Comparison
Company
Score
Quality
Valuation
Financial
Technical
Why is Rhythm Pharmaceuticals, Inc. ?
1
With a Operating Losses, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate -6.38% of over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -74.40
2
Positive results in Jun 25
- OPERATING CASH FLOW(Y) Highest at USD -107.72 MM
- NET PROFIT(HY) Higher at USD -95.71 MM
- RAW MATERIAL COST(Y) Fallen by 1.2% (YoY)
3
Risky - Negative EBITDA
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 81.49%, its profits have risen by 36%
4
Reducing Promoter Confidence
- Promoters have decreased their stake in the company by -1.62% over the previous quarter and currently hold 8.63% of the company
- Promoters decreasing their stake may signify reduced confidence in the future of the business
5
Consistent Returns over the last 3 years
- Along with generating 81.49% returns in the last 1 year, the stock has outperformed S&P 500 in each of the last 3 annual periods
How much should you hold?
- Overall Portfolio exposure to Rhythm Pharmaceuticals, Inc. should be less than 10%
- Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Rhythm Pharmaceuticals, Inc. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Rhythm Pharmaceuticals, Inc.
75.93%
2.93
56.31%
S&P 500
13.22%
0.61
20.17%
Quality key factors
Factor
Value
Sales Growth (5y)
175.00%
EBIT Growth (5y)
-6.38%
EBIT to Interest (avg)
-74.40
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-3.20
Sales to Capital Employed (avg)
0.37
Tax Ratio
0.07%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
0
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
228.70
EV to EBIT
-24.75
EV to EBITDA
-24.97
EV to Capital Employed
-102.58
EV to Sales
31.22
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
-926.82%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
Bullish
OBV
Mildly Bearish
No Trend
Technical Movement
18What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD -107.72 MM
NET PROFIT(HY)
Higher at USD -95.71 MM
RAW MATERIAL COST(Y)
Fallen by 1.2% (YoY
NET SALES(Q)
Highest at USD 48.5 MM
OPERATING PROFIT MARGIN(Q)
Highest at -92.61 %
-4What is not working for the Company
ROCE(HY)
Lowest at -1,334.54%
DEBT-EQUITY RATIO
(HY)
Highest at 265 %
INTEREST(Q)
Highest at USD 5.82 MM
Here's what is working for Rhythm Pharmaceuticals, Inc.
Operating Cash Flow
Highest at USD -107.72 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Net Sales
At USD 48.5 MM has Grown at 66.8%
Year on Year (YoY)MOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Net Profit
Higher at USD -95.71 MM
than preceding 12 month period ended Jun 2025MOJO Watch
In the half year the company has already crossed Net Profit of the previous twelve months
Net Profit (USD MM)
Net Profit
At USD -95.71 MM has Grown at 47.34%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
Net Sales
Highest at USD 48.5 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit Margin
Highest at -92.61 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Raw Material Cost
Fallen by 1.2% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for Rhythm Pharmaceuticals, Inc.
Interest
Highest at USD 5.82 MM
in the last five periods and Increased by 7.54% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Debt-Equity Ratio
Highest at 265 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio






