UPDATE: Wedbush Downgrades Ironwood Pharmaceuticals; Lowers PT

According to a research report published earlier today, Wedbush has downgraded Ironwood Pharmaceuticals IRWD from Outperform to Underperform, and has lowered its PT from $20 to $8. In the report, Wedbush explained, “Our 12 month price target represents the net-present value (25% discount rate) of IRWD's change in cash from 2012 to 2015 and 15x 2016 fully-taxed income – a year we are expecting $1 billion in US sales) using our projected 150 million fully-diluted share count (125 million current and 25 million additional shares). We do not believe owning IRWD's shares going into the FDA approval is going to be a good trade as based upon our outlook, we expect significant selling pressure in the stock with or without a positive FDA outcome.” Ironwood Pharmaceuticals is currently trading at $13.06.