Ironwood Pharmaceuticals (NASDAQ:IRWD) Shares Gap Down – Time to Sell?

Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD)’s share price gapped down prior to trading on Monday . The stock had previously closed at $4.32, but opened at $4.17. Ironwood Pharmaceuticals shares last traded at $4.1440, with a volume of 567,461 shares traded.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on the company. Weiss Ratings upgraded Ironwood Pharmaceuticals from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Friday. Wall Street Zen cut Ironwood Pharmaceuticals from a “strong-buy” rating to a “buy” rating in a report on Saturday. Finally, Zacks Research downgraded Ironwood Pharmaceuticals from a “strong-buy” rating to a “hold” rating in a research report on Thursday, July 30th. One investment analyst has rated the stock with a Strong Buy rating, two have given a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $6.23.

Ironwood Pharmaceuticals Trading Down 5.7%

The firm’s 50-day moving average is $3.90 and its two-hundred day moving average is $3.96. The stock has a market cap of $664.47 million, a price-to-earnings ratio of 5.29 and a beta of 0.20.

Ironwood Pharmaceuticals (NASDAQ:IRWD) last posted its quarterly earnings data on Thursday, August 6th. The biotechnology company reported $0.31 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.32 by ($0.01). Ironwood Pharmaceuticals had a negative return on equity of 58.38% and a net margin of 33.36%.The firm had revenue of $113.04 million during the quarter, compared to analyst estimates of $114.84 million. On average, analysts predict that Ironwood Pharmaceuticals, Inc. will post 1.04 earnings per share for the current year.

Insider Activity at Ironwood Pharmaceuticals

In other news, insider Ronald Silver sold 127,890 shares of Ironwood Pharmaceuticals stock in a transaction that occurred on Tuesday, July 7th. The stock was sold at an average price of $4.52, for a total value of $578,062.80. Following the sale, the insider directly owned 313,680 shares of the company’s stock, valued at $1,417,833.60. The trade was a 28.96% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Julie Mchugh sold 21,571 shares of the business’s stock in a transaction that occurred on Tuesday, June 16th. The stock was sold at an average price of $3.73, for a total value of $80,459.83. Following the sale, the director owned 250,749 shares of the company’s stock, valued at $935,293.77. The trade was a 7.92% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 9.30% of the company’s stock.

Institutional Investors Weigh In On Ironwood Pharmaceuticals

Several institutional investors and hedge funds have recently added to or reduced their stakes in IRWD. LSV Asset Management acquired a new stake in shares of Ironwood Pharmaceuticals in the fourth quarter valued at about $30,000. Jump Financial LLC purchased a new stake in Ironwood Pharmaceuticals during the 4th quarter valued at about $34,000. DGS Capital Management LLC purchased a new stake in Ironwood Pharmaceuticals during the 4th quarter valued at about $35,000. Cibc World Markets Corp acquired a new stake in Ironwood Pharmaceuticals in the 4th quarter valued at about $36,000. Finally, Simplify Asset Management Inc. acquired a new stake in Ironwood Pharmaceuticals in the 4th quarter valued at about $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.