Ironwood Pharmaceuticals, Inc. (IRWD) is a Drug Manufacturers - Specialty & Generic company in the Healthcare sector, currently trading at $4.04. It has a SharesGrow Score of 54/100, indicating a mixed investment profile with 0 out of 7 criteria passed.
SharesGrow calculates the intrinsic value of IRWD = $9.17 (+127% from the current price, the stock appears undervalued). Analyst consensus target is IRWD = $5 (+18.8% upside).
Valuation: IRWD trades at a trailing Price-to-Earnings (P/E) of 23.1 (S&P 500 average ~25) with a forward Price/Earnings-to-Growth (PEG) of 4.22.
Financials: revenue is $296M, -9.5%/yr average growth. Net income is $24M, growing at +685.6%/yr. Net profit margin is 8.1% (thin). Gross margin is 99.4% (-0.3 pp trend).
Balance sheet: total debt is $598M with negative equity of -$262M — this means total liabilities exceed total assets. This is a warning sign that may indicate accumulated losses, aggressive share buybacks, heavy debt financing, or aggressive dividend payouts. Companies like McDonald's and Starbucks also carry negative equity due to buybacks and dividends, but investors should assess whether the business generates sufficient cash flow to service its debt and sustain payouts. Current ratio is 1.13 (adequate). Debt-to-assets is 150.6%. Total assets: $397M.
Analyst outlook: 11 / 30 analysts rate IRWD as buy (37%) — mixed sentiment.
SharesGrow 7-Criteria breakdown: Value 47/100 (Partial), Growth 58/100 (Partial), Past 75/100 (Partial), Health 50/100 (Partial), Moat 60/100 (Partial), Future 46/100 (Partial), Income 45/100 (Partial).
