price prediction 2025 2026 2027 2028 2029 2030
- IRWD fair value vs current price
- IRWD insider transactions and insider buying
- Is IRWD undervalued or overvalued?
- Ironwood Pharmaceuticals Inc financial analysis — revenue, earnings, cash flow
- IRWD Piotroski F-Score and Altman Z-Score
- IRWD analyst price target and Smart Rating
Ironwood Pharmaceuticals Inc
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IRWD Intrinsic Value Analysis for Value Investors
Benjamin Graham Formula · Ironwood Pharmaceuticals Inc (IRWD)
IRWD trades at a significant discount to its Graham intrinsic value of $7.02, offering a 37% margin of safety — a level value investors typically seek before buying.
Based on Benjamin Graham Formula. Growth rate capped at 25%. For informational purposes only. Not financial advice.
Smart Analysis
Ironwood Pharmaceuticals Inc (IRWD) · 10 metrics scored
Smart Score
Category Performance
WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.
Investment Thesis
Strong fundamentals in price/sales, eps growth, institutional own.. Concerns around peg ratio and return on equity. Mixed signals suggest waiting for clearer direction before acting.
Ironwood Pharmaceuticals Inc (IRWD) Key Strengths (3)
Earnings per share surging 1047.00% year-over-year
91.70% of shares held by major funds and institutions
Paying $1.67 for every $1 of annual revenue
Supporting Valuation Data
Ironwood Pharmaceuticals Inc (IRWD) Areas to Watch (7)
PEG ratio is negative or unavailable
Company is destroying shareholder value
Revenue declining -47.30%, a shrinking business
Thin operating margins with cost pressures present
Thin profit margins with limited profitability
Small-cap company with higher risk but more growth potential
Fairly priced relative to book value
Ironwood Pharmaceuticals Inc (IRWD) Detailed Analysis Report
Overall Assessment
This company scores 47/100 in our Smart Analysis, earning a D+ grade. Out of 10 metrics analyzed, 3 register as strengths (avg 9.3/10) while 7 fall into concern territory (avg 2.7/10). The category breakdown reveals uneven performance, with some areas requiring attention.
The Bull Case
The strongest argument centers on EPS Growth, Institutional Own., Price/Sales. Valuation metrics including Price/Sales (1.67) suggest the stock is attractively priced. Growth metrics are encouraging with EPS Growth at 1047.00%.
The Bear Case
The primary concerns are PEG Ratio, Return on Equity, Revenue Growth. Some valuation metrics including PEG Ratio (N/A), Price/Book (2.59) suggest expensive pricing. Growth concerns include Revenue Growth at -47.30%, which may limit upside. Profitability pressure is visible in Return on Equity at -575.00%, Operating Margin at 13.70%, Profit Margin at 8.11%.
Key Dynamics to Monitor
Three factors to monitor going forward. First, whether PEG Ratio improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at -575.00% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at -47.30% needing to reaccelerate.
Risk Considerations
Based on the metric profile, this is a higher risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.
Bottom Line
Fundamental challenges outweigh strengths at current levels. PEG Ratio and Return on Equity are the primary drags. Consider waiting for meaningful improvement before committing capital.
Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.
IRWD Price-to-Sales(PS) Ratio Chart
Historical valuation based on market cap ÷ trailing 12-month revenue
IRWD's Price-to-Sales ratio of 1.67x trades at a deep discount to its historical average of 19.6x (8th percentile). The current valuation is 98% below its historical high of 110.2x set in Jun 2014, and 498% above its historical low of 0.28x in May 2025. Over the past 12 months, the PS ratio has expanded from ~0.7x, reflecting growing market expectations outpacing revenue growth.
Compare IRWD with Competitors
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Data-driven financial summary for Ironwood Pharmaceuticals Inc (IRWD) · HEALTHCARE › DRUG MANUFACTURERS - SPECIALTY & GENERIC
The Big Picture
Ironwood Pharmaceuticals Inc operates as a stable business with moderate growth and solid fundamentals. Revenue reached 296M with 47% decline year-over-year. Profit margins are thin at 8.1%, typical for companies in this phase that are reinvesting heavily in growth.
Key Findings
Generating 75M in free cash flow and 75M in operating cash flow. Earnings are translating into actual cash generation.
Revenue contracted 47% YoY. Worth determining whether this is cyclical or structural.
What to Watch Next
Margin expansion: can Ironwood Pharmaceuticals Inc push profit margins above 15% as the business scales?
Sector dynamics: monitor DRUG MANUFACTURERS - SPECIALTY & GENERIC industry trends, competitive moves, and regulatory changes that could impact Ironwood Pharmaceuticals Inc.
Bottom Line
Ironwood Pharmaceuticals Inc offers stability with moderate growth and solid fundamentals. The valuation may present an opportunity for patient investors, though limited growth means returns will likely come from dividends and modest capital appreciation rather than explosive gains.
This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.
Insider Transactions
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About Ironwood Pharmaceuticals Inc(IRWD)
NASDAQ
HEALTHCARE
DRUG MANUFACTURERS - SPECIALTY...
USA
Ironwood Pharmaceuticals, Inc., a healthcare company, focuses on the development and commercialization of gastrointestinal (GI) products. The company is headquartered in Boston, Massachusetts.