Fair value · IRONWOOD PHARMACEUTICALS INC (IRWD) · updated 2026-08-29 · from 10-K FY2025
Four independent valuation methods run on IRONWOOD PHARMACEUTICALS’s own SEC filings. One says overvalued, three say undervalued. The spread is wide, so treat it as a rough guide.
Prices and market caps: Cboe delayed data, at least 15 minutes delayed. Not real-time. Fundamentals from SEC filings.
Bear, base and bull are the 25th, 50th and 75th percentile of the methods that produced a usable estimate. Weights say how much a method is trusted for this sector; they do not change the range.
| Method | Estimate | vs price | Weight | Why this method |
|---|---|---|---|---|
Earnings Power Value Medium weight Greenwald’s Earnings Power Value: what current earnings are worth if they never grow. Everything above it is what you pay for growth. | $3.38 | -20% | Medium weight | Greenwald’s Earnings Power Value: what current earnings are worth if they never grow. Everything above it is what you pay for growth. |
EV/EBITDA Medium weight Values the whole business at 10× EBITDA and divides by the share count. A mid-cycle industrial multiple; fast growers trade far above it. | $6.32 | +49% | Medium weight | Values the whole business at 10× EBITDA and divides by the share count. A mid-cycle industrial multiple; fast growers trade far above it. |
10-K FY2025 · fiscal year ended 2025-12-31 · filed 2026-02-26 · accession 0001104659-26-020489
Trailing-twelve-month EPS also uses the quarterly 10-Qs through Q2 FY2026 (filed 2026-08-06).
Open this filing on sec.govDCF High weight Projects free cash flow for the coming years and discounts it back to today. The most complete method, and the most sensitive to the growth and discount-rate assumptions. | $12 | +188% | High weight | Projects free cash flow for the coming years and discounts it back to today. The most complete method, and the most sensitive to the growth and discount-rate assumptions. |
EV/FCF Medium weight 20× free cash flow per share, i.e. a 5% cash yield. Reads low for companies the market expects to keep growing. | $15 | +264% | Medium weight | 20× free cash flow per share, i.e. a 5% cash yield. Reads low for companies the market expects to keep growing. |
P/E vs sector Medium weight Trailing diluted EPS times the sector median P/E. What the stock would be worth if the market priced it like an average peer. estimate at or below $0, or more than 4× away from the price | Not meaningful for this company | Medium weight | Trailing diluted EPS times the sector median P/E. What the stock would be worth if the market priced it like an average peer. | |
Growth-trajectory DCF Medium weight A two-stage DCF that grows earnings at the company’s own EPS trend, then fades to the industry’s long-run rate. estimate at or below $0, or more than 4× away from the price | Not meaningful for this company | Medium weight | A two-stage DCF that grows earnings at the company’s own EPS trend, then fades to the industry’s long-run rate. | |
P/B vs sector Medium weight Sector median price-to-book times book value per share. Works for banks and asset-heavy businesses, says little about software. Negative or unavailable book value | No estimate | Medium weight | Sector median price-to-book times book value per share. Works for banks and asset-heavy businesses, says little about software. | |
Graham Number Medium weight Benjamin Graham’s 1949 rule of thumb: √(22.5 × EPS × book value). It punishes asset-light companies, so it reads low for big tech. Requires positive book value per share | No estimate | Medium weight | Benjamin Graham’s 1949 rule of thumb: √(22.5 × EPS × book value). It punishes asset-light companies, so it reads low for big tech. | |
PEG Ratio is not meaningful: Negative Growth — PEG not meaningful
Interpretation
PEG = P/E ÷ Annual EPS Growth Rate (%). Peter Lynch's growth-adjusted value metric.
Interpretation
EV/EBITDA = Enterprise Value ÷ EBITDA. Capital-structure neutral — preferred by professional investors.
Interpretation
P/S = Market Cap ÷ Revenue. Useful for growth/unprofitable companies. SaaS/high-growth norms higher.
P/B Ratio is not meaningful: Negative book value — P/B not meaningful
Interpretation
P/B = Price ÷ Book Value per Share. Essential for banks, REITs, and asset-heavy companies.
Graham Number is not meaningful: Negative or zero book value — Graham Number not meaningful
Interpretation
√(22.5 × EPS × Book Value/Share) — Benjamin Graham's intrinsic value estimate.
-20.3% vs current price ($4.24)
Greenwald EPV assumes zero future growth — this is the floor value of the business as a going concern.
Two of the seven methods, each with its own assumptions you can change. The fair-value range at the top of the page blends all seven; the numbers below will differ from it by design.
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DCF fair value, Graham number, EPV, key multiples and growth rates in one clean PDF.
