IRONWOOD PHARMACEUTICALS INC (IRWD) Stock Fundamental Analysis

NASDAQ:IRWD • US46333X1081

4.74 USD
-0.04 (-0.84%)
Last: Feb 18, 2026, 10:22 AM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Overall IRWD gets a fundamental rating of 5 out of 10. We evaluated IRWD against 521 industry peers in the Biotechnology industry. IRWD scores excellent on profitability, but there are concerns on its financial health. IRWD is cheap, but on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

7

1. Profitability

1.1 Basic Checks

  • IRWD had positive earnings in the past year.
  • IRWD had a positive operating cash flow in the past year.
  • IRWD had positive earnings in 4 of the past 5 years.
  • IRWD had a positive operating cash flow in each of the past 5 years.
IRWD Yearly Net Income VS EBIT VS OCF VS FCFIRWD Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M -1B

1.2 Ratios

  • The Return On Assets of IRWD (7.21%) is better than 92.71% of its industry peers.
  • IRWD has a better Return On Invested Capital (73.91%) than 99.81% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for IRWD is significantly above the industry average of 18.69%.
  • The 3 year average ROIC (36.95%) for IRWD is below the current ROIC(73.91%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 7.21%
ROE N/A
ROIC 73.91%
ROA(3y)-65.53%
ROA(5y)-26.14%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)36.95%
ROIC(5y)30.66%
IRWD Yearly ROA, ROE, ROICIRWD Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -500 -1K

1.3 Margins

  • IRWD has a Profit Margin of 8.42%. This is amongst the best in the industry. IRWD outperforms 90.21% of its industry peers.
  • IRWD's Profit Margin has declined in the last couple of years.
  • The Operating Margin of IRWD (42.38%) is better than 99.04% of its industry peers.
  • In the last couple of years the Operating Margin of IRWD has remained more or less at the same level.
Industry RankSector Rank
OM 42.38%
PM (TTM) 8.42%
GM N/A
OM growth 3Y-21.4%
OM growth 5Y0.07%
PM growth 3Y-87.48%
PM growth 5Y-45.09%
GM growth 3YN/A
GM growth 5YN/A
IRWD Yearly Profit, Operating, Gross MarginsIRWD Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100 -100 -200

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so IRWD is creating value.
  • The number of shares outstanding for IRWD has been increased compared to 1 year ago.
  • IRWD has more shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, IRWD has a worse debt to assets ratio.
IRWD Yearly Shares OutstandingIRWD Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M
IRWD Yearly Total Debt VS Total AssetsIRWD Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

2.2 Solvency

  • Based on the Altman-Z score of -3.05, we must say that IRWD is in the distress zone and has some risk of bankruptcy.
  • IRWD's Altman-Z score of -3.05 is in line compared to the rest of the industry. IRWD outperforms 47.22% of its industry peers.
  • The Debt to FCF ratio of IRWD is 8.64, which is on the high side as it means it would take IRWD, 8.64 years of fcf income to pay off all of its debts.
  • IRWD has a better Debt to FCF ratio (8.64) than 90.79% of its industry peers.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 8.64
Altman-Z -3.05
ROIC/WACC9.16
WACC8.07%
IRWD Yearly LT Debt VS Equity VS FCFIRWD Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M

2.3 Liquidity

  • IRWD has a Current Ratio of 1.13. This is a normal value and indicates that IRWD is financially healthy and should not expect problems in meeting its short term obligations.
  • Looking at the Current ratio, with a value of 1.13, IRWD is doing worse than 84.84% of the companies in the same industry.
  • IRWD has a Quick Ratio of 1.13. This is a normal value and indicates that IRWD is financially healthy and should not expect problems in meeting its short term obligations.
  • IRWD has a Quick ratio of 1.13. This is amonst the worse of the industry: IRWD underperforms 83.88% of its industry peers.
Industry RankSector Rank
Current Ratio 1.13
Quick Ratio 1.13
IRWD Yearly Current Assets VS Current LiabilitesIRWD Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 2700.00% over the past year.
  • Measured over the past years, IRWD shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -48.27% on average per year.
  • IRWD shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -10.42%.
  • IRWD shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -3.88% yearly.
EPS 1Y (TTM)2700%
EPS 3Y-74.31%
EPS 5Y-48.27%
EPS Q2Q%1100%
Revenue 1Y (TTM)-10.42%
Revenue growth 3Y-5.3%
Revenue growth 5Y-3.88%
Sales Q2Q%33.26%

