Is Rhythm Pharmaceuticals, Inc. (RYTM) halal? Not Halal. Based on AAOIFI screening, Rhythm Pharmaceuticals, Inc. passes the business activity screen but fails financial ratio screens with a compliance score of 0/100 (Grade: F).

Rhythm Pharmaceuticals, Inc.

RYTM: Is Rhythm Pharmaceuticals, Inc. Halal?

Not Halal

Rhythm Pharmaceuticals, Inc.

NASDAQHealthcareUS

$84.35

-4.01%

About Rhythm Pharmaceuticals, Inc.

Rhythm Pharmaceuticals, Inc., a commercial-stage biopharmaceutical company, focuses on the development and commercialization of therapeutics for the treatment of rare genetic diseases of obesity. The company's lead product candidate is IMCIVREE, a potent melanocortin-4 receptor for the treatment of pro-opiomelanocortin (POMC), proprotein convertase subtilisin/kexin type 1, leptin receptor (LEPR) deficiency obesity, and Bardet-Biedl and Alstr枚m syndrome. It is also developing setmelanotide, which is in Phase II clinical trials for treating POMC or LEPR heterozygous deficiency obesities, steroid receptor coactivator 1 deficiency obesity, SH2B1 deficiency obesity, MC4 receptor deficiency obesity, Smith-Magenis syndrome obesity, POMC epigenetic disorders, and other MC4R disorders. Rhythm Pharmaceuticals, Inc. has a collaborative research agreement with the Clinical Registry Investigating Bardet-Biedl Syndrome. The company was formerly known as Rhythm Metabolic, Inc. and changed its name to Rhythm Pharmaceuticals, Inc. in October 2015. Rhythm Pharmaceuticals, Inc. was founded in 2008 and is headquartered in Boston, Massachusetts.

Sector: Healthcare 路 Industry: Biotechnology

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 17, 2026
F

Non-Compliant

Fails Shariah screening

0Score

Business Activity Screen

Passed

Checks if the business is involved in prohibited activities (alcohol, gambling, pork, conventional banking, etc.)

Financial Ratio Screen

Failed

Financial ratios must be below AAOIFI thresholds

Debt / Market Cap1.6% / 30.0%

Compliance History

Not Halal, unchanged since Jun 2026.

No status changes recorded since we began tracking.

Tracked since Jun 2026. Updates automatically on each re-screen.

Screened: Jun 17, 2026Fiscal: Q1 2026Source: EDGAR

Financial Overview

Market Cap

5.8B

Price

$84.35

Sector

Healthcare

Industry

Biotechnology

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Frequently Asked Questions

Is Rhythm Pharmaceuticals, Inc. (RYTM) halal to invest in?
Rhythm Pharmaceuticals, Inc. (RYTM) is rated Not Halal under AAOIFI Standard 21 screening. It fails either the business activity screen (primary involvement in prohibited sectors such as conventional banking, alcohol, or gambling) or one of the quantitative financial ratio thresholds. Muslim investors should avoid or exit this position.
Why did Rhythm Pharmaceuticals, Inc. get a F compliance rating?
Rhythm Pharmaceuticals, Inc. (RYTM) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 1.6% (limit 30%); interest-bearing deposits of 6.3% (limit 30%); prohibited income of 11.69% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Rhythm Pharmaceuticals, Inc.'s Shariah verdict?
Rhythm Pharmaceuticals, Inc.'s verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.
How often is Rhythm Pharmaceuticals, Inc. re-screened for Shariah compliance?
Rhythm Pharmaceuticals, Inc. (RYTM) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Jun 17, 2026.

Screened according to AAOIFI Standard No. 21 路 For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.