Rhythm Pharmaceuticals, Inc. $RYTM Stock Sold by Candriam S.C.A.

Key Points

• Candriam S.C.A. reduced its Rhythm Pharmaceuticals stake by 18.6% in the third quarter, selling 80,747 shares and retaining 352,278 shares valued at about $33.7 million.
• Company insiders sold 258,450 shares worth roughly $28.8 million over the last quarter. The disclosed CEO and EVP sales were made under pre-arranged Rule 10b5-1 trading plans.
• Rhythm reported quarterly revenue of $92.1 million, up 79.6% year over year and above analyst expectations; its average analyst rating was “Moderate Buy,” with a $142.17 average price target.

Candriam S.C.A. cut its holdings in shares of Rhythm Pharmaceuticals, Inc. (NASDAQ:RYTM - Free Report) by 18.6% in the third quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 352,278 shares of the company's stock after selling 80,747 shares during the period. Candriam S.C.A. owned about 0.51% of Rhythm Pharmaceuticals worth $33,665,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other hedge funds also recently added to or reduced their stakes in RYTM. Orbimed Advisors LLC raised its stake in shares of Rhythm Pharmaceuticals by 31.0% during the 1st quarter. Orbimed Advisors LLC now owns 314,100 shares of the company's stock worth $27,317,000 after buying an additional 74,300 shares during the period. Squarepoint Ops LLC lifted its position in shares of Rhythm Pharmaceuticals by 60.8% during the 2nd quarter. Squarepoint Ops LLC now owns 422,921 shares of the company's stock valued at $46,957,000 after buying an additional 159,953 shares in the last quarter. Nan Fung Group Holdings Ltd acquired a new stake in Rhythm Pharmaceuticals in the 2nd quarter valued at $5,453,794. Blue Owl Capital Holdings LP acquired a new stake in Rhythm Pharmaceuticals in the 2nd quarter valued at $6,823,000. Finally, Braidwell LP grew its stake in Rhythm Pharmaceuticals by 22.7% in the 2nd quarter. Braidwell LP now owns 381,128 shares of the company's stock valued at $42,317,000 after acquiring an additional 70,500 shares during the period.

Insider Buying and Selling at Rhythm Pharmaceuticals

In related news, EVP Yann Mazabraud sold 57,000 shares of the stock in a transaction that occurred on Wednesday, August 12th. The stock was sold at an average price of $116.15, for a total value of $6,620,550.00. Following the completion of the sale, the executive vice president owned 55,655 shares of the company's stock, valued at approximately $6,464,328.25. This trade represents a 50.60% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO David P. Meeker sold 50,000 shares of Rhythm Pharmaceuticals stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $102.67, for a total value of $5,133,500.00. Following the transaction, the chief executive officer owned 239,258 shares in the company, valued at approximately $24,564,618.86. The trade was a 17.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders sold 258,450 shares of company stock worth $28,796,497. 5.90% of the stock is owned by company insiders.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on RYTM. Wolfe Research began coverage on shares of Rhythm Pharmaceuticals in a research report on Thursday, September 17th. They set an "outperform" rating for the company. William Blair assumed coverage on shares of Rhythm Pharmaceuticals in a research report on Friday, October 16th. They issued an "outperform" rating on the stock. Leerink Partners started coverage on shares of Rhythm Pharmaceuticals in a research report on Monday, September 14th. They issued an "outperform" rating and a $133.00 target price on the stock. Weiss Ratings reissued a "sell (d-)" rating on shares of Rhythm Pharmaceuticals in a research note on Thursday, October 15th. Finally, JPMorgan Chase & Co. reduced their price target on shares of Rhythm Pharmaceuticals from $146.00 to $145.00 and set an "overweight" rating for the company in a research report on Thursday, October 15th. Eighteen research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $142.17.

Key Stories Impacting Rhythm Pharmaceuticals

Here are the key news stories impacting Rhythm Pharmaceuticals this week:

• Positive Sentiment: Takeover reports lifted shares: News of an additional potential bidder added to earlier reports of a possible AstraZeneca bid valued at roughly $10 billion. The reports are unconfirmed, but the prospect of competing interest may raise expectations for a higher offer. Rhythm Pharmaceuticals gains on report of additional bidder AstraZeneca stock climbs as $10 billion Rhythm bid report surfaces
• Positive Sentiment: Analyst support and sales outlook: Guggenheim raised its price target to $147 from $143 and maintained a Buy rating. RBC also estimated IMCIVREE could reach $2 billion in worldwide sales by 2030, reinforcing the potential for long-term growth. Guggenheim stock recommendations RBC says IMCIVREE could reach $2 billion in worldwide sales by 2030
• Positive Sentiment: Q3 performance showed strong growth: Rhythm reported revenue of $92.1 million, above analyst expectations, with revenue up 79.6% year over year. Continued IMCIVREE growth may strengthen the company’s commercial outlook. IMCIVREE growth drives Q3 update
• Negative Sentiment: Downgrade was a cautionary signal: Another report noted an analyst downgrade, which could temper sentiment, although the shares moved above their 200-day moving average. Shares break above 200-day moving average following analyst downgrade

Rhythm Pharmaceuticals Stock Performance

NASDAQ:RYTM opened at $112.28 on Monday. The company has a market cap of $7.78 billion, a P/E ratio of -38.72 and a beta of 2.17. Rhythm Pharmaceuticals, Inc. has a twelve month low of $74.50 and a twelve month high of $122.20. The company's 50-day moving average price is $96.15 and its 200-day moving average price is $97.25.

Rhythm Pharmaceuticals (NASDAQ:RYTM - Get Free Report) last announced its quarterly earnings data on Tuesday, November 3rd. The company reported ($0.61) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.71) by $0.10. The company had revenue of $92.13 million during the quarter, compared to analysts' expectations of $85.56 million. Rhythm Pharmaceuticals had a negative net margin of 69.03% and a negative return on equity of 171.16%. Rhythm Pharmaceuticals's revenue was up 79.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned ($0.82) EPS. On average, analysts expect that Rhythm Pharmaceuticals, Inc. will post -4.24 earnings per share for the current year.

About Rhythm Pharmaceuticals

Rhythm Pharmaceuticals is a biopharmaceutical company focused on developing and commercializing treatments for rare genetic diseases of obesity. The company is headquartered in Boston, Massachusetts, and its work centers on the melanocortin-4 receptor pathway, which helps regulate hunger and energy balance.

Its commercial product, IMCIVREE (setmelanotide), is approved in the United States and Europe for certain forms of genetically defined obesity, including obesity associated with Bardet-Biedl syndrome and specific gene deficiencies.

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