Head to Head Analysis: RYTHM (RYM) and Its Peers

RYTHM (NASDAQ:RYM) is one of 894 publicly-traded companies in the “Pharmaceuticals” industry, but how does it weigh in compared to its peers? We will compare RYTHM to similar companies based on the strength of its dividends, institutional ownership, earnings, analyst recommendations, profitability, valuation and risk.

Profitability

This table compares RYTHM and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RYTHM	9.84%	21.25%	5.51%
RYTHM Competitors	-2,400.69%	-221.80%	-15.58%

Risk and Volatility

RYTHM has a beta of 9.94, meaning that its stock price is 894% more volatile than the S&P 500. Comparatively, RYTHM’s peers have a beta of -0.13, meaning that their average stock price is 113% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings for RYTHM and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RYTHM	1	0	0	0	1.00
RYTHM Competitors	7844	13796	25806	1039	2.41

As a group, “Pharmaceuticals” companies have a potential upside of 24.69%. Given RYTHM’s peers stronger consensus rating and higher possible upside, analysts plainly believe RYTHM has less favorable growth aspects than its peers.

Institutional & Insider Ownership

6.0% of RYTHM shares are held by institutional investors. Comparatively, 32.5% of shares of all “Pharmaceuticals” companies are held by institutional investors. 3.5% of RYTHM shares are held by company insiders. Comparatively, 14.1% of shares of all “Pharmaceuticals” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares RYTHM and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
RYTHM	$17.28 million	-$33.26 million	-2.61
RYTHM Competitors	$3.57 billion	$3.20 billion	562.76

RYTHM’s peers have higher revenue and earnings than RYTHM. RYTHM is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

RYTHM peers beat RYTHM on 9 of the 13 factors compared.

About RYTHM

I couldn’t verify a Nasdaq-listed company named RYTHM with the ticker RYM. If you mean Rhythm Pharmaceuticals, Inc. (NASDAQ: RYTM), it is a biopharmaceutical company developing treatments for rare genetic diseases and other conditions linked to the brain’s melanocortin-4 receptor pathway, which helps regulate hunger and body weight. Its marketed medicine, Imcivree (setmelanotide), is approved in the United States for certain forms of rare genetic obesity and acquired hypothalamic obesity. The company is based in Boston and focuses on developing and providing therapies for patients in the United States and other markets.