In the case of a year-on-year turnaround in Q3 last year, and revenue fell short of expectations, Beyond Meat urgently needs to “bind” with major manufacturers to expand its business scale.
A few days ago, Beyond Meat, the “first share of artificial meat” in the United States, announced that it had established a joint venture with PepsiCo to develop and sell food and food products made from artificial meat and other plant proteins. Drink.
Affected by this news, On the 26th, Beyond Meat US stocks rose more than 30% before the market, and finally closed up more than 17%. The stock price once soared to $221, a new high in nearly a year and a half.
For Pepsi, the cooperation between the two will help strengthen its competitiveness in the field of plant protein foods and beverages. Pepsi may value the position of Beyond Meat in the industry. According to the investment bank Jefferies, Beyond Meat currently accounts for about 13% of the market share in the US artificial meat food market.
In the third quarter of last year, with a year-on-year turnaround in profit and loss, and revenues that were not as expected, Beyond Meat also urgently needed to “bind” with major manufacturers to expand its business scale.
According to reports, Beyond Meat CEO Ethan Brown (Ethan Brown) said that a new partnership with Pepsi will give it access to the beverage giant’s distribution and marketing resources and enable it to expand To the new product line.
Before, Beyond Meat also reached cooperation with Wal-Mart, KFC, Starbucks shopping malls and restaurants.
Even so, many investment banks are still not optimistic about this artificial meat company.
Wells Fargo Bank analyst John Baumgartner said he will still insist on shorting. It believes that the establishment of a joint venture with PepsiCo will not change BeyondMeat’s recent basic growth trajectory, and the latter’s core products will not have obvious incremental distribution.
Motor analyst Ken Goldman said that the establishment of a joint venture between Beyond Meat and PepsiCo is good news, but it still has doubts about the market size of pork substitutes.
In fact, Beyond Meat has often been shorted since its listing. Some media quoted statistics from FactSet as saying that the number of shares currently short-sold in Beyond Meat is about 38% of the tradable shares.
CNBC believes that one of the reasons for the surge in Beyond Meat’s share price also includes that some hedge funds are covering their short positions in Beyond Meat.
As of press time,Beyond Meat’s US stocks fell more than 2% before the market.