|Bid||0.00 x 800|
|Ask||0.00 x 2200|
|Day's Range||162.25 - 174.45|
|52 Week Range||45.00 - 201.88|
|Beta (3Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||82.83|
Shares of Beyond Meat have rallied since going public, but people are still lining up to short the stock. Yahoo Finance's Jen Rogers, Myles Udland and Dan Roberts discuss.
Despite high costs, short sellers continue to line up to bet against plant-based meat company Beyond Meat and that could trigger another rally.
(Bloomberg) -- As 2019’s bumper crop of initial public offerings either languishes or wildly exceeds expectations, Slack Technologies Inc. is taking a route to the trading floor that it hopes will yield a much more boring outcome.Following in the footsteps of music-streaming service Spotify Technology SA last year, the workplace messaging application is set to start trading on the New York Stock Exchange Thursday via a direct listing. It’s just the second large company to test the unusual method and will be closely watched by other potential candidates to see how successfully the company and its advisers pull it off.Investors got their first hint of how things are going when Slack’s reference price was set at $26 per share on Wednesday. Unlike the offering price paid by investors in a traditional IPO, the reference price doesn’t establish the valuation, though it’s partly based on recent trading in private markets. Its main purpose is to provide a starting point to allow trading to begin under New York Stock Exchange rules.With IPO heavyweight advisers from Goldman Sachs Group Inc., Morgan Stanley and Allen & Co. helping to steer Slack through its listing alongside market maker Citadel Securities, all eyes will be on how the first day of trading plays out. But the company and its investors aren’t looking for a meaningful stock pop -- and want to avoid the volatility -- that often accompanies high-profile share sales, according to a person familiar with the process.On Wednesday, Slack said that its investors had converted additional Class B stock to Class A shares, increasing the number that could be sold to 194 million from 181 million, out of a total of 504.4 million. Especially because there’s no lock-up period, there’s a risk of too few investors wanting to buy or too many wanting to sell.“A direct listing can be considered risky for a variety of reasons," Alejandro Ortiz, an analyst at SharesPost, said in a note. “There is an increased chance of substantially more supply than demand for Slack’s shares. All of this could result in heightened volatility in the early hours and days of trading.”Reference PriceFifteen months after its own direct listing, Spotify trades about 12% above its reference price of $132, at about $148 a share on Wednesday. That’s well below where the stock opened on its first day of trading in April 2018, though, at $165.90 apiece.On Thursday, much of the attention at the exchange will be focused on one man. Pete Giacchi, a longtime market maker at the NYSE for Citadel Securities, will be tasked with opening the stock –- just as he was for Uber Technologies Inc.’s listing in May, people with knowledge of the matter said. It could be a long wait: Spotify’s shares took more than three hours to start trading, and it will take a while to make sure that the pricing and trading volumes coming in are at levels that Slack and its advisers are comfortable with.Supply, DemandMorgan Stanley, as the named adviser to the designated market maker, will be constantly trying to get a sense of supply and demand for the shares to advise on that opening price. The bank’s team includes global head of technology capital markets, Colin Stewart, as well as David Chen, who leads software banking. John Paci, the co-head of U.S. equities trading, will help advise the designated market maker on where the stock should open based on buying and selling interest gleaned from investors, according to people familiar with the details.At Goldman Sachs, the work will be led by Nick Giovanni, co-head of the global technology, media and telecommunications group, equity capital markets head David Ludwig and Will Connolly, co-head of the West Coast financing group and head of technology ECM.One thing Slack’s listing will have in