Rhythm Pharmaceuticals (NASDAQ:RYTM) Upgraded by Wall Street Zen to "Hold" Rating

Key Points

• Wall Street Zen upgraded Rhythm Pharmaceuticals from “sell” to “hold”, adding to a mixed but generally positive analyst backdrop. The stock now carries a Moderate Buy consensus rating with an average price target of $131.81.
• The company reported better-than-expected first-quarter results, posting EPS of ($0.83) versus estimates of ($0.86) and revenue of $60.11 million versus expectations of $55.78 million. Revenue jumped 83.8% year over year, though the company remains unprofitable.
• Rhythm Pharmaceuticals shares were down 2.1% in the session cited, and insider selling has been notable, including sales by the CFO and CAO. Insiders sold 20,639 shares worth about $2.0 million over the last 90 days.

Rhythm Pharmaceuticals (NASDAQ:RYTM - Get Free Report) was upgraded by equities research analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a report issued on Saturday.

Other research analysts have also recently issued research reports about the stock. Zacks Research raised shares of Rhythm Pharmaceuticals from a "strong sell" rating to a "hold" rating in a research report on Tuesday, February 17th. Guggenheim boosted their price target on shares of Rhythm Pharmaceuticals from $140.00 to $143.00 and gave the company a "buy" rating in a research report on Friday, February 27th. Needham & Company LLC lowered their price target on shares of Rhythm Pharmaceuticals from $139.00 to $130.00 and set a "buy" rating on the stock in a research report on Tuesday, March 17th. Canaccord Genuity Group boosted their price target on shares of Rhythm Pharmaceuticals from $140.00 to $143.00 and gave the company a "buy" rating in a research report on Thursday. Finally, Telsey Advisory Group set a $143.00 price target on shares of Rhythm Pharmaceuticals in a research report on Thursday, March 12th. One research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, Rhythm Pharmaceuticals presently has an average rating of "Moderate Buy" and a consensus target price of $131.81.

Rhythm Pharmaceuticals Stock Down 2.1%

Shares of RYTM opened at $94.17 on Friday. Rhythm Pharmaceuticals has a 52-week low of $55.31 and a 52-week high of $122.20. The firm's fifty day moving average is $87.93 and its two-hundred day moving average is $99.24. The stock has a market cap of $6.45 billion, a PE ratio of -30.09 and a beta of 1.94.

Rhythm Pharmaceuticals (NASDAQ:RYTM - Get Free Report) last announced its earnings results on Tuesday, May 5th. The company reported ($0.83) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.86) by $0.03. The company had revenue of $60.11 million for the quarter, compared to analysts' expectations of $55.78 million. Rhythm Pharmaceuticals had a negative net margin of 93.33% and a negative return on equity of 203.25%. The firm's quarterly revenue was up 83.8% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.81) EPS. As a group, research analysts anticipate that Rhythm Pharmaceuticals will post -3.04 earnings per share for the current year.

Insider Transactions at Rhythm Pharmaceuticals

In other Rhythm Pharmaceuticals news, CFO Hunter C. Smith sold 4,385 shares of the company's stock in a transaction dated Thursday, February 19th. The shares were sold at an average price of $101.26, for a total value of $444,025.10. Following the transaction, the chief financial officer owned 110,512 shares of the company's stock, valued at $11,190,445.12. This represents a 3.82% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CAO Christopher Paul German sold 5,614 shares of the business's stock in a transaction dated Wednesday, March 4th. The stock was sold at an average price of $89.56, for a total transaction of $502,789.84. Following the sale, the chief accounting officer owned 160 shares in the company, valued at $14,329.60. This trade represents a 97.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 20,639 shares of company stock worth $2,017,217 in the last ninety days. 6.10% of the stock is currently owned by corporate insiders.

Institutional Trading of Rhythm Pharmaceuticals

Institutional investors and hedge funds have recently bought and sold shares of the business. EverSource Wealth Advisors LLC increased its stake in Rhythm Pharmaceuticals by 303.0% during the fourth quarter. EverSource Wealth Advisors LLC now owns 266 shares of the company's stock worth $28,000 after purchasing an additional 200 shares during the period. Smartleaf Asset Management LLC increased its stake in Rhythm Pharmaceuticals by 97.2% during the third quarter. Smartleaf Asset Management LLC now owns 286 shares of the company's stock worth $29,000 after purchasing an additional 141 shares during the period. SBI Securities Co. Ltd. increased its stake in Rhythm Pharmaceuticals by 73.2% during the fourth quarter. SBI Securities Co. Ltd. now owns 343 shares of the company's stock worth $37,000 after purchasing an additional 145 shares during the period. Farther Finance Advisors LLC increased its stake in Rhythm Pharmaceuticals by 1,110.3% during the third quarter. Farther Finance Advisors LLC now owns 351 shares of the company's stock worth $35,000 after purchasing an additional 322 shares during the period. Finally, GAMMA Investing LLC increased its stake in Rhythm Pharmaceuticals by 48.6% during the fourth quarter. GAMMA Investing LLC now owns 361 shares of the company's stock worth $39,000 after purchasing an additional 118 shares during the period.

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.

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