Rhythm (RYTM) CEO David Meeker Sells Shares & Exercises Options

What Happened David P. Meeker, President, CEO and a director of Rhythm Pharmaceuticals (RYTM), exercised 50,000 stock options on September 14, 2026 at $6.05 per share (cost $302,500) and sold a total of 50,000 common shares in open-market transactions the same day for aggregate proceeds of approximately $5.13 million. The sales occurred in multiple tranches at weighted average prices ranging from about $101.75 to $105.19 per share. The filing also reports a disposition of 50,000 derivative shares at $0.00, which commonly reflects shares withheld or surrendered in connection with an exercise.

Key Details

• Transaction date: 2026-09-14 (all activity reported same date)
• Option exercise: 50,000 shares at $6.05 each — total cash paid ~$302,500 (code M)
• Open-market sales (total disposed = 50,000 shares; total proceeds ≈ $5,133,442):
  • 6,439 shares @ $101.75 (≈ $655,145) [weighted range $100.96–$101.95] (F3)
  • 30,746 shares @ $102.35 (≈ $3,146,761) [weighted range $101.96–$102.94] (F4)
  • 8,698 shares @ $103.43 (≈ $899,634) [weighted range $102.97–$103.96] (F5)
  • 1,817 shares @ $104.55 (≈ $189,965) [weighted range $103.97–$104.94] (F6)
  • 2,300 shares @ $105.19 (≈ $241,937) [weighted range $105.00–$105.31] (F7)
• Additional derivative entry: 50,000 shares disposed at $0.00 (likely net withholding/surrender related to exercise) (M)
• Transactions were made pursuant to a pre-established Rule 10b5-1 trading plan adopted June 15, 2026 (F1).
• Shares owned after the transactions: not stated in the provided filing summary.

Context

• This activity combines an option exercise with contemporaneous share sales — a common pattern when executives exercise vested options and then sell some or all resulting shares to cover costs or diversify. The filing does not allege any late reporting.
• Footnote F8 indicates the options exercised were originally granted in 2017 and vested in installments; footnotes F3–F7 explain reported prices are weighted averages across multiple trade prices.
• For retail investors: purchases (buys) are often more informative about bullish insider conviction; these actions reflect liquidity/compensation realization rather than a new purchase signal.