📊 RYTM Key Takeaways
Is Rhythm Pharmaceuticals, Inc.. (RYTM) a Good Investment?
While Rhythm Pharmaceuticals demonstrates strong revenue growth (+45.8% YoY) and improving loss trajectory, the company faces critical cash runway constraints with $45.1M annual free cash burn against only $62.1M in cash, providing approximately 1.4 years of operations. Despite positive commercialization trends, the absence of operating profitability and persistent inability to cover interest from operations present material solvency risks that require near-term improvement or capital infusion.
Rhythm Pharmaceuticals, Inc.. Key Strengths (RYTM)
- Strong topline revenue growth of 45.8% YoY demonstrates commercial traction
- Improving loss profile with net loss declining 2.7% YoY and EPS improving 28.3% YoY
- Excellent liquidity position with 4.17x current ratio and 3.89x quick ratio
RYTM Stock Risks: Rhythm Pharmaceuticals, Inc.. Investment Risks
- Critical cash runway constraint: negative $45.1M FCF against $62.1M cash (~1.4 years coverage)
- Deeply unprofitable with -92.6% net margin and -87.1% operating margin, cannot service debt from operations
- Significant debt burden of $98.3M with negative interest coverage ratio of -11.0x
Key Metrics to Watch
- Time to operating profitability and quarterly burn rate trajectory
- Revenue growth sustainability and gross margin expansion as volumes increase
- Cash balance depletion rate and any capital raise or financing announcements
Rhythm Pharmaceuticals, Inc.. (RYTM) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 4.17x current ratio provides a solid financial cushion.
RYTM Profit Margin, ROE & Profitability Analysis
RYTM vs Healthcare Sector: How Rhythm Pharmaceuticals, Inc.. Compares
How Rhythm Pharmaceuticals, Inc.. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Rhythm Pharmaceuticals, Inc.. Stock Overvalued? RYTM Valuation Analysis 2026
Based on fundamental analysis, Rhythm Pharmaceuticals, Inc.. shows some fundamental concerns relative to the Healthcare sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Rhythm Pharmaceuticals, Inc.. Balance Sheet: RYTM Debt, Cash & Liquidity
RYTM Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Rhythm Pharmaceuticals, Inc..'s revenue has grown significantly by 145% over the 5-year period, indicating strong business expansion. The most recent EPS of $-3.20 indicates the company is currently unprofitable.
RYTM Revenue Growth, EPS Growth & YoY Performance
RYTM Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $32.7M | -$49.5M | $-0.81 |
| Q3 2025 | $33.3M | -$32.3M | $-0.73 |
| Q2 2025 | $29.1M | -$32.3M | $-0.55 |
| Q1 2025 | $26.0M | -$49.5M | $-0.81 |
| Q3 2024 | $22.5M | -$32.3M | $-0.73 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Rhythm Pharmaceuticals, Inc.. Dividends, Buybacks & Capital Allocation
RYTM SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Rhythm Pharmaceuticals, Inc.. (CIK: 0001649904)
📋 Recent SEC Filings
❓ Frequently Asked Questions about RYTM
What is the AI rating for RYTM?
Rhythm Pharmaceuticals, Inc.. (RYTM) has an AI grade of C with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are RYTM's key strengths?
Claude: Strong topline revenue growth of 45.8% YoY demonstrates commercial traction. Improving loss profile with net loss declining 2.7% YoY and EPS improving 28.3% YoY.
What are the risks of investing in RYTM?
Claude: Critical cash runway constraint: negative $45.1M FCF against $62.1M cash (~1.4 years coverage). Deeply unprofitable with -92.6% net margin and -87.1% operating margin, cannot service debt from operations.
What is RYTM's revenue and growth?
Rhythm Pharmaceuticals, Inc.. reported revenue of $60.1M.
Does RYTM pay dividends?
Rhythm Pharmaceuticals, Inc.. does not currently pay dividends.
Where can I find RYTM SEC filings?
Official SEC filings for Rhythm Pharmaceuticals, Inc.. (CIK: 0001649904) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is RYTM's EPS?
Rhythm Pharmaceuticals, Inc.. has a diluted EPS of $-0.83.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is RYTM's fundamental grade?
Based on our AI fundamental analysis in May 2026, Rhythm Pharmaceuticals, Inc.. has a C grade with 72% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is RYTM stock overvalued or undervalued?
Valuation metrics for RYTM: ROE of -45.3% (sector avg: 15%), net margin of -92.6% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is RYTM's AI grade for 2026?
Our dual AI analysis gives Rhythm Pharmaceuticals, Inc.. a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is RYTM's free cash flow?
Rhythm Pharmaceuticals, Inc..'s operating cash flow is $-44.2M, with capital expenditures of $953.0K. FCF margin is -75.1%.
How does RYTM compare to other Healthcare stocks?
Vs Healthcare sector averages: Net margin -92.6% (avg: 12%), ROE -45.3% (avg: 15%), current ratio 4.17 (avg: 2).