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RYTM · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Rhythm Pharmaceuticals, Inc. Common Stock (RYTM) stock moving?
Rhythm reported Q3 2026 sales of $92.1M against an $84.3M estimate and an EPS loss of $(0.61) against $(0.72) expected, then announced positive Phase 2 bivamelagon data with a Phase 3 plan and a NICE guidance expansion to adults with Bardet-Biedl syndrome. On Nov 3 the stock fell 7.5% to $86.44 on 7.1M shares, then jumped 28% to $110.68 on Nov 4 after a WSJ report that AstraZeneca had made a roughly $10B non-binding offer, reported at $124 to $134 per share. A report of a second bidder on Nov 6 followed, and the stock closed at $113.95 on Nov 10, below both reported offer prices. Volume has faded from 6.4M shares on Nov 5 to 616K on Nov 10, which suggests the move is cooling. Analysts are split on value: Guggenheim has a $147 target, Citizens $166, and Needham cut its target to $114. The royalty revision to 1% on MC4R net sales, $350M of LG Chem payments and the $750M term loan are material structural changes to the economics. The main risk is that the offers are non-binding and unconfirmed, and the reported per-share figures conflict.
News behind the analysis
- AstraZeneca Proposes $10 Billion Acquisition of Rhythm PharmaceuticalsAstraZeneca has reportedly made a non-binding offer to acquire Rhythm for about $10 billion, or up to $134 per share. Another report put the offer at $124 per share.
- Rhythm Pharmaceuticals Gains on Report of Additional BidderRhythm shares rose after reports of a potential second bidder, adding to acquisition speculation.
- Rhythm Pharmaceuticals Reports Third Quarter 2026 Financial ResultsRhythm reported its results and a business update for the quarter ended September 30, 2026.
- Rhythm Pharmaceuticals Q3 EPS $(0.61) Beats $(0.72) Estimate, Sales $92.128M Beat $84.349M EstimateThird-quarter EPS of $(0.61) beat the $(0.72) estimate, and sales of $92.128M beat the $84.349M estimate.
- Rhythm Pharmaceuticals Announces Positive Phase 2 Results for BivamelagonPhase 2 trial results for bivamelagon in acquired hypothalamic obesity were positive, and Rhythm plans to start a Phase 3 trial.
- NICE Issues Positive Guidance for IMCIVREE in Adults with Bardet-Biedl SyndromeNICE updated its guidance to include adults with genetically confirmed Bardet-Biedl syndrome for IMCIVREE treatment.
- Rhythm Amends Bivamelagon Royalty Structure, Secures $750 Million in FinancingRhythm amended its bivamelagon licensing agreement with LG Chem and arranged a $750 million term loan. The royalty was revised to 1% on MC4R net sales, with $350M in LG Chem payments agreed.
- Guggenheim Maintains Buy on Rhythm Pharmaceuticals, Raises Price Target to $147Guggenheim kept its Buy rating and raised its price target to $147.
- Citizens Maintains Market Outperform on Rhythm Pharmaceuticals, Raises Price Target to $166Citizens kept its Market Outperform rating and raised its price target to $166.
- Needham Maintains Buy on Rhythm Pharmaceuticals, Lowers Price Target to $114Needham kept its Buy rating but lowered its price target to $114.
About Rhythm Pharmaceuticals, Inc. Common Stock
Rhythm Pharmaceuticals is a Boston-based biotech that develops and sells treatments for rare genetic and acquired diseases of the brain's MC4R pathway, which controls hunger and body weight. Its approved drug IMCIVREE (setmelanotide) targets severe obesity and constant extreme hunger in rare conditions. In March 2026 the FDA approved it for acquired hypothalamic obesity, a much larger use, and it has since been launched in Europe and Japan.
How it makes money
Almost all of its revenue comes from selling IMCIVREE. In Q3 2026 sales were about $92 million, with roughly 73% from the US and the rest from international markets. Growth is now driven mainly by US demand from acquired hypothalamic obesity patients. The company is still losing money because it spends heavily on research and sales (operating-cost guidance of roughly $360–380 million for 2026). Its pipeline includes bivamelagon, an oral drug licensed from LG Chem that is entering Phase 3, and RM-718, a once-weekly drug.
What usually moves RYTM
- IMCIVREE launch uptake in acquired hypothalamic obesity
- International approvals and reimbursement (Japan, EU)
- Clinical trial results for bivamelagon and RM-718
- Regulatory decisions on label expansions
- Cash burn and financing needs