(RYTM) Rhythm Pharmaceuticals - Overview
Sector: Healthcare | Industry: Biotechnology | Exchange: NASDAQ (USA) | Market Cap: 6.138m USD | Total Return: 41.7% in 12m
Avg Turnover: 56.0M
Qual. Beats: 0
Rev. Trend: 98.0%
Qual. Beats: 1
Warnings
Interest Coverage Ratio -9.3 is critical
Altman Z'' -13.14 < 1.0 - financial distress zone
Below Avwap Earnings
Tailwinds
No distinct edge detected
Rhythm Pharmaceuticals is a commercial-stage biopharmaceutical firm specializing in the development of therapies for rare neuroendocrine diseases. The company focuses on the melanocortin-4 receptor (MC4R) pathway, which regulates hunger and energy expenditure. Its primary asset, IMCIVREE (setmelanotide), is currently marketed for specific genetic obesity conditions and is undergoing Phase 3 clinical trials for expanded indications including hypothalamic obesity.
The biotechnology sector often requires significant capital expenditure for long-term clinical trials before reaching commercial viability. Rhythm Pharmaceuticals utilizes a specialized business model targeting orphan indications, which may grant the company regulatory advantages such as extended market exclusivity and expedited review processes. In addition to its lead peptide therapy, the company is advancing an oral small molecule agonist, bivamelagon, to diversify its delivery methods for MC4R pathway disorders.
Consulting ValueRay can provide deeper insights into the companys valuation metrics and clinical pipeline progress.
- IMCIVREE adoption rates in Bardet-Biedl syndrome drive immediate quarterly revenue growth
- Phase 3 clinical trial data for hypothalamic obesity impacts long-term valuation
- Expansion of global reimbursement coverage dictates international sales scaling capacity
- Development of oral MC4R agonists determines competitive moat against injectable therapies
- Continued heavy R&D spending necessitates future capital raises or strategic partnerships
| Net Income: -202.7m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.28 > 0.02 and ΔFCF/TA 13.66 > 1.0 |
| NWC/Revenue: 150.5% < 20% (prev 188.1%; Δ -37.59% < -1%) |
| CFO/TA -0.27 > 3% & CFO -119.5m > Net Income -202.7m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 4.17 > 1.5 & < 3 |
| Outstanding Shares: last quarter (68.0m) vs 12m ago 7.79% < -2% |
| Gross Margin: 89.41% > 18% (prev 0.90%; Δ 8.85k% > 0.5%) |
| Asset Turnover: 52.39% > 50% (prev 35.39%; Δ 17.00% > 0%) |
| Interest Coverage Ratio: -9.32 > 6 (EBITDA TTM -182.9m / Interest Expense TTM 19.8m) |
| A: 0.74 (Total Current Assets 430.1m - Total Current Liabilities 103.2m) / Total Assets 442.3m |
| B: -3.18 (Retained Earnings -1.41b / Total Assets 442.3m) |
| C: -0.44 (EBIT TTM -184.1m / Avg Total Assets 414.5m) |
| D: -4.41 (Book Value of Equity -1.41b / Total Liabilities 319.4m) |
| Altman-Z'' = -13.14 = D |
| DSRI: 1.21 (Receivables 34.2m/17.8m, Revenue 217.2m/136.9m) |
| GMI: 1.00 (GM 89.41% / 89.62%) |
| AQI: 0.53 (AQ_t 0.02 / AQ_t-1 0.04) |
| SGI: 1.59 (Revenue 217.2m / 136.9m) |
| TATA: -0.19 (NI -202.7m - CFO -119.5m) / TA 442.3m) |
| Beneish M = -2.90 (Cap -4..+1) = A |
As of May 24, 2026, the stock is trading at USD 90.19 with a total of 426,942 shares traded.
Over the past week, the price has changed by -2.96%,
over one month by +3.13%,
over three months by -8.83% and
over the past year by +41.65%.
