Summary: Rhythm Pharmaceuticals' Chief Financial Officer Hunter C. Smith disposed of 6,628 shares of the company's common stock on February 4 and 5, 2026, realizing approximately $702,744 in proceeds. The transactions were executed under a Rule 10b5-1 plan adopted on February 28, 2025. Rhythm has reported preliminary revenue gains for 2025 and analysts have moved price targets higher following those results and early clinical data.
Insider transaction details
According to regulatory filings, Hunter C. Smith sold a total of 6,628 Rhythm Pharmaceuticals (NASDAQ: RYTM) shares in multiple trades on February 4 and 5, 2026, for aggregate proceeds of about $702,744. The company is reported to have a market valuation of $6.91 billion, and its shares have climbed 75.08% over the trailing 12 months, per InvestingPro data.
The sales were executed as follows:
- February 4 - 1,500 shares sold at a weighted average price of $104.7434, in a reported price range of $104.34 to $104.99, generating $157,115.
- February 4 - 1,000 shares sold at a weighted average price of $106.6040, in a reported price range of $106.31 to $107.15, generating $106,604.
- February 4 - 747 shares sold at a weighted average price of $107.6654, in a reported price range of $107.32 to $108.08, generating $80,426.
- February 5 - 3,381 shares sold at $106.063, generating $358,599.
As of the filings covering these transactions, Smith directly holds 125,537 shares of Rhythm common stock. The sales were carried out under a pre-arranged Rule 10b5-1 trading plan that the CFO adopted on February 28, 2025.
Market price and valuation context
The stock was reported to be trading at $103.61 at the time of the filings, which the note identifies as slightly above its InvestingPro Fair Value. InvestingPro data also highlights notable volatility in RYTM's share price. Despite the volatility, the article notes that analysts included in InvestingPro coverage remained broadly bullish, even while projecting the company will not be profitable in the current year.
Investors are reminded that Rhythm's next scheduled earnings release is set for March 4, 2026.
Recent commercial performance and analyst reactions
In related company disclosures, Rhythm reported preliminary unaudited global net product revenue for the fourth quarter of 2025 of approximately $57 million from sales of IMCIVREE, an increase of about 11% from the prior quarter. For the full year 2025, preliminary net product revenue was reported at roughly $194 million, an increase of approximately 50% compared with 2024. U.S. sales represented 68% of fourth-quarter net product revenues and 69% of full-year net product revenues.
Following the preliminary revenue report and positive clinical signals, several sell-side firms adjusted price targets upward while maintaining Buy ratings. TD Cowen moved its target to $130 from $120; H.C. Wainwright raised its target to $125 from $123; and Guggenheim increased its target to $140 from $120. The analysts cited the fourth-quarter revenue beat and encouraging preliminary Phase 2 data for setmelanotide in Prader-Willi syndrome patients, including reported effects on BMI reduction and hyperphagia, as factors behind their revisions.
What this means for market participants
The reported insider sales were executed within the framework of a pre-set trading plan and do not, by themselves, change Smith's remaining direct ownership. At the same time, the company’s revenue trajectory and the favorable analyst adjustments underscore a period of commercial growth and positive market momentum for Rhythm Pharmaceuticals.
Readers should note the combination of upward analyst revisions, preliminary sales strength, ongoing clinical development, and reported share-price volatility as the context in which this insider selling took place. The company’s next earnings release on March 4, 2026, remains a near-term event that could provide additional clarity on commercial and financial performance.