UPDATE: Cantor Fitzgerald Reiterates Sell Rating, Lowers PT on Ironwood Pharmaceuticals

In a report published Wednesday, Cantor Fitzgerald reiterated its Sell rating on Ironwood Pharmaceuticals

, but lowered its price target from $10.00 to $7.00. Cantor Fitzgerald noted, “Ironwood reported a loss of ($0.38) in 2Q:12 that exceeded consensus estimates of ($0.32) due to greater-than-expected R&D and G&A spending. We are lowering our price target to incorporate assumptions of even bigger spending levels and delayed profitability until Linaclotide can attain blockbuster status in 2019. Though IRWD could be volatile ahead of the Linaclotide PDUFA, we believe that the stock is overvalued and could see a sell-off after that event once the company's key catalyst plays out.” Ironwood Pharmaceuticals closed on Tuesday at $13.25.