common with an IPO: executives including Chief Executive Officer Stewart Butterfield and finance chief Allen Shim are expected to be pacing the floor of the NYSE for the open. They may not stick around all day, though. They will likely spend some time at the offices of their advisers before celebrating with employees and customers, according to a person with knowledge of the matter.Representatives for Slack, Goldman Sachs, Morgan Stanley and Citadel Securities declined to comment.Private FundsSlack’s decision to bypass a traditional IPO -- and the opportunity it brings to raise funds -- is yet another sign of how benevolent private markets have been to tech startups in recent years. Slack’s earliest major investor, venture capital firm Accel, has directed a fire hose of money at the messaging company over the years, investing from several of its funds to accumulate a 23.8% stake.In addition to Accel, Slack captured the imagination of elite investors such as Andreessen Horowitz and Social Capital. But it was SoftBank Group Corp.’s behemoth Vision Fund, which also owns stakes in Uber and WeWork Cos., that accelerated Slack’s fundraising when it led a $250 million investment in 2017.One of the main reasons that Slack has remained well capitalized, however, is that it burns through less cash than some of SoftBank’s other investments. Uber, for instance, accumulated more than $10 billion in operating losses in three years. While Slack expects higher-than-usual losses in the second quarter, that still amounts to only about $75 million to $77 million for the three months, even including expenses related to the listing.Growth vs. ProfitabilityThe high demand for IPOs by the likes of money-losing companies including Uber, Lyft Inc. and Beyond Meat Inc. proves that investors remain focused on growth prospects over profitability –- in the short term at least.With Uber leading the pack with its $8.1 billion offering, 79 companies have raised $28.88 billion in U.S. IPOs this year, according to data compiled by Bloomberg. That includes five other listings topping $1 billion, including the $2.34 billion IPO by Uber’s ride-hailing rival Lyft.With no lock-up period for a direct listing, Slack investors could be jittery about any updates from the company, perceived competitive threats or other risks.Tiny SpeckIn its filings, Slack has warned investors that it’s a relatively new business, launching only in 2014 after existing for several years as a gaming company called Tiny Speck. Its rocket-ship ascent has attracted plenty of investors, but gives new potential shareholders only a limited trajectory to study.Another challenge for Slack is one that fellow mega startups like Uber have grappled with, namely whether they can move beyond the core offering that their early years of success were built on. While Slack has improved its product so that it can serve larger companies, many customers still consider it an easy-to-use, aesthetically pleasing workplace messaging platform, despite speculation that it could evolve into a catch-all portal for business applications.One thing that could make Slack’s debut more unpredictable than Spotify’s is its investor base. Because the company’s ownership is more concentrated among fewer, larger shareholders, it could be more difficult to gauge the supply of shares that are likely to be traded, one person with knowledge of the process said. Both buyers and sellers may also hang back on day one to see how trading goes before getting involved: Just 30 million of Spotify shares changed hands in its trading debut, less than a third of the total available.\--With assistance from Crystal Tse and William Hobbs.To contact the reporters on this story: Eric Newcomer in San Francisco at email@example.com;Sonali Basak in New York at firstname.lastname@example.org;Ellen Huet in San Francisco at email@example.comTo contact the editors responsible for this story: Mark Milian at firstname.lastname@example.org, ;Michael J. Moore at email@example.com, Elizabeth Fournier, Michael HythaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Beyond Meat shares fell after Taco Bell ruled out adding Beyond's products to its menu and instead will focus on promoting vegetarian options it already offers.
