Core Insights - ClearBridge Investments reported a modest underperformance of its "ClearBridge Small Cap Growth Strategy" compared to the Russell 2000 Growth Index in Q2 2025, as the market rally favored lower market capitalization and riskier stocks [1] - Rhythm Pharmaceuticals, Inc. (NASDAQ:RYTM) showed a one-month return of -4.79% but a significant 95.91% increase over the last 52 weeks, with a market capitalization of $6.458 billion as of October 2, 2025 [2][3] Company Overview - Rhythm Pharmaceuticals, Inc. focuses on metabolic conditions related to genetic and injury-related obesity, with its main product launched in several rare indications and potential for broader market approval soon [3] - The company has a pipeline of candidates aimed at enhancing lifecycle management and addressing related illnesses, indicating robust growth potential [3] Hedge Fund Interest - Rhythm Pharmaceuticals, Inc. was held by 40 hedge fund portfolios at the end of Q2 2025, a decrease from 47 in the previous quarter, suggesting a decline in popularity among hedge funds [4] - Despite acknowledging the potential of Rhythm Pharmaceuticals, the company is viewed as having less upside compared to certain AI stocks, which are considered to carry less downside risk [4]