Ironwood Pharmaceuticals Inc. saw a significant price increase of 28.19% as it crossed above the 20-day SMA, reflecting positive market conditions.
The surge is attributed to Ironwood's projection that U.S. net sales for LINZESS will reach between $1.125 billion and $1.175 billion in 2026, driven by improved market demand and pricing strategies. Additionally, the company reported over $200 million in cash reserves, ensuring financial stability and boosting investor confidence. The anticipated adjusted EBITDA exceeding $300 million in 2026 further underscores the company's growth potential.
This optimistic outlook not only highlights Ironwood's strong position in the market but also suggests that the company is well-prepared for future challenges, particularly with ongoing clinical trials for apraglutide targeting short bowel syndrome.
Wall Street analysts forecast IRWD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for IRWD is 6.23 USD with a low forecast of 5.00 USD and a high forecast of 8.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Analyst Rating
Wall Street analysts forecast IRWD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for IRWD is 6.23 USD with a low forecast of 5.00 USD and a high forecast of 8.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Buy
1 Hold
0 Sell
Moderate Buy
Current: 4.790
Low
5.00
Averages
6.23
High
8.00
Current: 4.790
Low
5.00
Averages
6.23
High
8.00
Craig-Hallum
Hold
to
Buy
upgrade
2026-01-05
Reason
Craig-Hallum
Price Target
AI Analysis
2026-01-05
upgrade
Hold
to
Buy
Reason
Craig-Hallum upgraded Ironwood to Buy from Hold with a price target of $5.70, up from $3.80.
Craig-Hallum
Craig-Hallum
Hold
to
Buy
upgrade
2026-01-05
Reason
Craig-Hallum
Craig-Hallum
Price Target
2026-01-05
upgrade
Hold
to
Buy
Reason
As previously reported, Craig-Hallum upgraded Ironwood to Buy from Hold with a price target of $5.70, up from $3.80. While the firm is "unfortunately a little late to the party," Craig-Hallum is upgrading shares as the model now points to Ironwood being able to retire its entire debt balance, fund the apraglutide Phase 3, and have about $300M in cash by Linzess loss of exclusivity in April 2029. The driver of the large changes to its model was the update the company provided on January 2, which included a 2025 update, but more importantly, 2026, Craig-Hallum adds.
Unlock Full Analyst Thesis, Get the complete breakdown of rating reason for IRWD
Unlock Now
Citizens
Jason Butler
Market Perform -> Outperform
upgrade
$8
2026-01-05
Reason
Citizens
Jason Butler
Price Target
$8
2026-01-05
upgrade
Market Perform -> Outperform
Reason
Citizens analyst Jason Butler upgraded Ironwood to Outperform from Market Perform with an $8 price target. The firm says "restored confidence" in Linzess strength eases the company's debt obligation concerns and allows renewed focus on the long-term value of apraglutide. Linzess can generate brand profit to Ironwood of $1.5B before the loss of exclusivity, and cash flow from the asset will be more than sufficient to meet Ironwood's existing debt obligations, the analyst tells investors in a research note.
Wells Fargo
Equal Weight
maintain
$3 -> $5
2026-01-04
Reason
Wells Fargo
Price Target
$3 -> $5
2026-01-04
maintain
Equal Weight
Reason
Wells Fargo raised the firm's price target on Ironwood to $5 from $3 and keeps an Equal Weight rating on the shares. The company's 2026 outlook for Linzess "looks strong on pricing tailwinds" while its FDA alignment on an additional Phase 3 trial for apraglutide is a positive, the analyst tells investors in a research note. However, Wells remains on the sidelines, saying apraglutide's success in short bowel syndrome with intestinal failure is "critical for the stock."
About IRWD
Ironwood Pharmaceuticals, Inc. is a biotechnology company developing and commercializing life-changing therapies for people living with gastrointestinal (GI), and rare diseases. It is focused on the development and commercialization of GI product opportunities in areas of significant unmet need. LINZESS (linaclotide), its commercial product, is indicated for adult men and women suffering from irritable bowel syndrome with constipation (IBS-C), or chronic idiopathic constipation (CIC), and for pediatric patients ages 6-17 years-old suffering from functional constipation (FC). Linaclotide is available under the trademarked name CONSTELLA to adult men and women suffering from IBS-C or CIC and pediatric patients. The Company is also engaged in advancing apraglutide, a synthetic long-acting peptide analog of glucagon-like peptide-2 (GLP-2), for short bowel syndrome (SBS), patients who are dependent on parenteral support.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.