Ironwood Pharmaceuticals (NASDAQ:IRWD) Trading 5.4% Higher – Should You Buy?

Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD)’s stock price shot up 5.4% during mid-day trading on Monday . The company traded as high as $3.18 and last traded at $3.2250. 223,576 shares were traded during trading, a decline of 95% from the average session volume of 4,699,348 shares. The stock had previously closed at $3.06.

Analyst Ratings Changes

Several research firms have weighed in on IRWD. Zacks Research cut Ironwood Pharmaceuticals from a “strong-buy” rating to a “hold” rating in a report on Wednesday, February 25th. Wells Fargo & Company upped their target price on Ironwood Pharmaceuticals from $3.00 to $5.00 and gave the company an “equal weight” rating in a report on Monday, January 5th. Citizens Jmp raised their price target on Ironwood Pharmaceuticals from $8.00 to $10.00 and gave the stock a “market outperform” rating in a research note on Thursday, February 26th. Jefferies Financial Group reiterated a “hold” rating and issued a $3.70 price target on shares of Ironwood Pharmaceuticals in a report on Thursday, February 26th. Finally, Weiss Ratings reissued a “sell (d)” rating on shares of Ironwood Pharmaceuticals in a research report on Monday, December 29th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, four have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $4.93.

Ironwood Pharmaceuticals Stock Performance

The stock has a 50-day moving average of $4.04 and a two-hundred day moving average of $3.18. The company has a market cap of $606.42 million, a P/E ratio of 28.63 and a beta of 0.24.

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

Insider Buying and Selling

In other Ironwood Pharmaceuticals news, Director Alexander J. Denner sold 6,730,800 shares of the firm’s stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $3.05, for a total transaction of $20,528,940.00. Following the completion of the sale, the director directly owned 9,188,635 shares in the company, valued at approximately $28,025,336.75. This trade represents a 42.28% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 12.70% of the company’s stock.

Institutional Investors Weigh In On Ironwood Pharmaceuticals

A number of institutional investors have recently made changes to their positions in IRWD. LSV Asset Management purchased a new position in Ironwood Pharmaceuticals in the 4th quarter worth approximately $30,000. Jump Financial LLC bought a new stake in shares of Ironwood Pharmaceuticals in the 4th quarter worth $34,000. DGS Capital Management LLC purchased a new position in shares of Ironwood Pharmaceuticals in the fourth quarter worth $35,000. Cibc World Markets Corp bought a new position in shares of Ironwood Pharmaceuticals during the fourth quarter valued at $36,000. Finally, Simplify Asset Management Inc. purchased a new stake in shares of Ironwood Pharmaceuticals during the fourth quarter valued at $37,000.

Ironwood Pharmaceuticals Company Profile

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.