Rhythm Pharmaceuticals has received a consensus analysts rating of 4.67. Therefore, it is recommended to buy RYTM.
- StrongBuy: 8
- Buy: 4
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 138.2 | 53.2% |
P/B = 50.2567
Revenue TTM = 217.2m USD
EBIT TTM = -184.1m USD
EBITDA TTM = -182.9m USD
Long Term Debt = 216.2m USD (estimated: total debt 227.0m - short term 10.8m)
Short Term Debt = 10.8m USD (from shortTermDebt, last quarter)
Debt = 230.9m USD (from shortLongTermDebtTotal, last quarter) + Leases 3.84m
Net Debt = -109.8m USD (calculated: Debt 230.9m - CCE 340.6m)
Enterprise Value = 6.03b USD (6.14b + Debt 230.9m - CCE 340.6m)
Interest Coverage Ratio = -9.32 (Ebit TTM -184.1m / Interest Expense TTM 19.8m)
EV/FCF = -48.08x (Enterprise Value 6.03b / FCF TTM -125.4m)
FCF Yield = -2.08% (FCF TTM -125.4m / Enterprise Value 6.03b)
FCF Margin = -57.73% (FCF TTM -125.4m / Revenue TTM 217.2m)
Net Margin = -93.33% (Net Income TTM -202.7m / Revenue TTM 217.2m)
Gross Margin = 89.41% ((Revenue TTM 217.2m - Cost of Revenue TTM 23.0m) / Revenue TTM)
Gross Margin QoQ = 88.09% (prev 91.61%)
Tobins Q-Ratio = 13.63 (Enterprise Value 6.03b / Total Assets 442.3m)
Interest Expense / Debt = 8.56% (Interest Expense 19.8m / Debt 230.9m)
Taxrate = 21.0% (US default 21%)
NOPAT = -145.4m (EBIT -184.1m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 3.72 (Total Current Assets 430.1m / Total Current Liabilities 115.5m)
Debt / Equity = 1.88 (Debt 230.9m / totalStockholderEquity, last quarter 122.9m)
Debt / EBITDA = 0.60 (negative EBITDA) (Net Debt -109.8m / EBITDA -182.9m)
Debt / FCF = 0.88 (negative FCF - burning cash) (Net Debt -109.8m / FCF TTM -125.4m)
Total Stockholder Equity = 99.7m (last 4 quarters mean from totalStockholderEquity)
RoA = -48.90% (Net Income -202.7m / Total Assets 442.3m)
RoE = -13.45% (Net Income TTM -202.7m / Total Stockholder Equity 1.51b)
RoCE = -10.68% (EBIT -184.1m / Capital Employed (Equity 1.51b + L.T.Debt 216.2m))
RoIC = -46.01% (negative operating profit) (NOPAT -145.4m / Invested Capital 316.0m)
WACC = 8.49% (E(6.14b)/V(6.37b) * Re(8.55%) + D(230.9m)/V(6.37b) * Rd(8.56%) * (1-Tc(0.21)))
Discount Rate = 8.55% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 100.00 | Cagr: 6.33%
[DCF] Fair Price = unknown (Cash Flow -125.4m)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -0.02 | # QB: 0
Revenue Correlation: 97.96 | Revenue CAGR: 67.92% | SUE: 1.12 | # QB: 1
EPS current Quarter (2026-06-30): EPS=-0.84 | Chg30d=-3.05% | Revisions=-14% | Analysts=11
EPS next Quarter (2026-09-30): EPS=-0.83 | Chg30d=-4.44% | Revisions=-14% | Analysts=11
EPS current Year (2026-12-31): EPS=-3.29 | Chg30d=-4.24% | Revisions=-20% | GrowthEPS=-5.8% | GrowthRev=+57.1%
EPS next Year (2027-12-31): EPS=-1.14 | Chg30d=-206.06% | Revisions=-17% | GrowthEPS=+65.4% | GrowthRev=+81.5%
[Analyst] Revisions Ratio: -20%