Key Takeaways IRWD expects 2026 revenues of $450-$475 million, reflecting strong Linzess sales momentum.Ironwood recorded $244.1 million in Linzess net profit share during the first nine months of 2025.Linzess price cuts and underlying demand are expected to support wider adoption in 2026.Ironwood Pharmaceuticals (IRWD) has been witnessing improved demand for its sole marketed product, Linzess (linaclotide), in recent quarters. The company markets Linzess in the United States in collaboration with drug gian ...

Core Viewpoint - Ironwood Pharmaceuticals Inc. (NASDAQ:IRWD) is currently viewed as a promising investment opportunity, with recent upgrades from analysts indicating increased confidence in the company's prospects [1][2]. Group 1: Analyst Upgrades - Craig-Hallum upgraded Ironwood from Hold to Buy, raising the price target from $3.80 to $5.70 [1]. - Citizens analyst Jason Butler upgraded Ironwood from Market Perform to Outperform, setting a price target of $8, citing restored confidence in the core strength of Linzess [2]. Group 2: Financial Performance and Projections - Butler estimates that Linzess could generate approximately $1.5 billion in brand profit for Ironwood before its loss of exclusivity, which is expected to sufficiently cover the company's existing debt obligations [3]. - The cash flow from Linzess is anticipated to alleviate concerns regarding the company's debt, allowing for a renewed focus on the long-term value of its pipeline asset, apraglutide [2][3]. Group 3: Company Overview - Ironwood Pharmaceuticals is a biotechnology company that develops and commercializes therapies for gastrointestinal and rare diseases both in the US and internationally [4].

Industry Overview - The drug and biotech sector has shown recovery after a sluggish first half, supported by drug pricing agreements with the Trump administration and renewed M&A activity [1][4] - Innovation in areas such as obesity treatments, gene therapy, inflammation, and neuroscience continues to drive growth, despite challenges like pipeline setbacks and regulatory uncertainty [2][3] Market Performance - The Zacks Medical-Drugs industry has underperformed compared to the Zacks Medical sector and the S&P 500 over the past year, with a collective rise of 1.2% compared to 3.4% and 18.9% respectively [13] - The industry currently holds a Zacks Industry Rank of 90, placing it in the top 37% of 244 Zacks industries, indicating potential for outperformance [12] Valuation Metrics - The industry is trading at a trailing 12-month price-to-sales (P/S) ratio of 2.25, lower than the S&P 500's 6.03 and the Zacks Medical sector's 2.61 [16] Key Companies and Their Prospects - **Ironwood Pharmaceuticals**: Developing apraglutide for short bowel syndrome, with a significant rise in stock price by 178.9% in the past three months and a consensus estimate for 2026 earnings increasing from $0.40 to $0.47 [20][22] - **Rigel Pharmaceuticals**: Sales of Tavalisse rose by approximately 54% in the first nine months of 2025, with a stock increase of 46.7% and a consensus estimate for 2026 earnings rising from $3.70 to $4.30 [24][27] - **Soleno Therapeutics**: Launched Vykat XR for Prader-Willi syndrome, generating around $99 million in sales since April, with a stock decline of 25.7% but a rising consensus estimate for 2026 earnings from $3.10 to $3.59 [29][30] - **Marker Therapeutics**: Focused on next-generation T cell therapies, with a stock increase of 75.5% and a narrowing consensus estimate for 2026 loss per share from $4.92 to $1.86 [33][34] - **Nektar Therapeutics**: Developing rezpegaldesleukin for atopic dermatitis and alopecia areata, with a stock decline of 26.0% but a narrowing consensus estimate for 2026 loss per share from $12.17 to $10.81 [36][38]

Key Takeaways IRWD stock jumped 26.7% on Jan. 2 after the company issued upbeat revenue guidance for 2026.Ironwood expects $450-$475M in 2026 revenues and more than $300M in adjusted EBITDA.IRWD to start a phase III study on apraglutide in 1H26 after aligning with the FDA on study design.Shares of Ironwood Pharmaceuticals (IRWD) were up 26.7% on Jan. 2 after the company announced upbeat revenue guidance for 2026. The company maintained its revenue guidance for full-year 2025, which it had provided in Novemb ...

