Rhythm Pharma's obesity drug fails to meet main goal in late-stage trial

Rhythm Pharmaceuticals said its experimental obesity drug for patients with rare genetic conditions failed to meet the primary endpoint in a late-stage trial. The trial failure undermines the drug's approval and commercial prospects and is likely to put significant downward pressure on the company's valuation and share price.

Analysis

Rhythm Pharmaceuticals said its experimental obesity drug for patients with rare genetic conditions failed to meet the primary endpoint in a late-stage trial. The trial failure undermines the drug's approval and commercial prospects and is likely to put significant downward pressure on the company's valuation and share price.