Ironwood Pharmaceuticals (NASDAQ:IRWD) Shares Down 5% – Here’s Why

Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD)’s share price dropped 5% during mid-day trading on Thursday . The company traded as low as $4.30 and last traded at $4.38. Approximately 123,974 shares traded hands during trading, a decline of 96% from the average daily volume of 2,846,078 shares. The stock had previously closed at $4.61.

Wall Street Analysts Forecast Growth

Several research firms have commented on IRWD. Leerink Partnrs upgraded shares of Ironwood Pharmaceuticals to a “hold” rating in a research note on Monday, September 9th. Leerink Partners assumed coverage on Ironwood Pharmaceuticals in a report on Monday, September 9th. They set a “market perform” rating and a $5.00 price target on the stock. Finally, StockNews.com lowered Ironwood Pharmaceuticals from a “strong-buy” rating to a “buy” rating in a research report on Tuesday, November 12th. Three equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the company’s stock. Based on data from MarketBeat, Ironwood Pharmaceuticals has a consensus rating of “Moderate Buy” and a consensus price target of $10.40.

Ironwood Pharmaceuticals Price Performance

The firm has a 50 day moving average of $3.99 and a two-hundred day moving average of $4.87. The stock has a market cap of $716.93 million, a PE ratio of -149.33 and a beta of 0.41.

Ironwood Pharmaceuticals (NASDAQ:IRWD) last issued its quarterly earnings data on Thursday, November 7th. The biotechnology company reported $0.02 earnings per share for the quarter, missing the consensus estimate of $0.09 by ($0.07). Ironwood Pharmaceuticals had a negative return on equity of 0.96% and a negative net margin of 0.65%. The company had revenue of $91.60 million for the quarter, compared to analysts’ expectations of $91.22 million. During the same quarter in the prior year, the firm posted $0.12 EPS. The firm’s quarterly revenue was down 19.4% compared to the same quarter last year. As a group, equities analysts anticipate that Ironwood Pharmaceuticals, Inc. will post 0.08 EPS for the current fiscal year.

Insider Activity

In related news, CFO Sravan Kumar Emany sold 11,001 shares of the business’s stock in a transaction dated Monday, November 18th. The stock was sold at an average price of $4.08, for a total value of $44,884.08. Following the transaction, the chief financial officer now owns 309,572 shares in the company, valued at $1,263,053.76. The trade was a 3.43 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Company insiders own 12.90% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. KBC Group NV boosted its stake in shares of Ironwood Pharmaceuticals by 59.3% in the third quarter. KBC Group NV now owns 8,593 shares of the biotechnology company’s stock valued at $35,000 after buying an additional 3,198 shares in the last quarter. Wolverine Trading LLC acquired a new position in shares of Ironwood Pharmaceuticals during the 3rd quarter worth $51,000. Diversified Trust Co purchased a new position in shares of Ironwood Pharmaceuticals in the 3rd quarter valued at about $52,000. Legacy Capital Group California Inc. purchased a new stake in Ironwood Pharmaceuticals during the third quarter worth about $59,000. Finally, First Dallas Securities Inc. acquired a new position in Ironwood Pharmaceuticals during the second quarter worth about $73,000.

Ironwood Pharmaceuticals Company Profile

Ironwood Pharmaceuticals, Inc, a healthcare company, focuses on the development and commercialization of gastrointestinal (GI) products. It markets linaclotide, a guanylate cyclase type-C (GC-C) agonist for the treatment of adults suffering from irritable bowel syndrome with constipation or chronic idiopathic constipation under the LINZESS name in the United States, Mexico, Japan, Saudi Arabia, and China, as well as under the CONSTELLA name in the Canada and European countries.