- Oops!Something went wrong.Please try again later.
Beyond Meat Inc (NASDAQ: BYND) reported third-quarter revenues below its guidance. The revenue miss “reinforces our view” that the company is reaching market saturation earlier than was previously anticipated and may miss its internal growth targets, according to Credit Suisse.
The Beyond Meat Analyst: Robert Moskow downgraded Beyond Meat from Neutral to Underperform, while reducing the price target from $123 to $75.
The Beyond Meat Thesis: Although the meat alternatives category has potential upside for the next several years, Beyond Meat’s sales and market share are likely to be lower than was previously estimated, Moskow said in the note.
“This year’s spate of management departures and many factors cited for the revenue shortfall suggest deeper problems that won’t be quick to fix,” the analyst wrote.
“Demand at the retail level is clearly slowing. U.S. market share is down -90 bps in the last 12-week period versus year-ago levels, sales have fallen -7.1% in the last 12-week period versus year-ago levels, and sales velocity fell -33%,” he mentioned.
Moskow also said the firm has doubts about the extent to which the McPlant at McDonald's (NYSE: MCD) will launch nationally in the U.S.
BYND Price Action: Shares of Beyond Meat had declined by 1.5% to $94.54 at the time of publication Tuesday.
Latest Ratings for BYND
See more from Benzinga
© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.