(Bloomberg) -- Beyond Meat Inc. bears are battered, but they haven’t given up -- yet.Short sellers have managed to dodge a short squeeze despite the stock’s 33% advance in the past six trading days, according to S3 Analytics. While the stock fell as much as 4.5% on Wednesday, expectations for borrow rates to resume rising could mean a capitulation is near. The stock fell 1.2% to $167.80 at 3:00 p.m. in New York trading.“Many short sellers are getting closer to the tipping point of closing out their positions due to expensive stock borrow rates, stock loan recalls and massive mark-to-market losses,” said Ihor Dusaniwsky, managing director of predictive analytics for S3.Short sellers are paying a total of more than $2 million a day in fees to borrow the stock, according to Dusaniwsky. While those costs have fallen as a result of a “slight” decline in short interest to 46% of the float and the stock’s pause on Tuesday, Dusaniwsky sees higher costs in the offing.“Lending long shareholders must have sold into this morning’s rally and momentum short sellers are pressing to get locates and sell volatility,” he said, referring to the stock’s gain of as much as 19% on Tuesday. “The resulting decrease in supply and increase in demand should move BYND’s stock borrow rate back over 100%.”(Updates shares in second paragraph.)To contact the reporter on this story: Jeran Wittenstein in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Catherine Larkin at email@example.com, Steven Fromm, Jennifer Bissell-LinskFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Shares of Beyond Meat (NASDAQ:BYND) briefly passed the $200 level yesterday before ultimately closing lower on the day. Beyond Meat stock is now up an eye-popping 580% from the IPO price of $25 in early May. While momentum can take stocks well past any semblace of sanity, ultimately valuations do matter. The insane rally in BYND stock has finally come to an end.Source: Shutterstock Analysts are seeing Beyond Meat stock price as way too expensive. On June 11, J.P. Morgan analyst Ken Goldman cut his rating on BYND to neutral from overweight, citing valuation concerns. Since the downgrade, Beyond Meat has actually risen 45 points, or nearly 35%, in the past week. Other firms are also leery on Beyond Meat stock at these levels with price targets well beyond the latest closing price of $169.89.Tellimer Research chimed in yesterday with a tweet highlighting just how extreme valuations have become.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Click to EnlargeCompetition is beginning to mount in the fake meat space as both Tyson and Nestle have made a big push over the past month. This should lead to lower margins and provide a headwind for growth … both definite negatives for Beyond Meat. * 7 Fantastic Fidelity Funds for a Range of Investors Sky high valuations, as we know, can last longer than expected. This is especially true for heavily shorted, momentum-driven stocks like BYND. Once the momentum is broken, though, reality tends to set in. Yesterday was the day that we finally saw things get real.BYND stock made a new high and briefly broke above the $200 level yesterday before reversing in a big way to close slightly lower on the day. This type of price action, called a key reversal day, is a reliable indication that the previous trend has come to an end. It is even more powerful given the magnitude of the rally preceding the pullback.It also smacks of an epic short squeeze, with the shorts forced to capitulate and cover. The Chaikin Oscillator, which is a measure of momentum, has also turned negative. Click to EnlargeThe combination of ridiculous valuations and a momentum massacre points to $200 as being a intermediate-term top for Beyond Meat stock. BYND, however, is virtually impossible to borrow to short the shares. Fortunately the options market provides a viable, defined risk alternative to take a bearish stance. Beyond Meat Stock TradeBuy BYND July $210 calls and sell BYND July $200 calls for a $1.50 net credit.Maximum gain on the trade is $150 per spread with maximum risk of $850 per spread. Return on risk is 17.64%. The short $200 strike price provides a 17% upside cushion to the $169.39 closing price of BYND stock.As of this writing, Tim Biggam did not hold a position in any of the aforementioned securities. Anyone interested in finding out more about option-based strategies or for a free trial of the Delta Desk Research Report can email Tim at firstname.lastname@example.org. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Value Stocks to Buy for the Second Half * 7 Hot Stocks to Buy for a Seemingly Sleepy Summer * 6 Chip Stocks Staring At Big Headwinds in 2019 Compare Brokers The post Beyond Meat Stock Has Finally Lost Its Sizzle appeared first on InvestorPlace.
Despite the huge rally, short sellers have piled into Beyond Meat in recent weeks, and investor sentiment remains extremely bearish. Financial analytics firm S3 Partners said Tuesday Beyond Meat already has a $921 million outstanding short position, one of the largest in the entire packaged foods and meats group. As of Monday, those short sellers have taken a $570 million collective mark-to-market hit since the company’s IPO in early May.
Just two months after the launch of Beyond Tacos, tacos made with Beyond Meat’s plant-based protein, Del Taco Restaurants is now unveiling Beyond burritos.
The Beyond Meat short squeeze burned bearish investors. Here are five stocks that wary short sellers should watch.
Beyond Meat stock reversed lower Tuesday afternoon, amid analyst concerns that the stock is too expensive for its own good.
Investors have been excited for a while now about the potential for a Palantir market debut, even though the company has yet to lay out any specific plans for an initial public offering.
