IRWD
Ironwood Pharmaceuticals, Inc.
IRWD's fundamentals are mixed, but it looks cheap: trading at 5.4x earnings, less than half its usual 12x. Analysts expect strong earnings growth.
IRWD Fundamentals
| Metric | Status |
|---|---|
| Stable | |
| Strong | |
| Strong | |
| Healthy |
IRWD's profitability, cash flow and balance sheet are currently healthy, and its revenue is stable.
IRWD PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 3.6x | $4.85 | — |
| Cheap | 4x | $3.62 | -25% |
| Current | 5.4x | $4.85 | — |
| Fair | 12x | $10.94 | +125% |
| Expensive | 24x | $21.19 | +337% |
Historical ranges are pointers, not guarantees.
IRWD's PE is in its cheap range at 5.4x. If earnings grow as analysts expect, today's price would be 3.6x next year's earnings.
IRWD Forward outlook
| Metric | Outlook |
|---|---|
| Strongly improving | |
| Strong growth | |
| Strong growth | |
| Strongly improving | |
| Limited | |
| High |
Analysts expect strong earnings and revenue growth for IRWD, with profitability improving.
IRWD Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $1.37 | +52% |
| Q3 2026 | $0.90 | +500% |
| Q2 2026 | $0.77 | +$0.83 |
| Q1 2026 | $0.60 | +$0.81 |
| Q4 2025 | $0.13 | +$0.14 |
| Q3 2025 | $0.15 | +$0.18 |
| Q2 2025 | -$0.06 | -250% |
| Q1 2025 | -$0.21 | +$6.58 |
| Q4 2024 | -$0.01 | +$6.50 |
IRWD's earnings per share have fallen from their peak: $0.90 over the past year, against $3.25 in late 2021.
IRWD Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $133M | +9% |
| Q2 2026 | $113M | +33% |
| Q1 2026 | $106.5M | +159% |
| Q4 2025 | $47.7M | -47% |
| Q3 2025 | $122.1M | +33% |
| Q2 2025 | $85.2M | -9.7% |
| Q1 2025 | $41.1M | -45% |
| Q4 2024 | $90.5M | -23% |
IRWD's revenue is growing: $133M last quarter, up 9% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 70% | +8.2 points |
| Q2 2026 | 70% | +17 points |
| Q1 2026 | 68% | +139 points |
| Q4 2025 | 14% | -21 points |
| Q3 2025 | 62% | +34 points |
| Q2 2025 | 53% | +27 points |
| Q1 2025 | -71% | -86 points |
| Q4 2024 | 35% | +2.8 points |
IRWD's operating margin was 70% last quarter, up 8.2 points from the same quarter a year ago, near the top of its range since 2019.
IRWD Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q4 2025 | $74.6M | +390% |
| Q3 2025 | $47.6M | +382% |
| Q2 2025 | -$15.1M | -145% |
| Q1 2025 | $19.9M | -56% |
| Q4 2024 | $15.2M | -57% |
| Q3 2024 | $9.9M | -70% |
| Q2 2024 | $33.4M | -4.5% |
| Q1 2024 | $44.9M | -44% |
IRWD still generates free cash flow, though less than at its 2023 peak: $127M over the past year.
IRWD Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | +0.6% | +998K shares |
| 1 year | -5.4% | -9.6M shares |
| 3 years | -10% | -18.7M shares |
| 5 years | +1.8% | +2.9M shares |
| Available history | +7.8% | +12.2M shares |
IRWD has 168M diluted shares, down 5.4% from a year ago.
| Quarter | Spent |
|---|---|
| Q4 2022 | — |
| Q3 2022 | — |
| Q1 2022 | $92.5M |
IRWD Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 0.9x | Very low |
| Q2 2026 | 1.3x | Healthy |
| Q1 2026 | 0.8x | Very low |
| Q4 2025 | 1.7x | Healthy |
| Q3 2025 | 0.5x | Very low |
| Q2 2025 | 1.4x | Healthy |
| Q1 2025 | 1.7x | Healthy |
| Q4 2024 | 3.1x | Elevated |
IRWD's net debt is less than a year of its operating earnings (EBITDA).
IRWD Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 61.6 | Neutral |
| Stochastic | 61.2 | Neutral |
IRWD's weekly RSI is 62 (neutral) and its Stochastic is 61 (neutral).
IRWD PE vs Healthcare Sector
| Metric | IRWD | Sector median | Relative |
|---|---|---|---|
| PE | 5.4x | 26x | 79% below |
| PE % | 25 | 29 | 4 pts below |
IRWD is trading at 5.4x earnings, a 79% discount to the Healthcare sector's median of 26x.
IRWD Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $3.91 | 24% above |
| 20 week MA | $4.08 | 19% above |
| 50 week MA | $3.95 | 23% above |
| 100 week MA | $2.81 | 73% above |
| 200 week MA | $5.79 | 16% below |
IRWD has bounced recently, but its long-term trend is still down: it's above its 8-, 20-, 50- and 100-week averages, but 16% below its 200-week average.
IRWD Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $13.5 | $11.7 | -13% |
| 2021 | $11.7 | $11.9 | +1.3% |
| 2022 | $11.9 | $12.4 | +4.3% |
| 2023 | $12.4 | $11.4 | -7.6% |
| 2024 | $11.4 | $4.45 | -61% |
| 2025 | $4.45 | $3.20 | -28% |
| 2026 YTD | $3.20 | $4.85 | +52% |
IRWD has finished three years in a row lower, and it's up 52% so far in 2026.