3.2 Future

  • The Earnings Per Share is expected to grow by 99.52% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, IRWD will show a decrease in Revenue. The Revenue will decrease by -4.08% on average per year.
EPS Next Y1353.5%
EPS Next 2Y538.75%
EPS Next 3Y265.83%
EPS Next 5Y99.52%
Revenue Next Year-15.64%
Revenue Next 2Y7.59%
Revenue Next 3Y10.33%
Revenue Next 5Y-4.08%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
IRWD Yearly Revenue VS EstimatesIRWD Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 100M 200M 300M 400M
IRWD Yearly EPS VS EstimatesIRWD Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 0 -2 -4 -6

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Find the best growth stocksShow best growing peers

9

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 18.23 indicates a rather expensive valuation of IRWD.
  • Based on the Price/Earnings ratio, IRWD is valued cheaply inside the industry as 95.20% of the companies are valued more expensively.
  • The average S&P500 Price/Earnings ratio is at 27.16. IRWD is valued slightly cheaper when compared to this.
  • IRWD is valuated cheaply with a Price/Forward Earnings ratio of 5.81.
  • IRWD's Price/Forward Earnings ratio is rather cheap when compared to the industry. IRWD is cheaper than 98.85% of the companies in the same industry.
  • IRWD is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.10, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 18.23
Fwd PE 5.81
IRWD Price Earnings VS Forward Price EarningsIRWD Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, IRWD is valued cheaper than 98.08% of the companies in the same industry.
  • IRWD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. IRWD is cheaper than 97.89% of the companies in the same industry.
Industry RankSector Rank
P/FCF 11.4
EV/EBITDA 8.39
IRWD Per share dataIRWD EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 1 -1 2

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • IRWD has a very decent profitability rating, which may justify a higher PE ratio.
  • IRWD's earnings are expected to grow with 265.83% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.01
PEG (5Y)N/A
EPS Next 2Y538.75%
EPS Next 3Y265.83%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • No dividends for IRWD!.
Industry RankSector Rank
Dividend Yield 0%

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Find the best dividend stocksShow peers with best dividend

IRONWOOD PHARMACEUTICALS INC

NASDAQ:IRWD (2/18/2026, 10:22:43 AM)