European Central Bank President Mario Draghi turned ultra-dovish in a speech in Portugal on Tuesday. Is this a motivation for Federal Reserve Chairman Jerome Powell and his cohorts to cut interest rates as they meet this week? President Trump on Tuesday blasted Draghi because stimulus in Europe means a lower euro versus the dollar, giving an edge to European companies in their exports to the U.S. On the other hand, the U.S. stock market is encouraged by Trump’s tweet of a “very good” phone call with President Xi of China and the news of an extended meeting with him at the G20.
Investors want another helping of Beyond Meat Inc. stock, with shares up another 12.6% in Wednesday trading, but the competition in the plant-based and meat-alternative categories could take a bite out Beyond Meat’s stratospheric growth.
sizzled earlier Tuesday on reports the company is debuting a new, plant-based "ground beef" that marbleizes and tenderizes the same way real ground beef does, though flamed out as investors turned their focus back to the stock's lofty valuation. Shares of Beyond Meat surged more than 14% in early trading, rising $24.62 to $194.58 on the Nasdaq Stock Market. The new product is made from a combination of plants including pea protein, mung bean protein and brown rice proteins, and is designed to be used in precisely the same way ground beef is used, according to media reports.
Beyond Meat stock briefly cracked $200 before trading at about $180, an incredible 620% rise from the company’s $25 IPO price. That’s killing short sellers who bet against the fledgling alternative-meat producer.
As a negative art, bond investing has become more and more difficult. This is one reason why there has been such a historic rally in municipal bonds, pension nonsense notwithstanding. The credit cycle will turn eventually.
The stock market powered higher early Tuesday after comments from President Trump. Facebook stock gained 1.5% in morning trade.
Shares of Beyond Meat Inc. shot above the $200 mark for the first time in early trading Tuesday, before paring some gains, as the maker of plant-based meat alternative extended its rocket ride since going public about seven weeks ago. The stock was up as much as 19% at its intraday high of $201.88, but was recently up 9.7% at $186.47, which was more than 7-times the $25 IPO price, as bearish investors have been forced to flee despite some concerns over competition. Last week, Tyson Foods Inc. unveiled its first alternative-meat products. The stock's rally comes as the Renaissance IPO ETF has gained 4.6% over the past three months and the S&P 500 has tacked on 3.0%.
(Bloomberg) -- A surge in popularity for Beyond Meat Inc. has sent the stock soaring to record levels, with the price of one share now worth more than 60 of the plant-based burger patties.The shares rose as much as 19% to a high of $201.88 on Tuesday. By comparison, Target Corp. advertises a two-pack of Beyond Burger patties for $5.99 online. Beyond Meat is also starting to introduce a ground “beef” product in stores this week.Beyond Meat has risen more than 600% since its initial public offering last month, sparking caution among Wall Street analysts. The stock has no buy ratings and the average price target is just $96, according to analysts surveyed by Bloomberg.“Beyond Meat’s valuation seems hard to swallow, as it is trading at 100 times premium to its traditional peers on Price/Revenue basis,” Nirgunan Tiruchelvam, head of consumers equity at research firm Tellimer Research, said in an email. That valuation is tough to justify even if revenue growth meets analyst projections, Tiruchelvam said.\--With assistance from Deena Shanker.To contact the reporter on this story: Janet Freund in New York at email@example.comTo contact the editors responsible for this story: Catherine Larkin at firstname.lastname@example.org, Anne Riley MoffatFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
U.S. stocks were poised to start higher after European Central Bank President Mario Draghi indicated that the bank could provide more economic stimulus.
(Bloomberg) -- After closing at a record high Monday, the buying spree in Beyond Meat Inc. shares doesn’t appear to be over. The stock rose as much as 19% in early trading Tuesday, briefly surpassing $200.To contact the reporter on this story: Janet Freund in New York at email@example.comTo contact the editor responsible for this story: Catherine Larkin at firstname.lastname@example.orgFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Beyond Meat stock is on an incredible tear. On Monday alone, the stock rose 12% after announcing a new ground-beef alternative. Still, is another product launch enough to justify the extreme valuation?