Beyond Meat (NASDAQ: BYND) stock price has been in a strong bull run as it surged by 40% between April 25th and May 6th. It then suffered a harsh reversal on Wednesday after the company published weak financial results. It tumbled to a low of $7.12, down by 13.4% from its highest point this month.Are you looking for signals & alerts from pro-traders? Sign-up to Invezz Signals™ for FREE. Takes 2 mins.The plant-based meat industry is strugglingCopy link to sectionBeyond Meat is one of the top disruptors in th ...

Financial Data and Key Metrics Changes - Total net revenue for Q1 2024 was $75.6 million, an 18% decline from $92.2 million in Q1 2023, exceeding the guidance range of $70 million to $75 million [7][25] - Gross margin improved to 4.9%, up from the previous three quarters but down from 6.7% in Q1 2023 [7][28] - Operating expenses decreased to $57.1 million, down from $63.9 million year-over-year, contributing to a reduced loss from operations of $53.5 million compared to $57.7 million in the prior year [9][30] - Adjusted EBITDA loss was $32.9 million, the smallest loss since Q2 2021 [31] Business Line Data and Key Metrics Changes - U.S. retail and foodservice net revenues decreased by 16% and 16.2%, respectively, primarily due to a decrease in product volume sold [26] - International retail and foodservice channels saw net revenue declines of 12% and 28.7%, respectively, attributed to lapping previous large orders and softer demand in certain markets [26][27] Market Data and Key Metrics Changes - The decline in international retail was mainly due to the lapping of large initial orders for chicken innovations in Europe from the previous year [26] - The UK market experienced recessionary pressures affecting demand in both retail and foodservice channels [27] Company Strategy and Development Direction - The company is focused on five priorities for 2024, including operational efficiency, product innovation with the Beyond IV platform, pricing strategy adjustments, production network consolidation, and investment in European markets [11][18][20] - The launch of Beyond Burger IV and Beyond Beef IV is expected to enhance health benefits and improve market perception [12][16] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about margin improvement and operational efficiency, anticipating benefits from pricing changes and production consolidation throughout 2024 [8][23] - The company aims to restore margins to previous levels achieved in 2019 and 2020 over time [18] Other Important Information - Cash consumption decreased significantly to $32.5 million in Q1 2024 from $49 million in the same period in 2023 [10] - The company has a cash and cash equivalents balance of $173.5 million and total debt outstanding of $1.1 billion as of March 30, 2024 [31] Q&A Session All Questions and Answers Question: Confidence in sales outlook given pricing and volume changes - Management highlighted the rollout of the Beyond IV product and its expected positive reception, addressing health perception issues in the plant-based category [35][36] Question: Preliminary price elasticity with recent price increases - Management indicated it is too early to assess the impact of price increases on sales, but initial feedback has been positive [40][41] Question: International market performance and volume decline - Management noted that the decline was due to lapping previous strong sales and recessionary pressures in the UK and Canada [45][46] Question: Phasing of pricing and gross margins - Management expects significant benefits from pricing increases and operational efficiencies to improve gross margins in the second half of the year [49][50] Question: Customer and competitor reactions to price increases - Management reported that most retailers accepted the price increases, and competitors are also raising prices to drive profitability [61][63] Question: SKU rationalization status - Management confirmed ongoing SKU rationalization efforts, focusing on the Beyond IV platform while exiting less successful products [68][69] Question: Target consumer changes - Management emphasized that while health benefits are being highlighted, taste remains a priority, aiming to attract both health-conscious and taste-focused consumers [70][72]

Financial Performance - Beyond Meat reported a quarterly loss of $0.72 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.68, but an improvement from a loss of $0.92 per share a year ago [1] - The company's revenues for the quarter ended March 2024 were $75.6 million, missing the Zacks Consensus Estimate by 2.68% and down from $92.24 million year-over-year [1] - Over the last four quarters, Beyond Meat has not surpassed consensus EPS estimates and has topped revenue estimates only once [1] Stock Performance and Outlook - Beyond Meat shares have declined approximately 7% since the beginning of the year, contrasting with the S&P 500's gain of 8.8% [2] - The company's earnings outlook is crucial for future stock movements, with current consensus EPS estimates of -$0.55 for the next quarter and -$2.29 for the current fiscal year [4] Industry Context - The Food - Meat Products industry, to which Beyond Meat belongs, is currently ranked in the top 1% of over 250 Zacks industries, indicating a favorable outlook for stocks in this sector [5] - Hormel Foods, another company in the same industry, is expected to report quarterly earnings of $0.36 per share, reflecting a year-over-year decline of 10% [5]

