Rhythm Pharmaceuticals, Inc. (RYTM) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Rhythm Pharmaceuticals, Inc.

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Why is Rhythm Pharmaceuticals, Inc. ?

With a growth in Net Sales of 36.87%, the company declared Very Positive results in Sep 25

The company has declared positive results for the last 2 consecutive quarters
OPERATING CASH FLOW(Y) Highest at USD -109.12 MM
NET PROFIT(HY) Higher at USD -98.84 MM
RAW MATERIAL COST(Y) Fallen by -1.28% (YoY)

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 53.74%, its profits have risen by 28.2%

Reducing Promoter Confidence

Promoters have decreased their stake in the company by -1.69% over the previous quarter and currently hold 7.04% of the company
Promoters decreasing their stake may signify reduced confidence in the future of the business

Consistent Returns over the last 3 years

Along with generating 53.74% returns in the last 1 year, the stock has outperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

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.

57.52%

1.72

58.98%

S&P 500

13.68%

0.71

19.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

181.04%

EBIT Growth (5y)

-8.88%

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)

0.40

Tax Ratio

0.07%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

41.53

EV to EBIT

-32.33

EV to EBITDA

-32.59

EV to Capital Employed

-558.52

EV to Sales

34.54

PEG Ratio

Dividend Yield

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

-128.63%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bullish

Bearish

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

18What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD -109.12 MM

NET PROFIT(HY)

Higher at USD -98.84 MM

RAW MATERIAL COST(Y)

Fallen by -1.28% (YoY

CASH AND EQV(HY)

Highest at USD 707.08 MM

NET SALES(Q)

Highest at USD 51.3 MM

-6What is not working for the Company

INVENTORY TURNOVER RATIO(HY)

Lowest at 1.06 times

OPERATING PROFIT(Q)

Lowest at USD -52.35 MM

PRE-TAX PROFIT(Q)

Lowest at USD -52.43 MM

NET PROFIT(Q)

Lowest at USD -52.54 MM

EPS(Q)

Lowest at USD -0.82

Here's what is working for Rhythm Pharmaceuticals, Inc.

Operating Cash Flow

Highest at USD -109.12 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Net Sales

At USD 51.3 MM has Grown at 54.28%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (USD MM)

Net Sales

Highest at USD 51.3 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Cash and Eqv

Highest at USD 707.08 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -1.28% (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.

Inventory Turnover Ratio

Lowest at 1.06 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Operating Profit

Lowest at USD -52.35 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Pre-Tax Profit

Lowest at USD -52.43 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD -52.54 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.82

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)