Analysts Estimate Ironwood Pharmaceuticals (IRWD) to Report a Decline in Earnings: What to Look Out for

Core Viewpoint - Ironwood Pharmaceuticals (IRWD) is anticipated to report a year-over-year decline in earnings due to lower revenues for the quarter ended March 2025, with the consensus outlook indicating a significant impact on its near-term stock price [1][3]. Earnings Expectations - The consensus EPS estimate for Ironwood is a loss of $0.05 per share, reflecting a year-over-year change of -150% [3]. - Expected revenues are projected at $59.45 million, which is a decrease of 20.6% compared to the same quarter last year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 42.86%, indicating a bearish sentiment among analysts regarding the company's earnings prospects [4]. - The Most Accurate Estimate for Ironwood is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -121.05% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the likely deviation of actual earnings from the consensus estimate, with a strong predictive power for positive readings [6][7]. - Stocks with a positive Earnings ESP and a Zacks Rank of 1, 2, or 3 have historically produced a positive surprise nearly 70% of the time [8]. Historical Performance - Ironwood has not been able to beat consensus EPS estimates in any of the last four quarters, with a notable surprise of -80% in the last reported quarter [12][13]. Conclusion - Ironwood does not appear to be a compelling candidate for an earnings beat, and investors should consider other factors when making decisions regarding this stock ahead of its earnings release [16].