Rhythm Pharmaceuticals (NASDAQ:RYTM) Announces Earnings Results, Misses Expectations By $0.03 EPS

Rhythm Pharmaceuticals (NASDAQ:RYTM) posted its quarterly earnings results on Wednesday. The company reported ($0.72) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.69) by ($0.03), Zacks reports. The firm had revenue of $41.83 million for the quarter, compared to analysts’ expectations of $38.48 million. Rhythm Pharmaceuticals had a negative net margin of 230.07% and a negative return on equity of 367.36%.

Rhythm Pharmaceuticals Stock Performance

Rhythm Pharmaceuticals stock traded up $0.03 on Friday, reaching $53.03. The company’s stock had a trading volume of 240,280 shares, compared to its average volume of 488,516. Rhythm Pharmaceuticals has a twelve month low of $35.17 and a twelve month high of $68.58. The business’s fifty day moving average price is $56.93 and its 200 day moving average price is $54.20. The company has a market cap of $3.26 billion, a price-to-earnings ratio of -12.24 and a beta of 2.14.

Insider Activity

In related news, insider Joseph Shulman sold 1,281 shares of Rhythm Pharmaceuticals stock in a transaction on Tuesday, February 4th. The stock was sold at an average price of $59.43, for a total transaction of $76,129.83. Following the completion of the sale, the insider now directly owns 2,657 shares of the company’s stock, valued at $157,905.51. The trade was a 32.53 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Hunter C. Smith sold 1,678 shares of the company’s stock in a transaction dated Tuesday, February 4th. The shares were sold at an average price of $59.43, for a total value of $99,723.54. Following the completion of the sale, the chief financial officer now directly owns 101,186 shares of the company’s stock, valued at approximately $6,013,483.98. This trade represents a 1.63 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 32,787 shares of company stock valued at $1,901,443 over the last three months. 5.60% of the stock is owned by insiders.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on RYTM. Needham & Company LLC reaffirmed a “buy” rating and issued a $64.00 price objective on shares of Rhythm Pharmaceuticals in a research report on Thursday. Oppenheimer initiated coverage on Rhythm Pharmaceuticals in a research report on Friday, December 20th. They issued an “outperform” rating and a $76.00 target price for the company. Canaccord Genuity Group increased their price objective on shares of Rhythm Pharmaceuticals from $80.00 to $81.00 and gave the stock a “buy” rating in a research note on Thursday. TD Cowen boosted their price target on shares of Rhythm Pharmaceuticals from $55.00 to $65.00 and gave the company a “buy” rating in a report on Wednesday, November 6th. Finally, The Goldman Sachs Group raised their target price on Rhythm Pharmaceuticals from $59.00 to $66.00 and gave the company a “buy” rating in a research report on Thursday, December 5th. One investment analyst has rated the stock with a hold rating and ten have given a buy rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $68.18.

About Rhythm Pharmaceuticals

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.