RYTM Stock Analysis: Rhythm Pharmaceuticals | NASDAQ

Obesity Therapeutics, MC4R Agonists, Rare Endocrine, Hypothalamic Treatments

Total Rating 16

Safety 26

Buy Signal -0.78

Biotechnology
Industry Rotation: -7.4

Market Cap: 5.91B
Avg Turnover: 66.2M

Risk 3d forecast

Volatility50.2%

VaR 5^th Pctl8.50%

VaR vs Median2.82%

Reward TTM

Sharpe Ratio-0.26

Rel. Str. IBD20.2

Rel. Str. Peer Group28.7 pctl

Character TTM

Beta0.516

Beta Downside-0.025

Hurst Exponent0.471

Choppyness47.5%

Drawdowns 3y

Max DD35.54%

CAGR/Max DD1.63

CAGR/Mean DD4.55

EPS (Earnings per Share)

Last SUE: 0.73
Qual. Beats: 0

Revenue

Rev. CAGR: 58.58%
Rev. Trend: 99.4%

Last SUE: 0.95
Qual. Beats: 2

Warnings

Interest Coverage Ratio Critical

Altman Z'' In Financial Distress Zone

Below Avwap Earnings

Below Sma 200d

Tailwinds

No distinct edge detected

Seasonality 9 years of data

Jan -3.1% 18

Feb -4.1% 18

Mar -4.0% 39

Apr -0.8% 2

May -7.0% 20

Jun +7.5% 31

Jul -2.3% 0

Aug +18.9% 33

Sep -0.1% 6

Oct -3.5% 17

Nov +6.6% 12

Dec -0.6% 0

How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.

Description: RYTM Rhythm Pharmaceuticals

Rhythm Pharmaceuticals, Inc. (NASDAQ: RYTM) is a commercial-stage biopharmaceutical company headquartered in Boston, Massachusetts, founded in 2008 and formerly known as Rhythm Metabolic, Inc. The company focuses on developing therapies for rare neuroendocrine diseases, primarily severe and rare forms of obesity driven by genetic deficiencies in the melanocortin-4 receptor (MC4R) pathway.

Its lead product, IMCIVREE (setmelanotide), is approved for several rare obesity indications, including POMC, LEPR deficiency, Bardet-Biedl and Alström syndromes, and hypothalamic obesity. The company is advancing IMCIVREE in additional Phase 3 trials for acquired and congenital hypothalamic obesity, POMC and LEPR insufficiency obesities, SRC1 deficiency obesity, and SH2B1 deficiency obesity, with Phase 2 work in Prader-Willi syndrome and MC4R deficiency.

The pipeline also includes bivamelagon, an oral small-molecule MC4R agonist in Phase 2 development, and RM-718, a next-generation MC4R peptide agonist in Phase 1 for hypothalamic obesity. As a rare disease biopharmaceutical company, Rhythm operates in a sector where therapies often qualify for orphan drug designation, which can provide extended market exclusivity and premium pricing upon regulatory approval.

Headlines to Watch Out For

IMCIVREE revenue growth drives rare disease commercial expansion
FDA approvals expand label into hypothalamic obesity indications
Bivamelagon oral MC4R agonist Phase 2 data readout ahead
Net cash burn and dilution risk from ongoing clinical pipeline investment
Competition from emerging obesity therapies pressures rare disease pricing power

Piotroski VR-10 (Strict) 1.5

Net Income: -205.3m TTM > 0 and > 6% of Revenue
FCF/TA: -0.34 > 0.02 and ΔFCF/TA -5.51 > 1.0
NWC/Revenue: 126.3% < 20% (prev 147.9%; Δ -21.67% < -1%)
CFO/TA -0.34 > 3% & CFO -149.5m > Net Income -205.3m
Net Debt/EBITDA: error (EBITDA <= 0)
Current Ratio: 3.45 > 1.5 & < 3
Outstanding Shares: last quarter (68.6m) vs 12m ago 7.71% < -2%
Gross Margin: 89.00% > 18% (prev 89.25%; Δ -0.25% > 0.5%)
Asset Turnover: 59.24% > 50% (prev 41.93%; Δ 17.31% > 0%)
Interest Coverage Ratio: -10.05 > 6 (EBIT TTM -185.8m / Interest Expense TTM 18.5m)

Altman Z'' -8.36

A: 0.69 (Total Current Assets 426.6m - Total Current Liabilities 123.6m) / Total Assets 437.3m
B: -3.33 (Retained Earnings -1.46b / Total Assets 437.3m)
C: -0.46 (EBIT TTM -185.8m / Avg Total Assets 405.0m)
D: 0.99 (Book Value of Equity 217.3m / Total Liabilities 220.0m)
Altman-Z'' = -8.36 = D

Beneish M -2.78

DSRI: 1.01 (Receivables 40.4m/26.1m, Revenue 239.9m/156.3m)
GMI: 1.00 (GM 89.25% / 89.00%)
AQI: 0.78 (AQ_t 0.02 / AQ_t-1 0.02)
SGI: 1.54 (Revenue 239.9m / 156.3m)
TATA: -0.13 (NI -205.3m - CFO -149.5m) / TA 437.3m)
Beneish M = -2.78 (Cap -4..+1) = A

What is the price of RYTM shares?