Backs FY25 adjusted EBITDA view greater than $135M. “Throughout 2025, we made significant progress in maximizing LINZESS while delivering sustained profits and cash flows in an effort to strengthen our financial position and maintain compliance with debt covenants over the coming quarters,” said Tom McCourt, chief executive officer of Ironwood (IRWD). “As we close 2025, we are on track to achieve the low-end of our full-year LINZESS U.S. net sales and total revenue guidance ranges and ended the fourth quar ...

Sees FY26 adjusted EBITDA greater than $300M. “In 2026, we remain focused on our core priorities of maximizing LINZESS, advancing apraglutide and delivering sustained profits and cash flows. We believe our full-year 2026 guidance demonstrates the significant progress we’ve made to deliver on these priorities to help drive value for shareholders moving forward. Effective January 1, 2026, the LINZESS list price has been lowered in response to evolving health care dynamics and to support ongoing patient acces ...

Company Overview - Intelligent Bio Solutions Inc. (NASDAQ:INBS) announced plans to raise $10 million through a private placement, leading to a significant drop in its share price [1] - Following the announcement, shares of Intelligent Bio fell 19.7% to $7.65 [1] Stock Movements - Lavoro Limited (NASDAQ:LVRO) saw a substantial increase of 181%, reaching $1.2900 [4] - Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD) rose 57.7% to $5.32 after issuing FY26 guidance, expecting US net sales of Linzess to be between $1.125 billion and $1.175 billion [4] - Brand Engagement Network, Inc. (NASDAQ:BNAI) jumped 56% to $3.6290 after entering a Vendor Services Project Agreement with a global advertising agency [4] - ChowChow Cloud International Holdings Limited (NYSE:CHOW) increased by 39.7% to $0.8500 due to year-over-year revenue and net income growth in H1 2025 [4] - Sidus Space, Inc. (NASDAQ:SIDU) gained 29% to $4.0314, marking a 470% surge over the past month [4] - Baidu, Inc. (NASDAQ:BIDU) rose 12.1% to $146.57 after announcing a proposed spin-off and Hong Kong listing of its AI unit [4] Declines - Outlook Therapeutics, Inc. (NASDAQ:OTLK) experienced a significant decline of 58% to $0.6632 after receiving a complete response letter from the FDA regarding its biologics license application [4] - ESH Acquisition Corp. (NASDAQ:ESHA) fell 23.5% to $14.68 [4] - Nuvve Holding Corp. (NASDAQ:NVVE) declined 15.3% to $2.1500 after announcing the closing of a private placement [4]

Core Insights - U.S. stocks experienced an upward trend, with the Nasdaq Composite increasing by over 1% on Friday [1] Company Highlights - Ironwood Pharmaceuticals, Inc. (NASDAQ:IRWD) saw a significant share price increase of 57.7%, reaching $5.32, following the release of its FY26 guidance [1] - Ironwood anticipates 2026 Linzess U.S. net sales between $1.125 billion and $1.175 billion, with total revenue expectations of $450 million to $475 million, and adjusted EBITDA projected to exceed $300 million [1] - Aimei Health Technology Co., Ltd (NASDAQ:AFJK) rose by 34.2% to $85.90 [3] - SELLAS Life Sciences Group, Inc. (NASDAQ:SLS) increased by 22.2% to $4.6050 after a prior gain of 14% on Wednesday [3] - Sable Offshore Corp. (NYSE:SOC) gained 20.2% to $10.94, with a Buy rating reiterated by Benchmark analyst Subash Chandra and a price target maintained at $20 [3] - T1 Energy Inc. (NYSE:TE) rose by 17.7% to $7.86 [3] - TROOPS, Inc. (NASDAQ:TROO) increased by 16.8% to $3.7400 [3] - SkyWater Technology, Inc. (NASDAQ:SKYT) saw a rise of 16.1% to $21.09 [3] - Critical Metals Corp. (NASDAQ:CRML) gained 12.2% to $7.79 [3] - Baidu, Inc. (NASDAQ:BIDU) rose by 12.1% to $146.57 after announcing a proposed spin-off and Hong Kong listing of its non-wholly owned AI unit Kunlunxin [3] - Denison Mines Corp. (NYSE:DNN) increased by 10.3% to $2.9350, reporting readiness to commence construction of its flagship Phoenix ISR project and issuing a capital cost update [3] - Sandisk Corporation (NASDAQ:SNDK) rose by 10.1% to $261.28 [3] - Corcept Therapeutics Incorporated (NASDAQ:CORT) increased by 9.2% to $37.98 [3] - Astera Labs, Inc. (NASDAQ:ALAB) gained 9.1% to $181.53 [3] - ASML Holding N.V. (NASDAQ:ASML) rose by 8.7% to $1,163.31 [3] - Fluence Energy, Inc. (NASDAQ:FLNC) gained 8.4% to $21.45 [3] - Vertiv Holdings Co (NYSE:VRT) rose by 7.4% to $174.08 after Barclays upgraded its rating from Equal-Weight to Overweight and raised its price target from $181 to $200 [3] - Intel Corporation (NASDAQ:INTC) increased by 7.1% to $39.51 [3]

