Rhythm Pharmaceuticals (NASDAQ:RYTM) Releases Earnings Results, Beats Expectations By $0.08 EPS

Rhythm Pharmaceuticals (NASDAQ:RYTM) issued its quarterly earnings data on Tuesday. The company reported ($0.73) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.81) by $0.08, Zacks reports. Rhythm Pharmaceuticals had a negative net margin of 93.33% and a negative return on equity of 203.25%. Rhythm Pharmaceuticals’s revenue was up 46.9% compared to the same quarter last year. During the same quarter in the prior year, the business earned ($0.75) earnings per share.

Rhythm Pharmaceuticals Trading Up 3.6%

Shares of Rhythm Pharmaceuticals stock opened at $102.78 on Tuesday. The company has a market cap of $7.04 billion, a P/E ratio of -32.84 and a beta of 1.92. Rhythm Pharmaceuticals has a 1-year low of $74.50 and a 1-year high of $122.20. The business has a 50-day moving average price of $100.87 and a two-hundred day moving average price of $95.87.

Wall Street Analyst Weigh In

RYTM has been the topic of several recent research reports. Royal Bank Of Canada lifted their price target on Rhythm Pharmaceuticals from $137.00 to $141.00 and gave the company an “outperform” rating in a research note on Tuesday, July 7th. Wall Street Zen upgraded Rhythm Pharmaceuticals from a “sell” rating to a “hold” rating in a report on Saturday, May 9th. Canaccord Genuity Group upped their price target on Rhythm Pharmaceuticals from $143.00 to $151.00 and gave the stock a “buy” rating in a research report on Tuesday, June 16th. TD Cowen reissued a “buy” rating on shares of Rhythm Pharmaceuticals in a research report on Wednesday, June 17th. Finally, JPMorgan Chase & Co. started coverage on Rhythm Pharmaceuticals in a report on Monday, July 27th. They set an “overweight” rating and a $145.00 target price on the stock. Fifteen analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $138.73.

Insider Buying and Selling

In other Rhythm Pharmaceuticals news, Director Lynn A. Tetrault sold 37,000 shares of Rhythm Pharmaceuticals stock in a transaction on Monday, June 22nd. The shares were sold at an average price of $100.32, for a total value of $3,711,840.00. Following the completion of the sale, the director directly owned 7,000 shares of the company’s stock, valued at approximately $702,240. The trade was a 84.09% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 5.90% of the company’s stock.

Institutional Trading of Rhythm Pharmaceuticals

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in RYTM. Invesco Ltd. raised its position in Rhythm Pharmaceuticals by 102.8% in the 4th quarter. Invesco Ltd. now owns 291,150 shares of the company’s stock valued at $31,165,000 after buying an additional 147,595 shares during the last quarter. Empowered Funds LLC grew its holdings in Rhythm Pharmaceuticals by 94.1% during the fourth quarter. Empowered Funds LLC now owns 4,164 shares of the company’s stock valued at $446,000 after purchasing an additional 2,019 shares during the period. XTX Topco Ltd bought a new stake in shares of Rhythm Pharmaceuticals in the fourth quarter valued at approximately $1,117,000. Wellington Management Group LLP boosted its position in shares of Rhythm Pharmaceuticals by 922.0% in the fourth quarter. Wellington Management Group LLP now owns 250,156 shares of the company’s stock valued at $26,777,000 after acquiring an additional 225,679 shares during the period. Finally, SummitTX Capital L.P. increased its stake in Rhythm Pharmaceuticals by 580.2% in the 4th quarter. SummitTX Capital L.P. now owns 80,729 shares of the company’s stock worth $8,641,000 after acquiring an additional 68,860 shares during the last quarter.

About Rhythm Pharmaceuticals

Rhythm Pharmaceuticals, Inc is a clinical‐stage biotechnology company dedicated to developing targeted therapies for rare genetic diseases of obesity and metabolic dysfunction. The company’s research focuses on the melanocortin‐4 receptor (MC4R) pathway, which plays a central role in regulating appetite, energy expenditure and body weight. Using proprietary peptide technology, Rhythm aims to provide precision treatments to patients with specific genetic variants that disrupt normal weight regulation.

The company’s lead investigational product, setmelanotide, is a selective MC4R agonist designed to restore signaling in patients with deficiencies in genes such as POMC, LEPR and PCSK1.