Alkeon Capital Management LLC Decreases Position in Rhythm Pharmaceuticals, Inc. $RYTM

Key Points

• Alkeon Capital Management LLC reduced its stake in Rhythm Pharmaceuticals by 30%, selling 350,000 shares, and now owns about 1.29% of the company valued at $43.3 million.
• Several research analysts have issued buy ratings for Rhythm Pharmaceuticals with target prices ranging from $88.00 to $135.00, suggesting strong investor confidence in the stock.
• Rhythm Pharmaceuticals reported a loss of $0.75 per share for the last quarter, missing estimates, but saw a 66.8% increase in revenue year-over-year, totaling $48.5 million.

Alkeon Capital Management LLC trimmed its holdings in shares of Rhythm Pharmaceuticals, Inc. (NASDAQ:RYTM - Free Report) by 30.0% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 817,700 shares of the company's stock after selling 350,000 shares during the quarter. Alkeon Capital Management LLC owned 1.29% of Rhythm Pharmaceuticals worth $43,314,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently bought and sold shares of RYTM. Westfield Capital Management Co. LP purchased a new position in Rhythm Pharmaceuticals during the 1st quarter valued at about $71,038,000. Janus Henderson Group PLC boosted its holdings in Rhythm Pharmaceuticals by 103.9% during the 4th quarter. Janus Henderson Group PLC now owns 1,219,554 shares of the company's stock valued at $68,309,000 after acquiring an additional 621,432 shares during the period. Price T Rowe Associates Inc. MD boosted its holdings in Rhythm Pharmaceuticals by 75.0% during the 1st quarter. Price T Rowe Associates Inc. MD now owns 1,199,053 shares of the company's stock valued at $63,515,000 after acquiring an additional 513,901 shares during the period. Siren L.L.C. purchased a new position in shares of Rhythm Pharmaceuticals in the 1st quarter valued at about $14,701,000. Finally, Comerica Bank boosted its stake in shares of Rhythm Pharmaceuticals by 1,330.2% in the 1st quarter. Comerica Bank now owns 244,754 shares of the company's stock valued at $12,965,000 after buying an additional 227,641 shares during the period.

Rhythm Pharmaceuticals Stock Down 2.3%

RYTM traded down $2.45 during trading on Friday, hitting $102.12. 533,575 shares of the stock were exchanged, compared to its average volume of 544,176. The firm has a market capitalization of $6.78 billion, a P/E ratio of -33.93 and a beta of 2.23. Rhythm Pharmaceuticals, Inc. has a 1-year low of $45.90 and a 1-year high of $106.52. The stock has a fifty day moving average price of $90.03 and a two-hundred day moving average price of $69.50.

Rhythm Pharmaceuticals (NASDAQ:RYTM - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The company reported ($0.75) EPS for the quarter, missing the consensus estimate of ($0.66) by ($0.09). The firm had revenue of $48.50 million for the quarter, compared to analyst estimates of $43.72 million. Rhythm Pharmaceuticals had a negative return on equity of 1,831.43% and a negative net margin of 117.13%.The company's quarterly revenue was up 66.8% on a year-over-year basis. During the same period last year, the firm earned ($0.55) EPS. Analysts predict that Rhythm Pharmaceuticals, Inc. will post -4.32 EPS for the current year.

Insider Buying and Selling

In other news, CAO Christopher Paul German sold 3,817 shares of the business's stock in a transaction that occurred on Wednesday, July 9th. The stock was sold at an average price of $80.75, for a total value of $308,222.75. Following the transaction, the chief accounting officer owned 922 shares of the company's stock, valued at approximately $74,451.50. The trade was a 80.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Pamela J. Cramer sold 15,572 shares of the business's stock in a transaction that occurred on Wednesday, July 9th. The shares were sold at an average price of $77.13, for a total value of $1,201,068.36. Following the completion of the transaction, the insider directly owned 19,209 shares in the company, valued at approximately $1,481,590.17. The trade was a 44.77% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 112,146 shares of company stock worth $9,499,093. 6.10% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on RYTM. Wells Fargo & Company lifted their price objective on Rhythm Pharmaceuticals from $91.00 to $129.00 and gave the company an "overweight" rating in a research note on Thursday, July 10th. Needham & Company LLC reiterated a "buy" rating and issued a $95.00 price objective (up previously from $72.00) on shares of Rhythm Pharmaceuticals in a research note on Wednesday, July 9th. Canaccord Genuity Group boosted their target price on Rhythm Pharmaceuticals from $92.00 to $105.00 and gave the stock a "buy" rating in a research note on Friday, July 18th. The Goldman Sachs Group assumed coverage on Rhythm Pharmaceuticals in a research note on Thursday, July 10th. They set a "buy" rating and a $97.00 target price for the company. Finally, Morgan Stanley restated an "overweight" rating and set a $109.00 target price (up previously from $100.00) on shares of Rhythm Pharmaceuticals in a research note on Tuesday, August 5th. One research analyst has rated the stock with a Strong Buy rating and fourteen have given a Buy rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Buy" and an average price target of $101.57.

Rhythm Pharmaceuticals Profile

Rhythm Pharmaceuticals, Inc, a commercial-stage biopharmaceutical company, focuses on the rare neuroendocrine diseases. The company's lead product candidate is IMCIVREE (setmelanotide), a rare 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.