Rhythm Pharmaceuticals: A Hidden Growth Stock Soaring
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Fool
- Significant Market Potential: Rhythm Pharmaceuticals has a market cap of $6.8 billion, and despite its relatively small size, its stock has outperformed both Alphabet and Nvidia over the past 12 months, indicating strong market performance and investor confidence.
- Notable Sales Growth: The company's sole approved drug, Imcivree, achieved sales of $194 million in 2025, reflecting a year-over-year increase of approximately 50%, highlighting the growing market demand in the rare genetic obesity treatment sector.
- Promising Clinical Trials: Rhythm expects to advance its oral MC4R agonist, bivamelagon, into Phase 3 clinical testing in 2026, alongside another candidate, RM-718, in Phase 1 testing, showcasing the diversity of its pipeline and potential for market expansion.
- FDA Approval Catalyst: The anticipated FDA approval for Imcivree in treating acquired hypothalamic obesity on March 20, 2026, could potentially benefit over 36,000 patients across the U.S., Europe, and Japan, significantly enhancing the company's market outlook and profitability prospects.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy RYTM?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on RYTM
Wall Street analysts forecast RYTM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for RYTM is 140.62 USD with a low forecast of 123.00 USD and a high forecast of 167.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Analyst Rating
14 Buy
1 Hold
0 Sell
Strong Buy
Current: 103.700
Low
123.00
Averages
140.62
High
167.00
Current: 103.700
Low
123.00
Averages
140.62
High
167.00
About RYTM
Rhythm Pharmaceuticals, Inc. is a commercial-stage biopharmaceutical company. The Company is focused on advancing its melanocortin-4 receptor (MC4R) agonists, including its lead asset, IMCIVREE, as a precision medicine designed to treat hyperphagia and severe obesity caused by rare MC4R pathway diseases. IMCIVREE is approved by the Food and Drug Administration (FDA) for chronic weight management in adult and pediatric patients six years of age and older with monogenic or syndromic obesity due to proopiomelanocortin (POMC), proprotein convertase subtilisin/kexin type 1 (PCSK1) or leptin receptor (LEPR) deficiency as determined by an FDA-approved test demonstrating variants in POMC, PCSK1, or LEPR genes that are interpreted as pathogenic, likely pathogenic, or of uncertain significance (VUS). In addition to setmelanotide, it has two earlier-stage investigational MC4R agonists in clinical development, RM-718, designed for weekly administration, and bivamelagon, an oral small molecule.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Rhythm Pharmaceuticals Stock Soars with Significant Growth Potential
- Significant Market Potential: Rhythm Pharmaceuticals, with a market cap of only $6.8 billion, has seen its stock price soar over the past 12 months, surpassing both Alphabet and Nvidia, indicating strong market performance and growing investor interest.
- Notable Sales Growth: The company's sole approved drug, Imcivree, achieved sales of $194 million in 2025, reflecting a year-over-year increase of approximately 50%, highlighting the rapid growth in demand for treatments in the rare disease sector.
- Clinical Trial Advancements: Rhythm plans to advance its oral MC4R agonist, bivamelagon, into Phase 3 clinical testing in 2026, while also conducting Phase 1 testing for another MC4R agonist, RM-718, showcasing the diversity and potential of its R&D pipeline.
- FDA Approval Catalyst: The FDA is expected to make a decision on Imcivree's application for treating acquired hypothalamic obesity on March 20, 2026, which could significantly enhance Rhythm's market opportunities, impacting treatment options for approximately 20,000 patients in the U.S.
Continue Reading
Rhythm Pharmaceuticals: A Hidden Growth Stock Soaring
- Significant Market Potential: Rhythm Pharmaceuticals has a market cap of $6.8 billion, and despite its relatively small size, its stock has outperformed both Alphabet and Nvidia over the past 12 months, indicating strong market performance and investor confidence.
- Notable Sales Growth: The company's sole approved drug, Imcivree, achieved sales of $194 million in 2025, reflecting a year-over-year increase of approximately 50%, highlighting the growing market demand in the rare genetic obesity treatment sector.
- Promising Clinical Trials: Rhythm expects to advance its oral MC4R agonist, bivamelagon, into Phase 3 clinical testing in 2026, alongside another candidate, RM-718, in Phase 1 testing, showcasing the diversity of its pipeline and potential for market expansion.
- FDA Approval Catalyst: The anticipated FDA approval for Imcivree in treating acquired hypothalamic obesity on March 20, 2026, could potentially benefit over 36,000 patients across the U.S., Europe, and Japan, significantly enhancing the company's market outlook and profitability prospects.
Continue Reading