We live in odd times. The hot stock of the past week has been Beyond Meat, a company that specializes in making hamburgers that contain absolutely no meat.
Like I said, we live in odd times.
Beyond Meat makes burgers from plant-based protein. The product is designed to appeal to both meat eaters and vegans.
CNN Money reported: “The company’s sales have proven that there’s demand. Beyond reported last week that its sales reached $40.2 million in the first quarter — up 215% from the same period a year before.”
The stock peaked at $168 before falling on Tuesday after a J.P. Morgan report claimed the stock was “overvalued.”
CNBC reported that J.P. Morgan analyst Ken Goldman said that “the stock is beyond our price target.”
CNBC continued: “The share price has already exceeded the price target of every analyst on Wall Street and short sellers have lost money that $400 million betting against the plant-based maker’s stock since it went public, according to research firm S3 Partners.”
Regardless, the rise in the revenue and stock price of Beyond Meat has been impressive. The company went public last month with an IPO of $25, and it has grown at a rapid and impressive pace in a very short amount of time.
The company has been selling its product in major grocery stores, and has partnered with multiple restaurant chains. In May, the company announced that it is partnering with Tim Hortons to supply the chain with sausage patties for three of their breakfast sandwiches.
Beyond Meat has a competitor that is giving them a run for their money. Impossible Foods, a rival company that has seen the demand for their product increase significantly, is growing so fast they can’t keep up with demand.
Impossible Foods has a deal with Burger King to sell its “Impossible Whopper” in select locations.
The company also has a deal with Little Caesars Pizza to supply the pizza chain with plant-based sausage.
CNBC reported that “Little Caesars will sell a pizza topped with plant-based sausage crumbles made by Impossible Foods — the first time a national pizza chain is using a vegan meat substitute.”
Is this meatless trend here to stay?
Only time will tell.
For now, the meatless meat will have meat lovers saying, “Where’s the beef?”