As of October 23, 2026, the stock is trading at USD 90.90 with a total of 516,393 shares traded. Over the past week, the price has changed by +3.33%, over one month by -8.43%, over three months by -12.57% and over the past year by -16.74%.

Current recommended Stop Loss: 81.90 (which is 9.9% or 2.5 ATR below the current price).

Is RYTM a buy, sell or hold?

Rhythm Pharmaceuticals has received a consensus analysts rating of 4.50. Therefore, it is recommended to buy RYTM.

StrongBuy: 11
Buy: 5
Hold: 2
Sell: 0
StrongSell: 0

What are the forecasts/targets for the RYTM price?

Analysts Target Price	143.9	58.3%

Rhythm Pharmaceuticals (RYTM) - Fundamental Data Overview as of 18 October 2026

Market Cap USD = 5.91b (5.91b USD * 1.0 USD.USD)
P/E Forward = 526.3158
P/S = 24.7292
P/B = 65.681
Revenue TTM = 239.9m USD
EBIT TTM = -185.8m USD
EBITDA TTM = -184.7m USD
Long Term Debt = 2.98m USD (estimated: total debt 3.68m - short term 703k)
Short Term Debt = 703k USD (from shortTermDebt, last quarter)
Debt = 3.68m USD (from shortLongTermDebtTotal, last quarter) (leases 3.68m already included)
Net Debt = -327.2m USD (calculated: Debt 3.68m - CCE 330.9m)
Enterprise Value = 5.58b USD (5.91b + Debt 3.68m - CCE 330.9m)
Interest Coverage Ratio = -10.05 (Ebit TTM -185.8m / Interest Expense TTM 18.5m)
EV/FCF = -37.10x (Enterprise Value 5.58b / FCF TTM -150.5m)
FCF Yield = -2.70% (FCF TTM -150.5m / Enterprise Value 5.58b)
FCF Margin = -62.72% (FCF TTM -150.5m / Revenue TTM 239.9m)
Net Margin = -85.59% (Net Income TTM -205.3m / Revenue TTM 239.9m)
Gross Margin = 89.00% ((Revenue TTM 239.9m - Cost of Revenue TTM 26.4m) / Revenue TTM)
Gross Margin QoQ = 87.47% (prev 88.09%)
Tobins Q-Ratio = 12.77 (Enterprise Value 5.58b / Total Assets 437.3m)
Interest Expense / Debt = 501.9% (Interest Expense 18.5m / Debt 3.68m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -146.8m (EBIT -185.8m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 3.45 (Total Current Assets 426.6m / Total Current Liabilities 123.6m)
Debt / Equity = 0.02 (Debt 3.68m / totalStockholderEquity, last quarter 217.3m)
Debt / EBITDA = 1.77 (negative EBITDA) (Net Debt -327.2m / EBITDA -184.7m)
Debt / FCF = 2.17 (negative FCF - burning cash) (Net Debt -327.2m / FCF TTM -150.5m)
Total Stockholder Equity = 255.2m (last 4 quarters mean from totalStockholderEquity)
RoA = -50.70% (Net Income -205.3m / Total Assets 437.3m)
RoE = -80.48% (Net Income TTM -205.3m / Total Stockholder Equity 255.2m)
RoCE = -71.98% (EBIT -185.8m / Capital Employed (Equity 255.2m + L.T.Debt 2.98m))
RoIC = -48.54% (negative operating profit) (NOPAT -146.8m / Invested Capital 302.4m)
WACC = 7.38% (E(5.91b)/V(5.91b) * Re(7.38%) + (debt cost/tax rate unavailable))
Discount Rate = 7.38% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 97.64 | Cagr: 6.02%
[DCF] Fair Price = unknown (Cash Flow -150.5m)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.73 | # QB: 0
Revenue Correlation: 99.43 | Revenue CAGR: 58.58% | SUE: 0.95 | # QB: 2
EPS current Quarter (2026-09-30): EPS=-0.74 | Chg30d=+2.68% | Revisions=+17% | Analysts=13
EPS current Year (2026-12-31): EPS=-3.04 | Chg30d=+1.82% | Revisions=+17% | GrowthEPS=+2.1% | GrowthRev=+66.1%
EPS next Year (2027-12-31): EPS=-0.63 | Chg30d=-2.64% | Revisions=+40% | GrowthEPS=+79.3% | GrowthRev=+79.3%
[Analyst] Revisions Ratio: +36% (up=6, down=2)