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RHYTHM PHARMACEUTICALS INC (RYTM) Stock Fundamental Analysis

NASDAQ:RYTM - Nasdaq - US76243J1051 - Common Stock - Currency: USD

91.98  -0.5 (-0.54%)

After market: 91.98 0 (0%)

Fundamental Rating

3

Overall RYTM gets a fundamental rating of 3 out of 10. We evaluated RYTM against 551 industry peers in the Biotechnology industry. RYTM scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. RYTM shows excellent growth, but is valued quite expensive already.


Dividend Valuation Growth Profitability Health

1

1. Profitability

1.1 Basic Checks

In the past year RYTM has reported negative net income.
RYTM had a negative operating cash flow in the past year.
In the past 5 years RYTM always reported negative net income.
In the past 5 years RYTM always reported negative operating cash flow.
RYTM Yearly Net Income VS EBIT VS OCF VS FCFRYTM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 -50M -100M -150M -200M -250M

1.2 Ratios

Looking at the Return On Assets, with a value of -81.56%, RYTM is doing worse than 70.60% of the companies in the same industry.
RYTM's Return On Equity of -193.39% is on the low side compared to the rest of the industry. RYTM is outperformed by 67.33% of its industry peers.
Industry RankSector Rank
ROA -81.56%
ROE -193.39%
ROIC N/A
ROA(3y)-56.77%
ROA(5y)-52.61%
ROE(3y)-112.7%
ROE(5y)-88.62%
ROIC(3y)N/A
ROIC(5y)N/A
RYTM Yearly ROA, ROE, ROICRYTM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 -100 -200 -300

1.3 Margins

The Gross Margin of RYTM (89.55%) is better than 91.83% of its industry peers.
In the last couple of years the Gross Margin of RYTM has grown nicely.
The Profit Margin and Operating Margin are not available for RYTM so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 89.55%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.35%
GM growth 5YN/A
RYTM Yearly Profit, Operating, Gross MarginsRYTM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -1K -2K -3K -4K -5K

4

2. Health

2.1 Basic Checks

RYTM does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for RYTM has been increased compared to 1 year ago.
RYTM has more shares outstanding than it did 5 years ago.
RYTM has a better debt/assets ratio than last year.
RYTM Yearly Shares OutstandingRYTM Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M
RYTM Yearly Total Debt VS Total AssetsRYTM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M

2.2 Solvency

An Altman-Z score of 10.53 indicates that RYTM is not in any danger for bankruptcy at the moment.
RYTM has a Altman-Z score of 10.53. This is amongst the best in the industry. RYTM outperforms 86.57% of its industry peers.
A Debt/Equity ratio of 0.66 indicates that RYTM is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.66, RYTM is doing worse than 74.95% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.66
Debt/FCF N/A
Altman-Z 10.53
ROIC/WACCN/A
WACC11.1%
RYTM Yearly LT Debt VS Equity VS FCFRYTM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M -100M 200M

2.3 Liquidity

RYTM has a Current Ratio of 3.30. This indicates that RYTM is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.30, RYTM is doing worse than 60.98% of the companies in the same industry.
A Quick Ratio of 3.13 indicates that RYTM has no problem at all paying its short term obligations.
RYTM's Quick ratio of 3.13 is on the low side compared to the rest of the industry. RYTM is outperformed by 61.71% of its industry peers.
Industry RankSector Rank
Current Ratio 3.3
Quick Ratio 3.13
RYTM Yearly Current Assets VS Current LiabilitesRYTM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M

7

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 33.11% over the past year.
RYTM shows a strong growth in Revenue. In the last year, the Revenue has grown by 68.06%.
RYTM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 245.69% yearly.
EPS 1Y (TTM)33.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-8.7%
Revenue 1Y (TTM)68.06%
Revenue growth 3Y245.69%
Revenue growth 5YN/A
Sales Q2Q%66.79%

3.2 Future

RYTM is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 32.56% yearly.
The Revenue is expected to grow by 63.18% on average over the next years. This is a very strong growth
EPS Next Y37.02%
EPS Next 2Y28.05%
EPS Next 3Y32.49%
EPS Next 5Y32.56%
Revenue Next Year38.54%
Revenue Next 2Y54.69%
Revenue Next 3Y63.1%
Revenue Next 5Y63.18%

