Rhythm Pharmaceuticals
RYTM on Nasdaq. Rhythm Pharmaceuticals sells drugs to patients with rare diseases that cause hunger and obesity. Market value $6.4bn.
Price checks use the past 12 months to June 2026. Some use the latest annual report instead, as marked. Quality checks use five annual reports, the latest for the year to December 2025.
Should I look at this?
Not a fit for our list right now
Why it could be worth it
Nothing stands out yet.
See Health care stocks that passed both tests
This is not advice. Check the numbers below.
For every $100 of what the whole company costs, it produced $-1.87 of spare cash last year. A savings account pays about $4.
The filings do not give us enough to work this out.
Each dollar kept in the business earns -79 cents a year. Above 10 is good.
Quality score: 30 of 100. Price score: 0 of 100. Our list needs 70 on quality and 60 on price.
$90.77 a share, 22% above its 1-year low
Over the past year the price has ranged from $74.50 to $122.20.
Pays no dividend
Prices from Tuesday’s close (6 October).
Five years of cash, in billions
| Revenue | |||||
| Revenue | $3m | $24m | $77m | $130m | $190m |
| Operating margin | |||||
| Operating margin | -5391.9% | -757.9% | -238.1% | -204.0% | -101.2% |
| Debt to equity | |||||
| Debt to equity | n/a | n/a | 0.63 | 5.05 | 0.78 |
| Shares outstanding | |||||
| Shares outstanding | 0.06bn | 0.06bn | 0.06bn | 0.07bn | 0.07bn |
Health checks
- Free cash flow positive0 of 5 years
- Accounting checksSkipped: company is not yet profitable
- Debt0.78× equity
- Revenue growth, five yearsUnknown
- Buying back its own sharesNo, 22% more shares since 2021
The quarter to June 2026
How the business did, compared with the same quarter a year earlier.
- Sales: $71 million last quarter, up 47% on a year ago.
- A loss of $49 million, compared with a loss of $47 million a year ago.
- It loses 84 cents on each $1 of sales, compared with 114 cents a year earlier.
- 8% more shares than a year ago. Each share owns a bit less of the company.
- Debt is $40 million more than cash. A year ago it had $26 million more cash than debt.
- Sales grew on a year ago in each of the last 4 quarters.
| Quarter to | Amount |
|---|---|
| September 2024 | $33m |
| December 2024 | $42m |
| March 2025 | $33m |
| June 2025 | $49m |
| September 2025 | $51m |
| December 2025 | $57m |
| March 2026 | $60m |
| June 2026 | $71m |
| Quarter to | Amount |
|---|---|
| September 2024 | -$44m |
| December 2024 | -$43m |
| March 2025 | -$49m |
| June 2025 | -$47m |
| September 2025 | -$53m |
| December 2025 | -$48m |
| March 2026 | -$56m |
| June 2026 | -$49m |
From the company's quarterly reports to the SEC.
Dates
- Next results (estimated)
- n/a
- Last annual report (10-K)
- 26 February 2026
- Next quarterly (estimated, 10-Q)
- 3 November 2026
Who owns it
1 long-term investor we follow owns it, unchanged from 1 last quarter. 303 funds in all.
| Fund | Value | Share of that fund | Change |
|---|---|---|---|
| Gotham Asset ManagementJoel Greenblatt | $612,441 | <0.1% | Added |
Largest holders overall
- RA Capital Management, L.P.$740m
- BlackRock$684m
- Baker Bros. Advisors LP$622m
- Primecap Management$352mCut
- Vanguard Portfolio Management$348mAdded
- Vanguard Capital Management$334m
- JPMorgan Chase$292mAdded
- Perceptive Advisors$287mAdded
- State Street$286mAdded
- Price T Rowe Associates$285mAdded
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
7 investors own more than 5%.
