The analyst maintained an Outperform on Tyson Foods with a $96 price target.
Tyson Foods announced a new lineup of plant-based foods Thursday, including chicken nuggets and patties as well as a combination of meat and plant burgers and sausages. The announcement is consistent with the belief the plant-based meat category will see the entrance of multiple competitors.
Beyond Meat's products are "more revolutionary and broader" in terms of consumer appeal, which implies Tyson's products are not a "major threat," Moskow said in a Thursday note. (See his track record here.)
"Although competing hybrid burgers offer less saturated fat than the 100% plant-based products from Beyond and Impossible, they simply don’t taste as good in our experience," the analyst said.
On Tyson's end, the inclusion of chicken alternative products is consistent with the company's scale and expertise in distribution, manufacturing and branding, Moskow said.
The product doesn't seem to be difficult to create, as pea-based alternatives to breaded chicken have existed for a long time, according to Credit Suisse.
Beyond Meat shares were down by 0.28% at the time of publication Thursday, while Tyson shares were up 0.68%.
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