3.3 Evolution

The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
RYTM Yearly Revenue VS EstimatesRYTM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 500M 1B 1.5B 2B
RYTM Yearly EPS VS EstimatesRYTM Yearly EPS VS EstimatesYearly EPS VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 0 5 10

1

4. Valuation

4.1 Price/Earnings Ratio

RYTM reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for RYTM. No positive earnings are expected for the next year.
Industry RankSector Rank
PE N/A
Fwd PE N/A
RYTM Price Earnings VS Forward Price EarningsRYTM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 20 -20 40 -40 60

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
RYTM Per share dataRYTM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 1 -1 2 -2 -3

4.3 Compensation for Growth

RYTM's earnings are expected to grow with 32.49% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y28.05%
EPS Next 3Y32.49%

0

5. Dividend

5.1 Amount

No dividends for RYTM!.
Industry RankSector Rank
Dividend Yield N/A

RHYTHM PHARMACEUTICALS INC

NASDAQ:RYTM (8/8/2025, 8:05:36 PM)

After market: 91.98 0 (0%)

91.98

-0.5 (-0.54%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)08-05 2025-08-05/bmo
Earnings (Next)11-03 2025-11-03/bmo
Inst Owners94.81%
Inst Owner Change0.24%
Ins Owners0.67%
Ins Owner Change0.79%
Market Cap6.06B
Analysts87
Price Target106.66 (15.96%)
Short Float %7.75%
Short Ratio6.49
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-6.21%
Min EPS beat(2)-13.18%
Max EPS beat(2)0.76%
EPS beat(4)3
Avg EPS beat(4)0.95%
Min EPS beat(4)-13.18%
Max EPS beat(4)11.07%
EPS beat(8)4
Avg EPS beat(8)-0.37%
EPS beat(12)8
Avg EPS beat(12)3.08%
EPS beat(16)10
Avg EPS beat(16)3.66%
Revenue beat(2)1
Avg Revenue beat(2)-6.95%
Min Revenue beat(2)-20.47%
Max Revenue beat(2)6.56%
Revenue beat(4)2
Avg Revenue beat(4)-3.66%
Min Revenue beat(4)-20.47%
Max Revenue beat(4)6.56%
Revenue beat(8)3
Avg Revenue beat(8)-0.19%
Revenue beat(12)5
Avg Revenue beat(12)20.52%
Revenue beat(16)7
Avg Revenue beat(16)11.28%
PT rev (1m)24.25%
PT rev (3m)30.78%
EPS NQ rev (1m)-5.82%
EPS NQ rev (3m)-1.7%
EPS NY rev (1m)-2.5%
EPS NY rev (3m)-5.71%
Revenue NQ rev (1m)-0.19%
Revenue NQ rev (3m)-1.28%
Revenue NY rev (1m)0.22%
Revenue NY rev (3m)-4.16%
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S 37.2
P/FCF N/A
P/OCF N/A
P/B 37.14
P/tB 38.55
EV/EBITDA N/A
EPS(TTM)-3.01
EYN/A
EPS(NY)-1.62
Fwd EYN/A
FCF(TTM)-1.72
FCFYN/A
OCF(TTM)-1.72
OCFYN/A
SpS2.47
BVpS2.48
TBVpS2.39
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -81.56%
ROE -193.39%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 89.55%
FCFM N/A
ROA(3y)-56.77%
ROA(5y)-52.61%
ROE(3y)-112.7%
ROE(5y)-88.62%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.35%
GM growth 5YN/A
F-Score5
Asset Turnover0.42
Health
Industry RankSector Rank
Debt/Equity 0.66
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 3.3
Quick Ratio 3.13
Altman-Z 10.53
F-Score5
WACC11.1%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)33.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-8.7%
EPS Next Y37.02%
EPS Next 2Y28.05%
EPS Next 3Y32.49%
EPS Next 5Y32.56%
Revenue 1Y (TTM)68.06%
Revenue growth 3Y245.69%
Revenue growth 5YN/A
Sales Q2Q%66.79%
Revenue Next Year38.54%
Revenue Next 2Y54.69%
Revenue Next 3Y63.1%
Revenue Next 5Y63.18%
EBIT growth 1Y-15.02%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year33.27%
EBIT Next 3Y28.6%
EBIT Next 5YN/A
FCF growth 1Y27.45%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y27.36%
OCF growth 3YN/A
OCF growth 5YN/A