HC Wainwright Cuts Earnings Estimates for Disc Medicine

Key Points

• HC Wainwright slightly trimmed near‑term estimates — cutting Q3‑2026 EPS to ($1.70) (from $1.69) and FY2026 to ($6.72) — but raised longer‑term forecasts, including FY2029 to $1.06, reflecting mixed near‑term weakness and improved long‑term expectations.
• Multiple brokers lowered price targets (e.g., BMO $120→$100, Stifel $125→$110, Wedbush $110→$88) although the stock retains a consensus "Moderate Buy" rating with a consensus target price of $104.80.
• Investor risks are rising as two law firms opened securities investigations into the company, and insiders have sold about 59,410 shares (~$3.84M) in the past 90 days, creating regulatory and insider‑selling pressure.

Disc Medicine, Inc. (NASDAQ:IRON - Free Report) - Equities researchers at HC Wainwright decreased their Q3 2026 earnings per share (EPS) estimates for shares of Disc Medicine in a research note issued to investors on Wednesday, May 6th. HC Wainwright analyst D. Tsao now anticipates that the company will earn ($1.70) per share for the quarter, down from their prior forecast of ($1.69). The consensus estimate for Disc Medicine's current full-year earnings is ($6.68) per share. HC Wainwright also issued estimates for Disc Medicine's Q4 2026 earnings at ($1.75) EPS, FY2026 earnings at ($6.72) EPS, FY2027 earnings at ($6.13) EPS, FY2028 earnings at ($4.64) EPS and FY2029 earnings at $1.06 EPS.

A number of other analysts have also recently commented on IRON. BMO Capital Markets lowered their price target on Disc Medicine from $120.00 to $100.00 and set an "outperform" rating for the company in a research note on Tuesday, February 17th. Stifel Nicolaus decreased their price objective on shares of Disc Medicine from $125.00 to $110.00 and set a "buy" rating for the company in a report on Tuesday, February 17th. Wells Fargo & Company upped their target price on shares of Disc Medicine from $78.00 to $79.00 and gave the company an "overweight" rating in a research note on Monday, March 2nd. Wall Street Zen upgraded shares of Disc Medicine from a "strong sell" rating to a "sell" rating in a report on Saturday, April 25th. Finally, Wedbush decreased their price target on shares of Disc Medicine from $110.00 to $88.00 and set an "outperform" rating for the company in a report on Tuesday, February 17th. Ten equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $104.80.

Disc Medicine Price Performance

Shares of IRON opened at $67.53 on Friday. The stock has a market cap of $2.58 billion, a P/E ratio of -10.20 and a beta of 0.93. Disc Medicine has a 1 year low of $40.00 and a 1 year high of $99.50. The stock's 50-day moving average price is $65.03 and its two-hundred day moving average price is $75.93. The company has a current ratio of 24.00, a quick ratio of 21.94 and a debt-to-equity ratio of 0.04.

Disc Medicine (NASDAQ:IRON - Get Free Report) last announced its quarterly earnings data on Tuesday, May 5th. The company reported ($1.65) EPS for the quarter, missing analysts' consensus estimates of ($1.62) by ($0.03).

Insider Transactions at Disc Medicine

In other news, insider William Jacob Savage sold 7,378 shares of the business's stock in a transaction dated Monday, March 2nd. The stock was sold at an average price of $65.88, for a total value of $486,062.64. Following the sale, the insider directly owned 85,211 shares in the company, valued at $5,613,700.68. The trade was a 7.97% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, COO Jonathan Yen-Wen Yu sold 3,231 shares of the company's stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $62.86, for a total value of $203,100.66. Following the transaction, the chief operating officer directly owned 54,324 shares of the company's stock, valued at $3,414,806.64. This represents a 5.61% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 59,410 shares of company stock worth $3,840,013. Company insiders own 3.64% of the company's stock.

Hedge Funds Weigh In On Disc Medicine

A number of large investors have recently bought and sold shares of the company. Arizona State Retirement System raised its holdings in shares of Disc Medicine by 1.8% in the third quarter. Arizona State Retirement System now owns 6,654 shares of the company's stock valued at $440,000 after purchasing an additional 120 shares during the last quarter. China Universal Asset Management Co. Ltd. boosted its holdings in Disc Medicine by 2.0% during the third quarter. China Universal Asset Management Co. Ltd. now owns 7,094 shares of the company's stock worth $469,000 after purchasing an additional 138 shares during the last quarter. Police & Firemen s Retirement System of New Jersey grew its position in Disc Medicine by 3.3% in the fourth quarter. Police & Firemen s Retirement System of New Jersey now owns 6,716 shares of the company's stock valued at $533,000 after purchasing an additional 215 shares in the last quarter. AlphaCentric Advisors LLC increased its stake in Disc Medicine by 5.8% in the 1st quarter. AlphaCentric Advisors LLC now owns 3,972 shares of the company's stock valued at $254,000 after buying an additional 216 shares during the last quarter. Finally, Avanza Fonder AB increased its stake in Disc Medicine by 14.1% in the 4th quarter. Avanza Fonder AB now owns 1,903 shares of the company's stock valued at $151,000 after buying an additional 235 shares during the last quarter. Institutional investors and hedge funds own 83.70% of the company's stock.

Key Stories Impacting Disc Medicine

Here are the key news stories impacting Disc Medicine this week:

• Positive Sentiment: HC Wainwright raised long‑term profitability forecasts — notably lifting FY2029 EPS to $1.06 (from $0.66) and raising FY2030 to $7.40 (from $7.12), signaling improved long‑term model assumptions that could support upside if programs succeed. MarketBeat HC Wainwright note
• Positive Sentiment: HC Wainwright also nudged several multi‑year estimates higher — FY2027 moved to ($6.13) from ($6.64) and FY2028 to ($4.64) from ($5.10), plus a small Q4‑2026 EPS lift — incremental analyst confidence in recovery scenarios for later years. MarketBeat HC Wainwright note
• Neutral Sentiment: HC Wainwright made a very small downward tweak to Q3‑2026 (to ($1.70) from ($1.69)) — negligible in isolation but part of mixed near‑term guidance revisions. MarketBeat HC Wainwright note
• Negative Sentiment: HC Wainwright lowered FY2026 slightly (to ($6.72) from ($6.69)), a modest near‑term downgrade that, combined with other negative developments, can weigh on sentiment for this fiscal year. MarketBeat HC Wainwright note
• Negative Sentiment: Two law firms (Rosen Law Firm and Pomerantz LLP) publicly announced investigations into potential securities claims related to Disc Medicine, increasing legal risk and potential liability concerns for shareholders. Legal probes typically pressure biotech stocks due to litigation uncertainty and potential costs. Rosen Law Firm release Pomerantz release
• Negative Sentiment: Press and analysis are focusing on valuation after an FDA Complete Response Letter and the new legal probes; a Yahoo Finance piece examines valuation and regulatory/legal overhangs, reinforcing downside risk until regulatory clarity and litigation risk diminish. Yahoo Finance: Valuation after legal probes and FDA CRL

About Disc Medicine

Disc Medicine, Inc NASDAQ: IRON is a clinical-stage biotechnology company focused on discovering and developing precision medicines that restore normal cellular function in severe genetic and acquired diseases. The company employs a chemistry-driven approach to identify small molecules that selectively modulate RNA-binding proteins or splicing regulatory pathways. By leveraging proprietary screening and medicinal chemistry platforms, Disc Medicine aims to address diseases with high unmet medical needs and limited treatment options.

The company's pipeline is anchored by lead programs targeting neuromuscular and hematological disorders.

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