Good Times Predicted For Beyond Meat; Share Price Soars By 36%

Beyond Meat’s shares saw a surge for over 36% on Friday. Analysts had increased their share price targets after the company posted a healthy Q1 profit, the first report after it went public. Valued at over $7.8 billion, the company’s shares have risen by over 400% ever since their IPO in May. The shares hit $136.81 on Friday, which was its highest ever price point.

Robert Moskow of Credit Suisse set Beyond Meat’s price target at $125. This is more than double its initial target of around $70 a share. The price target is close to the stock’s current market price. Beyond’s IPO sale had been at $25 a share. Annual revenue was expected to be more than $210 million, which is double of the last year’s total net sales. However, Moskow puts this year’s sales at over $224 million.

Interest from restaurants has increased after Beyond Meat’s IPO exceeded all expectations, providing positive publicity, he said. Only post-trial distributions were included for restaurants in forecasts of the company, as per executives who informed analysts via conference call.

Tim Hortons was currently testing breakfast sandwiches made with Beyond Breakfast Sausages, adding around $23 million in expected revenue during the current year. Goldman has increased his share price target from $97 to $120.

The CEO of Beyond Meat Ethan Brown stated that they were extremely conservative while discussing various guidance policies. Investors were informed that foodservice customers wouldn’t be included on any guidance until testing stages have been passed successfully, as per Goldman.

Adam Samuelson of Goldman Sachs increased his share price target from $67 to $76. Kevin Grundy of Jefferies increased his share price target from $85 to $105.Q1 revenue of around $40.2 million has been reported by Beyond Meat, which is about 215% more than the previous year. It has a $0.14 per share net loss on proforma basis.

By Aaron Fortunato

Aaron has accomplished his graduate degree in B. Tech Electronics and Communications from the reputed University in the Year 2014. After that, he pursued his career as a technical writer and has been contributing to our technical writing division. Along with writing and editing articles, PRs, and blogs, he also conducts seminars and short classes for the team to share knowledge and make improvements in the current strategies followed by them. His passion for technical writing provokes him to explore updated technology-based gadgets, attending exhibitions, and attending conferences.

Leave a Reply

Your email address will not be published. Required fields are marked *