RHYTHM PHARMACEUTICALS, INC. (RYTM) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does RHYTHM PHARMACEUTICALS, INC. Do?
Rhythm Pharmaceuticals, Inc., a commercial-stage biopharmaceutical company, focuses on the development and commercialization of therapeutics for the treatment of rare genetic diseases of obesity. The company's lead product candidate is IMCIVREE, a potent melanocortin-4 receptor for the treatment of pro-opiomelanocortin (POMC), proprotein convertase subtilisin/kexin type 1, leptin receptor (LEPR) deficiency obesity, and Bardet-Biedl and Alström syndrome. It is also developing setmelanotide, which is in Phase II clinical trials for treating POMC or LEPR heterozygous deficiency obesities, steroid receptor coactivator 1 deficiency obesity, SH2B1 deficiency obesity, MC4 receptor deficiency obesity, Smith-Magenis syndrome obesity, POMC epigenetic disorders, and other MC4R disorders. Rhythm Pharmaceuticals, Inc. has a collaborative research agreement with the Clinical Registry Investigating Bardet-Biedl Syndrome. The company was formerly known as Rhythm Metabolic, Inc. and changed its name to Rhythm Pharmaceuticals, Inc. in October 2015. Rhythm Pharmaceuticals, Inc. was founded in 2008 and is headquartered in Boston, Massachusetts. RHYTHM PHARMACEUTICALS, INC. (RYTM) is classified as a mid-cap stock in the Healthcare sector, specifically within the Pharmaceutical Products industry. The company is led by CEO David P. Meeker and employs approximately 140 people. With a market capitalization of $6.0B, RYTM is one of the notable companies in the Healthcare sector.
RHYTHM PHARMACEUTICALS, INC. (RYTM) Stock Rating — Reduce (April 2026)
As of April 2026, RHYTHM PHARMACEUTICALS, INC. receives a Reduce rating with a composite score of 36.7/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.RYTM ranks #3,368 out of 4,446 stocks in our coverage universe. Within the Healthcare sector, RHYTHM PHARMACEUTICALS, INC. ranks #513 of 838 stocks, placing it in the lower half of its Healthcare peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
RYTM Stock Price and 52-Week Range
RHYTHM PHARMACEUTICALS, INC. (RYTM) currently trades at $84.12. The stock lost $2.01 (2.3%) in the most recent trading session. The 52-week high for RYTM is $122.20, which means the stock is currently trading -31.2% from its annual peak. The 52-week low is $45.91, putting the stock 83.2% above its annual trough. Recent trading volume was 229K shares, suggesting relatively thin trading activity.
Is RYTM Overvalued or Undervalued? — Valuation Analysis
RHYTHM PHARMACEUTICALS, INC. (RYTM) carries a value factor score of 30/100 in the Blank Capital model, signaling premium valuation that prices in significant future growth. The price-to-book ratio stands at 42.55x, versus the sector average of 2.75x. The price-to-sales ratio is 35.70x, compared to 1.66x for the average Healthcare stock.
At current multiples, RHYTHM PHARMACEUTICALS, INC. trades at a premium to most Healthcare peers. This elevated valuation may be justified if the company can sustain above-average growth rates and profitability, but it also creates downside risk if earnings disappoint expectations.
RHYTHM PHARMACEUTICALS, INC. Profitability — ROE, Margins, and Quality Score
RHYTHM PHARMACEUTICALS, INC. (RYTM) earns a quality factor score of 21/100, signaling below-average profitability metrics relative to the broader market. The return on equity (ROE) is -138.5%, compared to the Healthcare sector average of -43.5%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at -40.1% versus the sector average of -33.1%.
On a margin basis, RHYTHM PHARMACEUTICALS, INC. reports gross margins of 88.8%, compared to 71.5% for the sector. The operating margin is -117.9% (sector: -66.1%). Net profit margin stands at -120.5%, versus -58.7% for the average Healthcare stock. Revenue growth is running at 76.4% on a trailing basis, compared to 10.6% for the sector. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.