- RA Capital Management, L.P.Passive investorat least 9.9%+1.2 pts(filed with 3 related holders)Since 31 December 2025
- Baker Bros. Advisors LPPassive investorat least 8.9%(filed with 3 related holders)Since 31 March 2025
- BlackRock, Inc.Passive investor6.9%Since 31 March 2025
- PRIMECAP MANAGEMENT CO/CA/Passive investor5.2%−1.2 ptsSince 31 December 2025
- Perceptive Advisors LLCPassive investorat least 5.1%−1.7 pts(filed with 3 related holders)Since 31 March 2026
- Vanguard Capital ManagementPassive investor5.0%Since 31 March 2026
- THE GOLDMAN SACHS GROUP, INC.Passive investorat least 3.0%(filed with 1 related holder)Since 31 December 2024
- Perceptive Discovery ID LPPassive investorSold down below 5%Since 31 March 2025
- The Vanguard GroupPassive investorSold down below 5%Since 13 March 2026
| Holder | Stake | Since | |
|---|---|---|---|
RA Capital Management, L.P. Passive investor | at least 9.9%+1.2 pts (filed with 3 related holders) | 31 December 2025 | |
Baker Bros. Advisors LP Passive investor | at least 8.9% (filed with 3 related holders) | 31 March 2025 | |
BlackRock, Inc. Passive investor | 6.9% | 31 March 2025 | |
PRIMECAP MANAGEMENT CO/CA/ Passive investor | 5.2%−1.2 pts | 31 December 2025 | |
Perceptive Advisors LLC Passive investor | at least 5.1%−1.7 pts (filed with 3 related holders) | 31 March 2026 | |
Vanguard Capital Management Passive investor | 5.0% | 31 March 2026 | |
THE GOLDMAN SACHS GROUP, INC. Passive investor | at least 3.0% (filed with 1 related holder) | 31 December 2024 | |
Perceptive Discovery ID LP Passive investor | Sold down below 5% | 31 March 2025 | |
The Vanguard Group Passive investor | Sold down below 5% | 13 March 2026 |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
No insider bought shares on the open market in the last 12 months. 9 sold $42m, $41m of it under preset trading plans.
- Meeker David PPresident and CEO, DirectorSoldunder a preset trading plan
- Date
- 14 September 2026
- Shares
- 50,000
- Price
- $102.67
- Value
- $5m
- Smith Hunter CChief Financial OfficerSoldunder a preset trading plan
- Date
- 31 August 2026
- Shares
- 62,774
- Price
- $105.46
- Value
- $7m
- Shulman JosephChief Technical OfficerSoldunder a preset trading plan
- Date
- 13 August 2026
- Shares
- 5,079
- Price
- $119.75
- Value
- $608,210
- Garfield AlastairChief Scientific OfficerSoldunder a preset trading plan
- Date
- 13 August 2026
- Shares
- 7,763
- Price
- $117.57
- Value
- $912,703
- Lee Jennifer KaydenEVP, Head of North AmericaSoldunder a preset trading plan
- Date
- 13 August 2026
- Shares
- 75,834
- Price
- $117.38
- Value
- $9m
- Mazabraud YannEVP, Head of InternationalSoldunder a preset trading plan
- Date
- 12 August 2026
- Shares
- 57,000
- Price
- $116.15
- Value
- $7m
- TETRAULT LYNN A.DirectorSoldunder a preset trading plan
- Date
- 22 June 2026
- Shares
- 37,000
- Price
- $100.32
- Value
- $4m
- German Christopher PaulCorporate Controller & CAOSold
- Date
- 15 May 2026
- Shares
- 4,643
- Price
- $92.21
- Value
- $428,131
- German Christopher PaulCorporate Controller & CAOSold
- Date
- 4 March 2026
- Shares
- 5,614
- Price
- $89.56
- Value
- $502,790
- Smith Hunter CChief Financial OfficerSoldunder a preset trading plan
- Date
- 19 February 2026
- Shares
- 4,385
- Price
- $101.26
- Value
- $444,009
| Date | Who | Did | Shares | Price | Value |
|---|---|---|---|---|---|
| 14 September 2026 | Meeker David P President and CEO, Director | Sold under a preset trading plan | 50,000 | $102.67 | $5m |
| 31 August 2026 | Smith Hunter C Chief Financial Officer | Sold under a preset trading plan | 62,774 | $105.46 | $7m |
| 13 August 2026 | Shulman Joseph Chief Technical Officer | Sold under a preset trading plan | 5,079 | $119.75 | $608,210 |
| 13 August 2026 | Garfield Alastair Chief Scientific Officer | Sold under a preset trading plan | 7,763 | $117.57 | $912,703 |
| 13 August 2026 | Lee Jennifer Kayden EVP, Head of North America | Sold under a preset trading plan | 75,834 | $117.38 | $9m |
| 12 August 2026 | Mazabraud Yann EVP, Head of International | Sold under a preset trading plan | 57,000 | $116.15 | $7m |
| 22 June 2026 | TETRAULT LYNN A. Director | Sold under a preset trading plan | 37,000 | $100.32 | $4m |
| 15 May 2026 | German Christopher Paul Corporate Controller & CAO | Sold | 4,643 | $92.21 | $428,131 |
| 4 March 2026 | German Christopher Paul Corporate Controller & CAO | Sold | 5,614 | $89.56 | $502,790 |
| 19 February 2026 | Smith Hunter C Chief Financial Officer | Sold under a preset trading plan | 4,385 | $101.26 | $444,009 |
From Form 4 filings: insiders must report trades in their own company's shares within two days.
What could go wrong
Cheap for a reason is the question the numbers cannot answer.
Whether the price already reflects the risks is what the deep dive is for.
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.