Rhythm Pharmaceuticals (NASDAQ:RYTM) Reaches New 1-Year High After Earnings Beat

Shares of Rhythm Pharmaceuticals, Inc. (NASDAQ:RYTM) reached a new 52-week high during mid-day trading on Tuesday after the company announced better than expected quarterly earnings. The stock traded as high as $56.16 and last traded at $56.03, with a volume of 469273 shares traded. The stock had previously closed at $52.99.

The company reported ($0.73) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.80) by $0.07. Rhythm Pharmaceuticals had a negative return on equity of 221.65% and a negative net margin of 254.88%. The company had revenue of $33.20 million for the quarter, compared to the consensus estimate of $32.52 million. During the same quarter in the previous year, the business earned ($0.76) EPS. Rhythm Pharmaceuticals’s revenue was up 47.6% compared to the same quarter last year.

Analysts Set New Price Targets

A number of brokerages have recently commented on RYTM. Bank of America boosted their price target on Rhythm Pharmaceuticals from $48.00 to $52.00 and gave the stock a “neutral” rating in a research report on Monday, October 14th. Canaccord Genuity Group boosted their price target on Rhythm Pharmaceuticals from $77.00 to $80.00 and gave the stock a “buy” rating in a research report on Wednesday. TD Cowen upped their price objective on Rhythm Pharmaceuticals from $55.00 to $65.00 and gave the company a “buy” rating in a research report on Wednesday. Guggenheim initiated coverage on Rhythm Pharmaceuticals in a research report on Monday, October 21st. They issued a “buy” rating and a $70.00 price objective on the stock. Finally, HC Wainwright upped their price objective on Rhythm Pharmaceuticals from $64.00 to $69.00 and gave the company a “buy” rating in a research report on Thursday. One investment analyst has rated the stock with a hold rating and nine have given a buy rating to the company. According to data from MarketBeat.com, Rhythm Pharmaceuticals has an average rating of “Moderate Buy” and a consensus target price of $62.30.

Insider Buying and Selling

In other Rhythm Pharmaceuticals news, insider Pamela J. Cramer sold 49,006 shares of the stock in a transaction dated Friday, August 9th. The shares were sold at an average price of $45.15, for a total transaction of $2,212,620.90. Following the completion of the transaction, the insider now owns 13,500 shares of the company’s stock, valued at $609,525. This represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. In related news, Director Lynn A. Tetrault sold 4,300 shares of the stock in a transaction dated Monday, August 26th. The shares were sold at an average price of $50.01, for a total value of $215,043.00. Following the completion of the transaction, the director now owns 3,000 shares of the company’s stock, valued at approximately $150,030. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Pamela J. Cramer sold 49,006 shares of the stock in a transaction dated Friday, August 9th. The shares were sold at an average price of $45.15, for a total transaction of $2,212,620.90. Following the completion of the transaction, the insider now directly owns 13,500 shares of the company’s stock, valued at approximately $609,525. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 109,857 shares of company stock valued at $5,325,446. Company insiders own 5.60% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. CWM LLC raised its position in Rhythm Pharmaceuticals by 62.6% in the 2nd quarter. CWM LLC now owns 657 shares of the company’s stock worth $27,000 after purchasing an additional 253 shares during the period. ORG Partners LLC purchased a new position in shares of Rhythm Pharmaceuticals during the second quarter worth approximately $51,000. ORG Wealth Partners LLC purchased a new position in shares of Rhythm Pharmaceuticals during the third quarter worth approximately $63,000. Quest Partners LLC increased its position in shares of Rhythm Pharmaceuticals by 513.3% during the second quarter. Quest Partners LLC now owns 1,662 shares of the company’s stock worth $68,000 after acquiring an additional 1,391 shares during the period. Finally, Mirae Asset Global Investments Co. Ltd. increased its position in shares of Rhythm Pharmaceuticals by 21.5% during the third quarter. Mirae Asset Global Investments Co. Ltd. now owns 2,211 shares of the company’s stock worth $114,000 after acquiring an additional 391 shares during the period.

Rhythm Pharmaceuticals Price Performance

The firm has a market capitalization of $3.91 billion, a PE ratio of -14.37 and a beta of 2.09. The stock’s 50-day moving average price is $50.25 and its 200 day moving average price is $45.46.

Rhythm Pharmaceuticals Company Profile

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.