Beyond Meat Shares Stage Comeback as Analysts Cut Targets
2022.05.12 21:51
By Liz Moyer
Investing.com –Beyond Meat Inc (NASDAQ:BYND) shares staged a comeback on Thursday, down 1.5% in volatile trading after earlier sinking more than 23%. A number of Wall Street analysts issued bearish notes after the company missed earnings estimates.
Revenue of $109.5 million came in below forecasts for $112 million, while the $1.58 per-share loss was also wider than expected.
Management reiterated 2022 guidance for revenue in the range of $560 million to $620 million. The company’s margin has been pressured by a joint venture with PepsiCo (NASDAQ:PEP) to roll out a jerky product.
Barclays cut its rating on the stock to equal weight. Piper Sandler cut the price target to $12 from $29, while Mizuho cut its target to $21 from $35.
Mizuho questioned whether the cost of rolling out the jerky product will ultimately be worth it. “We expect H2 economics will improve and distribution will ramp via Pepsi’s system, but we question whether the size of the opportunity necessitated a launch amid current economics,” the note said.
Beyond’s shares sank to a 52-week low earlier, to $20.50 and are down 59% this year. In afternoon trading, they had recovered to around $25.
