Retained earnings is the accumulated portion of net income that is not distributed to shareholders. Rhythm Pharmaceuticals's retained earnings for the quarter that ended in Mar. 2026 was $-1,407.5 Mil.
Rhythm Pharmaceuticals's quarterly retained earnings
declined
from Sep. 2025 ($-1,304.4 Mil) to Dec. 2025 ($-1,351.9 Mil) and
declined
from Dec. 2025 ($-1,351.9 Mil) to Mar. 2026 ($-1,407.5 Mil).
Rhythm Pharmaceuticals's annual retained earnings
declined
from Dec. 2023 ($-894.7 Mil) to Dec. 2024 ($-1,155.3 Mil) and
declined
from Dec. 2024 ($-1,155.3 Mil) to Dec. 2025 ($-1,351.9 Mil).
Historically profitable companies sometimes have negative retained earnings. This is because they have cumulatively paid out more to shareholders than they reported in profits.
For example, in 2011, Microsoft had negative retained earnings. This does not mean the company lost more money than it made over the years. It just means it paid out more money than it earned.
If a company has negative retained earnings, investors should check the 10-year financial results. They should not assume that negative retained earnings prove a company has generally lost money in the past.
Of course, many companies with negative retained earnings have indeed lost money in the past.
Retained Earnings: Warren Buffett's Secret.
One of the most important indicators of durable competitive advantage. Net earnings can be paid out as dividends, used to buy back shares or retained for growth.
If the company loses more than it has accumulated, retained earnings is negative.
If a company isn't adding to its retained earnings, it isn't growing its net worth.
Rate of growth of retained earnings is good indicator whether it's benefiting from a competitive advantage.
Microsoft is negative because it chose to buyback stock and pay dividends.
The more earnings retained, the faster it grows and increases growth rate for future earnings.
Rhythm Pharmaceuticals Retained Earnings Historical Data
* Premium members only.
The historical data trend for Rhythm Pharmaceuticals's Retained Earnings can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Retained Earnings is the accumulated portion of net income that is not distributed to shareholders. Because the net income was not distributed to shareholders, shareholders' equity is increased by the same amount.
Of course, if a company loses, it is called retained losses, or accumulated losses.
What does a Retained Earnings of $-1,407.5 Mil mean?
Rhythm Pharmaceuticals (RYTM) has a Retained Earnings of $-1,407.5 Mil as of Mar. 2026. Retained earnings is the amount of net income not issued to shareholders. View historical data on Rhythm Pharmaceuticals and its competitors.
Is Rhythm Pharmaceuticals' Retained Earnings too high?
Rhythm Pharmaceuticals' current Retained Earnings is $-1,407.5 Mil. Overall, Rhythm Pharmaceuticals has a GF Score™ of 55/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Rhythm Pharmaceuticals' Retained Earnings compare to MIRM and SYRE?
Rhythm Pharmaceuticals' Retained Earnings of $-1,407.5 Mil can be compared against companies in the Biotechnology industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Retained Earnings for a Biotechnology company?
A good Retained Earnings depends on the Biotechnology industry context. However, Retained Earnings should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Retained Earnings mean?
A high Retained Earnings can signal that a stock is expensive relative to its fundamentals. Retained earnings is the amount of net income not issued to shareholders. View historical data on Rhythm Pharmaceuticals and its competitors. Rhythm Pharmaceuticals's current Retained Earnings is $-1,407.5 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rhythm Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Rhythm Pharmaceuticals (RYTM) is currently considered Fairly Valued. The stock's GF Value™ is $111.02, compared to a current price of $114.17 — trading 2.8% above its estimated fair value. The current Retained Earnings is $-1,407.5 Mil. Rhythm Pharmaceuticals' overall GF Score™ is 55/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Retained Earnings calculated?
Retained Earnings is calculated from a company's financial statements. For Rhythm Pharmaceuticals (RYTM), the current Retained Earnings is $-1,407.5 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Rhythm Pharmaceuticals (RYTM) Overvalued in 2026?
Based on GuruFocus' analysis, Rhythm Pharmaceuticals stock appears to be overvalued.
The current stock price of $114.17 is trading 2.8% above its estimated GF Value™ of $111.02.
GuruFocus considers Rhythm Pharmaceuticals to be Fairly Valued.
Key valuation signals for RYTM:
Retained Earnings: $-1,407.5 Mil
GF Value™: $111.02 vs. price of $114.17 (2.8% above fair value)
No single metric tells the full story. See the RYTM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Rhythm Pharmaceuticals Inc is a commercial-stage biopharmaceutical company engaged in the development and commercialization of therapies for patients with rare neuroendocrine diseases. The company is focused on advancing its melanocortin-4 receptor (MC4R) agonists, including its main asset, IMCIVREE (setmelanotide), as a precision medicine designed to treat hyperphagia and severe obesity caused by rare MC4R pathway diseases. In addition, it has two early-stage investigational MC4R agonists in clinical development, RM-718 and bivamelagon, designed not to cause hyperpigmentation. The company is also focused on advancing potential candidates for congenital hyperinsulinism. It currently operates in two business segments: the United States, which generates maximum revenue, and International.
55GF Score
Get the complete analysis for RYTM
Retained Earnings is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
RYTM has been successfully added to your 