4.74

-0.04 (-0.84%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)11-10
Earnings (Next)02-25
Inst Owners93.44%
Inst Owner Change3.54%
Ins Owners2.66%
Ins Owner Change-0.21%
Market Cap771.10M
Revenue(TTM)338.99M
Net Income(TTM)28.55M
Analysts78
Price Target4.95 (4.43%)
Short Float %5.99%
Short Ratio2.11
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)189.22%
Min EPS beat(2)135.29%
Max EPS beat(2)243.14%
EPS beat(4)2
Avg EPS beat(4)27.35%
Min EPS beat(4)-194.1%
Max EPS beat(4)243.14%
EPS beat(8)2
Avg EPS beat(8)-35.16%
EPS beat(12)4
Avg EPS beat(12)-25.25%
EPS beat(16)5
Avg EPS beat(16)-23.37%
Revenue beat(2)2
Avg Revenue beat(2)48.85%
Min Revenue beat(2)37.5%
Max Revenue beat(2)60.19%
Revenue beat(4)2
Avg Revenue beat(4)20.01%
Min Revenue beat(4)-12.28%
Max Revenue beat(4)60.19%
Revenue beat(8)2
Avg Revenue beat(8)4.05%
Revenue beat(12)4
Avg Revenue beat(12)2.43%
Revenue beat(16)6
Avg Revenue beat(16)1.53%
PT rev (1m)94%
PT rev (3m)410.53%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-67.57%
EPS NY rev (1m)-3.39%
EPS NY rev (3m)19.58%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-33.75%
Revenue NY rev (1m)0%
Revenue NY rev (3m)7.71%
Valuation
Industry RankSector Rank
PE 18.23
Fwd PE 5.81
P/S 2.27
P/FCF 11.4
P/OCF 11.39
P/B N/A
P/tB N/A
EV/EBITDA 8.39
EPS(TTM)0.26
EY5.49%
EPS(NY)0.82
Fwd EY17.22%
FCF(TTM)0.42
FCFY8.77%
OCF(TTM)0.42
OCFY8.78%
SpS2.08
BVpS-1.62
TBVpS-1.64
PEG (NY)0.01
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 7.21%
ROE N/A
ROCE 93.56%
ROIC 73.91%
ROICexc 862.99%
ROICexgc 1040.81%
OM 42.38%
PM (TTM) 8.42%
GM N/A
FCFM 19.96%
ROA(3y)-65.53%
ROA(5y)-26.14%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)36.95%
ROIC(5y)30.66%
ROICexc(3y)70.13%
ROICexc(5y)67.75%
ROICexgc(3y)71.88%
ROICexgc(5y)68.8%
ROCE(3y)46.77%
ROCE(5y)38.81%
ROICexgc growth 3Y-13.6%
ROICexgc growth 5Y-7.25%
ROICexc growth 3Y-13.97%
ROICexc growth 5Y-7.41%
OM growth 3Y-21.4%
OM growth 5Y0.07%
PM growth 3Y-87.48%
PM growth 5Y-45.09%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.86
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 8.64
Debt/EBITDA 2.64
Cap/Depr 1.84%
Cap/Sales 0.01%
Interest Coverage 250
Cash Conversion 46.49%
Profit Quality 236.95%
Current Ratio 1.13
Quick Ratio 1.13
Altman-Z -3.05
F-Score6
WACC8.07%
ROIC/WACC9.16
Cap/Depr(3y)21726.6%
Cap/Depr(5y)13049.4%
Cap/Sales(3y)77.3%
Cap/Sales(5y)46.48%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2700%
EPS 3Y-74.31%
EPS 5Y-48.27%
EPS Q2Q%1100%
EPS Next Y1353.5%
EPS Next 2Y538.75%
EPS Next 3Y265.83%
EPS Next 5Y99.52%
Revenue 1Y (TTM)-10.42%
Revenue growth 3Y-5.3%
Revenue growth 5Y-3.88%
Sales Q2Q%33.26%
Revenue Next Year-15.64%
Revenue Next 2Y7.59%
Revenue Next 3Y10.33%
Revenue Next 5Y-4.08%
EBIT growth 1Y33.82%
EBIT growth 3Y-25.57%
EBIT growth 5Y-3.82%
EBIT Next Year69.33%
EBIT Next 3Y44.12%
EBIT Next 5Y12.2%
FCF growth 1Y108.51%
FCF growth 3Y-26.61%
FCF growth 5Y96.83%
OCF growth 1Y-70.15%
OCF growth 3Y-26.6%
OCF growth 5Y57.45%

IRONWOOD PHARMACEUTICALS INC / IRWD FAQ

What is the fundamental rating for IRWD stock?

ChartMill assigns a fundamental rating of 5 / 10 to IRWD.


Can you provide the valuation status for IRONWOOD PHARMACEUTICALS INC?

ChartMill assigns a valuation rating of 9 / 10 to IRONWOOD PHARMACEUTICALS INC (IRWD). This can be considered as Undervalued.


Can you provide the profitability details for IRONWOOD PHARMACEUTICALS INC?

IRONWOOD PHARMACEUTICALS INC (IRWD) has a profitability rating of 7 / 10.


What is the earnings growth outlook for IRONWOOD PHARMACEUTICALS INC?

The Earnings per Share (EPS) of IRONWOOD PHARMACEUTICALS INC (IRWD) is expected to grow by 1353.5% in the next year.