Rhythm CFO sells 62K shares after option exercise
RHYTHM PHARMACEUTICALS, INC.
Rhea-AI Filing Summary
RHYTHM PHARMACEUTICALS, INC. (RYTM) Chief Financial Officer Hunter C. Smith exercised 57,187 employee stock options on August 31, 2026 at an exercise price of $25.79 per share, receiving the same number of common shares. On the same date, he sold 62,774 common shares in multiple transactions at weighted average prices around $104.59, $105.37, and $106.20 per share, with each tranche executed in price ranges disclosed in the footnotes. The option exercised was granted on February 14, 2018 and vesting occurred in sixteen equal quarterly installments; 3,813 option shares remain outstanding, expiring February 13, 2028. All exercises and sales were made pursuant to a Rule 10b5-1 trading plan adopted on May 13, 2026.
Positive
- None.
Negative
- None.
Insights
Analyzing...
Insider Trade Summary 10b5-1
Exercise and sale activity reported; no spread calculated
Exercise and Sale
5 txns
Insider
Smith Hunter C
Role
Chief Financial Officer
Sold
62,774 shs ($6.62M)
Approx. gross sale proceeds
$6.62M
Approx. exercise cost
$1.47M
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Employee Stock Option (Right to Buy) F1, F5 | 57,187 | $0.00 | $0.00 |
| Exercise | Common Stock F1 | 57,187 | $25.79 | $1.47M |
| Sale | Common Stock F1, F2 | 23,072 | $104.5871 | $2.41M |
| Sale | Common Stock F1, F3 | 11,514 | $105.3702 | $1.21M |
| Sale | Common Stock F1, F4 | 28,188 | $106.2029 | $2.99M |
Holdings After Transaction:
Employee Stock Option (Right to Buy) — 3,813 contracts (Direct);
Common Stock — 114,024 shares (Direct)
Footnotes (5)
- F1. The exercise and sales reported in this form 4 were effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on May 13, 2026.
- F2. The price reported in Column 4 is a weighted average price. The securities were sold in multiple transactions at prices ranging from $104.04 to $105.03 per common stock. The Reporting Person undertakes to provide to the Issuer, any security holder of the Issuer or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.
- F3. The price reported in Column 4 is a weighted average price. The securities were sold in multiple transactions at prices ranging from $105.04 to $106.01 per common stock. The Reporting Person undertakes to provide to the Issuer, any security holder of the Issuer or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.
- F4. The price reported in Column 4 is a weighted average price. The securities were sold in multiple transactions at prices ranging from $106.05 to $106.88 per common stock. The Reporting Person undertakes to provide to the Issuer, any security holder of the Issuer or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.
- F5. This option was granted on February 14, 2018 and the shares underlying this option vested in sixteen equal quarterly installments.
Key Figures
Options exercised: 57,187 shares
Option exercise price: $25.79 per share
Shares sold (block 1): 23,072 shares at $104.5871 per share
+5 more
8 metrics
Options exercised
57,187 shares
Employee Stock Option exercise on August 31, 2026
Option exercise price
$25.79 per share
Exercise price of Employee Stock Option converted into common stock
Shares sold (block 1)
23,072 shares at $104.5871 per share
Weighted average sale price; trades from $104.04 to $105.03
Shares sold (block 2)
11,514 shares at $105.3702 per share
Weighted average sale price; trades from $105.04 to $106.01
Shares sold (block 3)
28,188 shares at $106.2029 per share
Weighted average sale price; trades from $106.05 to $106.88
Total shares sold
62,774 shares
Aggregate of three sale transactions on August 31, 2026
Remaining option shares
3,813 shares
Options remaining after exercise; expiration February 13, 2028
Rule 10b5-1 plan adoption date
May 13, 2026
Date the trading plan governing these transactions was adopted
Key Terms
Rule 10b5-1 trading plan, weighted average price, Employee Stock Option, Exercise or conversion of derivative security, +1 more
5 terms
Rule 10b5-1 trading plan regulatory
"exercise and sales reported in this form 4 were effected pursuant to a Rule 10b5-1 trading plan"
A Rule 10b5-1 trading plan is a pre-arranged schedule that allows company insiders to buy or sell stock at specific times, even if they have inside information. It helps prevent accusations of unfair trading by making these transactions look planned and transparent, rather than sneaky or illegal.
weighted average price financial
"The price reported in Column 4 is a weighted average price."
Weighted average price is the average price of a security where each trade or component is counted according to its size, so bigger trades pull the average more than smaller ones. Think of it like calculating the average cost of a grocery haul where items you bought more of have greater influence on the final per-item cost. Investors use it to understand the true average price paid or received, judge execution quality, and compare trading performance against market movement.
Employee Stock Option financial
"security_title: "Employee Stock Option (Right to Buy)""
An employee stock option is a promise that lets a worker buy company shares later at a predetermined price, often after they stay for a certain period or meet performance goals — think of it like a coupon that locks in today's price for a future purchase. It matters to investors because options align employees’ incentives with company performance, can increase the number of shares outstanding (dilution) when exercised, and represent a compensation cost that affects reported profits and shareholder value.
Exercise or conversion of derivative security financial
"transaction_code_description: "Exercise or conversion of derivative security""
derivative security financial
"Exercise or conversion of derivative security"
A derivative security is a financial contract whose value comes from the price or performance of something else, such as a stock, bond, commodity, or market index. For investors it acts like an insurance policy or a wager: it can be used to protect against losses, lock in prices, or amplify gains and losses, so it can change a portfolio’s risk and potential return without owning the underlying asset directly.
FAQ
What did RYTM’s CFO Hunter C. Smith do in this Form 4 filing?
He exercised 57,187 employee stock options at an exercise price of $25.79 per share and sold 62,774 common shares on August 31, 2026, all under a Rule 10b5-1 trading plan.
How many Rhythm Pharmaceuticals (RYTM) options did the CFO exercise and at what price?
He exercised 57,187 employee stock options, each with an exercise price of $25.79 per share, converting them into 57,187 shares of RYTM common stock.
Was the RYTM CFO’s August 31, 2026 trading under a Rule 10b5-1 plan?
Yes. The filing states the exercise and sales were effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on May 13, 2026.
What RYTM option grant did the CFO exercise and when does it expire?
He exercised an option granted on February 14, 2018, which vested in sixteen equal quarterly installments. After the transaction, 3,813 option shares remain outstanding, expiring on February 13, 2028.
How many derivative securities remain for the RYTM CFO after these transactions?
Following the reported exercise, the filing shows 3,813 employee stock options remaining outstanding for the CFO, with an expiration date of February 13, 2028.
AI-generated analysis. How Rhea-AI works. Not financial advice.