RYTM Debt, Balance Sheet, and Financial Health
RHYTHM PHARMACEUTICALS, INC. has a debt-to-equity ratio of 151.0%, compared to the Healthcare sector average of 32.0%. This elevated leverage warrants close monitoring, as it increases the company's sensitivity to rising interest rates and economic downturns. The current ratio is 4.41x, indicating strong short-term liquidity. Total debt on the balance sheet is $109M. Cash and equivalents stand at $52M.
RYTM has a beta of 0.78, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for RHYTHM PHARMACEUTICALS, INC. is 46/100, reflecting average volatility within the normal range for its sector.
RHYTHM PHARMACEUTICALS, INC. Revenue and Earnings History — Quarterly Trend
In TTM 2026, RHYTHM PHARMACEUTICALS, INC. reported revenue of $166M and earnings per share (EPS) of $-3.11. Net income for the quarter was $-193M. Gross margin was 88.8%. Operating income came in at $-189M.
In FY 2025, RHYTHM PHARMACEUTICALS, INC. reported revenue of $190M and earnings per share (EPS) of $-3.11. Net income for the quarter was $-197M. Gross margin was 89.7%. Revenue grew 45.8% year-over-year compared to FY 2024. Operating income came in at $-192M.
In Q3 2025, RHYTHM PHARMACEUTICALS, INC. reported revenue of $51M and earnings per share (EPS) of $-0.82. Net income for the quarter was $-53M. Gross margin was 89.3%. Revenue grew 54.3% year-over-year compared to Q3 2024. Operating income came in at $-53M.
In Q2 2025, RHYTHM PHARMACEUTICALS, INC. reported revenue of $49M and earnings per share (EPS) of $-0.75. Net income for the quarter was $-47M. Gross margin was 88.6%. Revenue grew 66.8% year-over-year compared to Q2 2024. Operating income came in at $-45M.
Over the past 8 quarters, RHYTHM PHARMACEUTICALS, INC. has demonstrated a growth trajectory, with revenue expanding from $29M to $166M. Investors analyzing RYTM stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
RYTM Dividend Yield and Income Analysis
RHYTHM PHARMACEUTICALS, INC. (RYTM) does not currently pay a dividend. This is common among smaller companies in the Pharmaceutical Products industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Healthcare dividend stocks may want to explore other Healthcare stocks or use the stock screener to filter by dividend yield.
RYTM Momentum and Technical Analysis Profile
RHYTHM PHARMACEUTICALS, INC. (RYTM) has a momentum factor score of 51/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 22/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 64/100 reflects moderate short selling activity.
RYTM vs Competitors — Healthcare Sector Ranking and Peer Comparison
Within the Healthcare sector, RHYTHM PHARMACEUTICALS, INC. (RYTM) ranks #513 out of 838 stocks based on the Blank Capital composite score. This places RYTM in the lower half of all Healthcare stocks in our coverage universe. Key competitors and sector peers include ASTRAZENECA PLC (AZN) with a score of 61.4/100, Sol-Gel Technologies Ltd. (SLGL) with a score of 56.6/100, VIEMED HEALTHCARE, INC. (VMD) with a score of 53.4/100, Innoviva, Inc. (INVA) with a score of 52.7/100, and JOHNSON & JOHNSON (JNJ) with a score of 51.7/100.
Comparing RYTM against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full RYTM vs S&P 500 (SPY) comparison to assess how RHYTHM PHARMACEUTICALS, INC. stacks up against the broader market across all factor dimensions.
RYTM Next Earnings Date
No upcoming earnings date has been announced for RHYTHM PHARMACEUTICALS, INC. (RYTM) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy RYTM? — Investment Thesis Summary
The quantitative profile for RHYTHM PHARMACEUTICALS, INC. suggests caution. The quality score of 21/100 flags below-average profitability. The value score of 30/100 indicates premium valuation.
In summary, RHYTHM PHARMACEUTICALS, INC. (RYTM) earns a Reduce rating with a composite score of 36.7/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on RYTM stock.
Related Resources for RYTM Investors
Explore more research and tools: RYTM vs S&P 500 comparison, top Healthcare stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare RYTM head-to-head with peers: RYTM vs AZN, RYTM vs SLGL, RYTM vs VMD.