Core Viewpoint - U.S. stock futures are showing significant upward momentum, indicating a strong start to 2026 driven by optimism around AI advancements and easing trade tensions [1][2]. Premarket Trading Activity and Futures Movements - Nasdaq 100 futures have increased over 1%, while S&P 500 futures are up approximately 0.6% to 0.75%, and Dow Jones Industrial Average futures have advanced around 0.4% to 0.5% [2]. - The positive sentiment is attributed to a rebound from the cautious sentiment at the end of 2025 and expectations of a strong earnings season [2]. Notable Stock Movements - Baidu's U.S.-listed shares surged over 10% after its AI chip unit filed to go public in Hong Kong [3]. - Tesla's shares rose by more than 2% ahead of its fourth-quarter and full-year 2025 sales data release, despite analysts projecting an approximate 8% annual sales drop for 2025 [3]. - Wayfair and RH shares increased by around 1% to 3% following President Trump's delay of tariff increases on certain furniture items [4]. - Micron Technology climbed over 3% and Nvidia gained nearly 2%, continuing their strong performance from 2025 driven by AI chip demand [4]. Current Market Indexes and Trends - Major U.S. indexes finished 2025 with significant gains: Nasdaq Composite up roughly 20%, S&P 500 up approximately 16%, and Dow Jones Industrial Average up around 13% [5]. - The current premarket rally suggests investors are looking to build on these gains as they enter 2026 [6]. Upcoming Market Events - The economic calendar for January 2nd includes the release of PMI Manufacturing Final data and the Federal Reserve's balance sheet [7]. - Attention is shifting to next week's labor market data, which will influence the Federal Reserve's monetary policy decisions [7]. - President Trump's expected announcement of a successor to Fed Chair Jerome Powell could impact market confidence and dollar stability [8]. Major Stock News and Corporate Announcements - Nio and Li Auto reported strong sales figures, leading to a rally in their American depositary receipts [13]. - Nike shares rose after CEO Elliott Hill disclosed a purchase of approximately $1 million in company shares [13]. - Corcept Therapeutics shares plunged over 50% after the FDA declined to approve its drug [13]. - Taiwan Semiconductor Manufacturing Company saw its shares rise, benefiting from positive sentiment in the semiconductor sector [13]. - Microsoft shares experienced a slight decline despite overall strong performance in AI-related stocks [13]. - Ironwood Pharmaceuticals saw a significant premarket jump after maintaining its FY 2025 financial guidance [13].

Market Overview - US equity markets are set for a strong opening, with S&P 500 futures up 0.6% and Nasdaq 100 futures up 1% indicating broad-based gains across major indices and technology companies [2][9] - The "Magnificent Seven" tech giants are experiencing positive momentum, with Nvidia (NVDA) increasing by 1.5%, Tesla (TSLA) up 1.7%, and Alphabet (GOOGL) rising by 1.2% [2][9] Company-Specific News - Ironwood Pharmaceuticals (IRWD) shares surged 18% in pre-market trading after the company provided an optimistic fiscal year 2026 outlook, projecting total revenue between $450 million and $475 million and an Adjusted EBITDA exceeding $300 million [3][9] - Baidu (BIDU) stock climbed 11% following the announcement of plans to spin off its AI chip unit, Kunlunxin, for a separate listing on the Hong Kong Stock Exchange, aimed at unlocking its independent value and attracting specialized investors [4][9] - Retail stocks such as RH (RH), Wayfair (W), and Williams-Sonoma (WSM) are trading higher, with gains of 5.2%, 2.4%, and 1.3% respectively, due to a reported decision by Trump to delay planned tariff increases on furniture until at least January 1, 2027 [5][9]