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Ironwood PharmaceuticalsIRWD -5.26%65 EV-to-OCF is 5.40 as of Aug. 20, 2026, which is 30% below its 10-year median of 7.71. GuruFocus rates IRWD with a GF Score™ of 65/100 and a GF Value™ of $4.55 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,005 Drug Manufacturers companies, Ironwood Pharmaceuticals ranks better than 62.29% on this metric.
The historical rank and industry rank for Ironwood Pharmaceuticals's EV-to-OCF or its related term are showing as below:
IRWD'
s EV-to-OCF Range Over the Past 10 Years
Min: -321.61 Med: 7.71 Max: 216.44
Current: 5.4
During the past 13 years, the highest EV-to-OCF of Ironwood Pharmaceuticals was 216.44. The lowest was -321.61. And the median was 7.71.
IRWD's EV-to-OCF is ranked better than 62.29% of 1005
companies
in the Drug Manufacturers industry
Industry Median: 10.86
vs IRWD: 5.40
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Ironwood Pharmaceuticals's PE Ratio (TTM) for today is calculated as:
Ironwood Pharmaceuticals's share price for today is $4.14.
Ironwood Pharmaceuticals's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $0.770.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Cash Flow from Operations is an important financial metric because it represents the cash generated from operating activities at a company's disposal. Companies with a low EV-to-OCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Ironwood Pharmaceuticals EV-to-OCF Related Terms
Ironwood Pharmaceuticals EV-to-OCF Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Drug Manufacturers - Specialty & Generic subindustry, Ironwood Pharmaceuticals's EV-to-OCF, along with its competitors' market caps and EV-to-OCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Ironwood Pharmaceuticals EV-to-OCF vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Ironwood Pharmaceuticals's EV-to-OCF distribution charts can be found below:
* The bar in red indicates where Ironwood Pharmaceuticals's EV-to-OCF falls into.
Ironwood Pharmaceuticals's current Enterprise Value is $1,001.8 Mil.
Ironwood Pharmaceuticals's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $185.6 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Ironwood Pharmaceuticals (IRWD) has a EV-to-OCF of 5.40 as of Aug. 20, 2026. This is 30% below median its historical median of 7.71. According to the industry distribution chart, Ironwood Pharmaceuticals ranks #379 out of 1005 companies in the Drug Manufacturers industry, placing it in the top 37.7%.
Is Ironwood Pharmaceuticals' EV-to-OCF too high?
Ironwood Pharmaceuticals' current EV-to-OCF of 5.40 is 30% below median its 10-year median of 7.71. The Drug Manufacturers industry median EV-to-OCF is 10.86. Ironwood Pharmaceuticals' value of 5.40 is 50.3% below this industry median. Based on the distribution chart, Ironwood Pharmaceuticals ranks #379 out of 1005 companies in the Drug Manufacturers industry, which is above the industry midpoint. Overall, Ironwood Pharmaceuticals has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Ironwood Pharmaceuticals' EV-to-OCF compare to TLRY and AQST?
According to the Drug Manufacturers industry distribution chart, Ironwood Pharmaceuticals ranks #379 out of 1005 companies for EV-to-OCF. This puts Ironwood Pharmaceuticals in the upper half of its industry. The industry median EV-to-OCF is 10.86. Ironwood Pharmaceuticals' value of 5.40 is 50.3% below this benchmark. While the company's 10-year median is 7.71 vs. the industry median of 10.86, Ironwood Pharmaceuticals has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-OCF for a Drug Manufacturers company?
The median EV-to-OCF among Drug Manufacturers companies is 10.86, based on 1,005 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-OCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-OCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ironwood Pharmaceuticals's current EV-to-OCF of 5.40 is 50.3% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-OCF mean?
A high EV-to-OCF can signal that a stock is expensive relative to its fundamentals. For the Drug Manufacturers industry, the median EV-to-OCF is 10.86 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ironwood Pharmaceuticals's current EV-to-OCF is 5.40, which is 30% below median its own 10-year median of 7.71. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ironwood Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Ironwood Pharmaceuticals (IRWD) is currently considered Fairly Valued. The stock's GF Value™ is $4.55, compared to a current price of $4.14 — trading 9% below its estimated fair value. The current EV-to-OCF is 5.40, which is 30% below median its 10-year median of 7.71 and 50.3% below the Drug Manufacturers industry median of 10.86. Ironwood Pharmaceuticals' overall GF Score™ is 65/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-OCF calculated?
EV-to-OCF is calculated from a company's financial statements. For Ironwood Pharmaceuticals (IRWD), the current EV-to-OCF is 5.40 as of Aug. 20, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Ironwood Pharmaceuticals (IRWD) Overvalued in 2026?
Based on GuruFocus' analysis, Ironwood Pharmaceuticals stock appears to be undervalued.
The current stock price of $4.14 is trading 9% below its estimated GF Value™ of $4.55.
GuruFocus considers Ironwood Pharmaceuticals to be Fairly Valued.
Key valuation signals for IRWD:
EV-to-OCF: 5.40 (30% below median its 10-year median of 7.71)
GF Value™: $4.55 vs. price of $4.14 (9% below fair value)
Industry Position: 50.3% below the Drug Manufacturers median (#379 of 1005)
No single metric tells the full story. See the IRWD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ironwood Pharmaceuticals Inc is a biotechnology company developing and commercializing life-changing therapies for people living with gastrointestinal, or GI, and rare diseases. It is focused on the development and commercialization of inventive product opportunities in areas of unmet need, leveraging its demonstrated expertise and capabilities in GI and rare diseases. LINZESS is its commercial product. LINZESS is also available for the treatment of adults with IBS-C or CIC in Mexico, adults with IBS-C or chronic constipation in Japan, and adults with IBS-C in China. Linaclotide is available under the trademarked name CONSTELLA for the treatment of adults with IBS-C or CIC and pediatric patients ages 6-17 years old with FC in Canada, and to adults with IBS-C in certain European countries.
65GF Score
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