Stock Market News

Beyond Meat downgraded at Argus on weak demand

2022.12.09 16:02



© Reuters Beyond Meat (BYND) downgraded at Argus on weak demand

By Sam Boughedda

Beyond Meat (NASDAQ:) was downgraded to Sell from Hold by Argus on Friday based on weak demand and widening losses.

Argus told investors in a note that demand for Beyond Meat’s plant-based protein has fallen amid weaker economic conditions, and “many customers are trading down to cheaper alternatives.”

They added that Beyond Meat has also been hurt by increased competition from other makers of plant-based protein, as well as by “low utilization charges and termination fees from co-manufacturers.”

“Beyond Meat saw weaker demand in 3Q as many customers traded down from its higher-cost products to cheaper proteins. The company has also been hurt by new entrants in the plant-based protein space, which has lowered its market share. In response, management has shifted its business model to focus more on core products and positive cash flow than on growth. As part of this change, Beyond is lowering prices, consolidating production with fewer co-manufacturers, and working with a narrower set of strategic partners,” Argus wrote.

“We expect the low utilization charges to continue in the coming quarters, further increasing pressure on the company. In an effort to generate cash, BYND has laid off nearly 25% of its workforce. It is also shifting its business model to focus more on core products and positive cash flow than on growth. While these actions will help, we expect the company to face weak demand and continued losses into 2024, and believe that a SELL rating is now appropriate,” Argus added.

Beyond Meat shares are down more than 7% Friday.



Source link

Related Articles

Leave a Reply

Back to top button
bitcoin
Bitcoin (BTC) $ 97,882.23 0.28%
ethereum
Ethereum (ETH) $ 3,380.73 1.22%
tether
Tether (USDT) $ 1.00 0.06%
solana
Solana (SOL) $ 252.64 1.85%
bnb
BNB (BNB) $ 659.46 0.36%
xrp
XRP (XRP) $ 1.44 1.24%
dogecoin
Dogecoin (DOGE) $ 0.422598 3.35%
usd-coin
USDC (USDC) $ 1.00 0.09%
cardano
Cardano (ADA) $ 1.05 1.96%
staked-ether
Lido Staked Ether (STETH) $ 3,376.84 1.22%
tron
TRON (TRX) $ 0.209203 3.03%
avalanche-2
Avalanche (AVAX) $ 41.67 1.75%
stellar
Stellar (XLM) $ 0.538763 10.12%
the-open-network
Toncoin (TON) $ 6.10 5.44%
shiba-inu
Shiba Inu (SHIB) $ 0.000025 5.00%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,995.79 1.42%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 97,450.11 0.34%
polkadot
Polkadot (DOT) $ 8.89 3.13%
chainlink
Chainlink (LINK) $ 18.17 1.54%
bitcoin-cash
Bitcoin Cash (BCH) $ 511.86 1.47%
weth
WETH (WETH) $ 3,380.32 1.29%
sui
Sui (SUI) $ 3.36 3.72%
near
NEAR Protocol (NEAR) $ 7.08 9.50%
pepe
Pepe (PEPE) $ 0.00002 3.87%
leo-token
LEO Token (LEO) $ 8.62 0.03%
litecoin
Litecoin (LTC) $ 96.72 4.54%
uniswap
Uniswap (UNI) $ 11.01 0.11%
aptos
Aptos (APT) $ 12.37 6.37%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,556.96 1.38%
hedera-hashgraph
Hedera (HBAR) $ 0.142532 6.11%
internet-computer
Internet Computer (ICP) $ 11.35 5.92%
usds
USDS (USDS) $ 1.00 0.10%
crypto-com-chain
Cronos (CRO) $ 0.186632 6.09%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.563241 3.75%
ethereum-classic
Ethereum Classic (ETC) $ 28.81 4.60%
render-token
Render (RENDER) $ 8.07 1.32%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 1.51 2.40%
bittensor
Bittensor (TAO) $ 529.73 1.96%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.03%
kaspa
Kaspa (KAS) $ 0.151939 1.67%
arbitrum
Arbitrum (ARB) $ 0.859612 3.68%
whitebit
WhiteBIT Coin (WBT) $ 24.43 1.17%
bonk
Bonk (BONK) $ 0.000046 4.61%
dai
Dai (DAI) $ 0.999616 0.02%
vechain
VeChain (VET) $ 0.042791 1.10%
blockstack
Stacks (STX) $ 2.29 7.73%
filecoin
Filecoin (FIL) $ 5.62 6.57%
cosmos
Cosmos Hub (ATOM) $ 8.59 7.14%
okb
OKB (OKB) $ 56.19 8.96%
mantra-dao
MANTRA (OM) $ 3.66 2.26%