Beyond Meat (BYND) is having another hot stock moment, even though the fundamentals of its business aren’t as hot as a freshly baked plant-based burger.
Shares of the troubled cultured meat maker have risen nearly 600% in the past three trading days. On Wednesday, the stock was expected to continue rising, with shares rising 133% in pre-market trading.
During this period, the company’s ticker page has been one of the most active pages on the Yahoo Finance platform (see also the Yahoo Finance Community Insights chart below).
There appear to be two catalysts behind the surge.
First: On Tuesday, Beyond Meat said its “Beyond Burger 6-pack” and Beyond Chicken Pieces will be sold in 2,000 Walmart (WMT) stores in the United States.
Second: On Monday, the stock was added to the Roundhill Meme Stock ETF (MEME).
The deal activity comes at a tumultuous time for the pre-IPO ambitious company, which was valued at $14 billion after its 2019 IPO (currently valued at $1.4 billion).
Last week, Beyond Meat announced a debt swap agreement aimed at reducing approximately $800 million in debt. The company will receive $202.5 million in debt due in 2030 in exchange for debt due in 2027. It will issue up to 326 million shares to bondholders, diluting existing shareholders.
Due to a sharp decline in sales, sales in the second quarter fell 19.6% year-on-year to US$75 million. The company was once again hit by a perfect storm: weak demand at retail stores and weak demand at fast-food restaurants. Beyond Meat’s operating loss amounted to $34.9 million.
The company chose to lay off 6% of its workforce. Due to poor performance, the company conducted two rounds of layoffs in 2024.
Jefferies analyst Kaumil Gajrawala said: “Stabilizing the portfolio and improving operating leverage are key drivers to achieve positive EBITDA in the second half of 2026. Companies are downsizing to survive – cutting costs, revisiting strategies and trying to rebuild distribution. Innovation is moving towards protein, fiber and clean forward labels/products. Balance sheets need to improve. Progress will be judged on a quarter-by-quarter basis.”
Brian Sozzi is the executive editor of Yahoo Finance and a member of the Yahoo Finance editorial leadership team. Follow Sozzi on X @bryansozzi, Instagramand LinkedIn. Tips for the story? Email brian.sozzi@yahoofinance.com.
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