Exhibit 99.1 For immediate release ® Beyond Meat Reports First Quarter 2024 Financial Results EL SEGUNDO, Calif. — May 8, 2024 (GLOBE NEWSWIRE)—Beyond Meat, Inc. (NASDAQ: BYND) ("Beyond Meat" or "the Company"), a leader in plant-based meat, today reported financial results for its first quarter ended March 30, 2024. First Quarter 2024 Financial Highlights 1 • Net revenues were $75.6 million, a decrease of 18.0% year-over-year. • Gross profit was $3.7 million, or gross margin of 4.9%, compared to gross profi ...

Core Viewpoint - Beyond Meat is facing significant challenges, including declining revenues, high debt levels, and increased competition, leading to a substantial drop in stock price and underperformance compared to broader market indices [1][2][4]. Financial Performance - Beyond Meat's stock has decreased by 95% from $125 in January 2021 to approximately $8 currently, while the S&P 500 has increased by about 35% during the same period [2]. - The company is expected to report Q1 2024 revenues of around $70 million, which is below consensus estimates, and a 4% year-over-year decline in total revenues for FY2024, projected at $330 million [4][6]. - In Q4 2023, Beyond Meat reported a net loss of $155.1 million, translating to a loss per share of $2.40, compared to a loss of $1.05 per share in Q4 2022 [6]. Market Dynamics - High inflation has led consumers to be less willing to pay premium prices for plant-based products, contributing to a 23% year-over-year decline in retail sales and a 26% drop in restaurant and fast-food chain sales in the U.S. market [4]. - Despite price reductions, overall sales volumes fell by 7% in Q4 2023, with net revenue per pound down 17% year-over-year [4]. Strategic Decisions - The company has decided to discontinue its Beyond Meat Jerky products due to insufficient demand [1]. - Beyond Meat's gross margins have turned negative, with a -24% margin in 2023 compared to positive margins of 25% in 2021 and 30% in 2020 [6]. Debt and Valuation - Beyond Meat has $1.1 billion in debt and a limited cash runway of $206 million, down from $323 million at the end of 2022, raising concerns about solvency in a high-interest rate environment [1]. - The current valuation estimate for Beyond Meat is $7 per share, which is 15% lower than the current market price [3][7].

Volatility is rising in the stock market. Between the recent hot inflation data and mounting geopolitical tensions, investors are starting to reassess the broader economic environment. It seems that the Federal Reserve might not come through with previously anticipated interest rate cuts. This, in turn, has the potential to greatly reduce the speculative juices in the stock market. Throw in some softness in leading AI stocks, and the market’s red flags are mounting.Investors should be repositioning their po ...

Core Viewpoint - Concerns about a global recession suggest that divesting from certain Nasdaq stocks may be prudent, as some companies are both high-risk and overvalued [1][2] Group 1: Canopy Growth (CGC) - Canopy Growth has been experiencing significant losses, with a stock price that has dramatically declined over the years [3] - The company recorded nearly $1 billion in losses over the last 12 months and has $140 million in cash, alongside $446 million in debt [3][4] - Shareholder dilution has been substantial, with shares outstanding increasing by 70.58% year-over-year, raising financial risk for shareholders [4] Group 2: Beyond Meat (BYND) - Beyond Meat's stock price has plummeted due to mounting losses and declining sales, with a "Sell" consensus rating from analysts [5][6] - The full-year revenue forecast is between $315 million and $345 million, which is below the consensus of $343.8 million, and the company has a negative gross margin of 24.1% in 2023 [5] - Significant budget cuts of $70 million are planned for 2024, but the company has less than two years' worth of cash based on its current cash burn and over $1 billion in debt [5][6] Group 3: QuantumScape (QS) - QuantumScape is developing solid-state batteries but faces skepticism regarding its technology's viability and timeline, with no revenue or earnings reported [7][8] - The company has around three years of cash on its balance sheet before needing to raise capital again, relying on optimistic projections from Wall Street [7] - For 2024, QS plans to begin low-volume production of its QSE-5 prototype batteries, with projected capital expenditures between $70 million and $120 million and an adjusted EBITDA loss of $250 million to $300 million [8]

Beyond Meat produces meat alternatives, while Hormel's business is focused on traditional protein. Only one of these companies currently makes money.If you are the type of investor who likes to buy certain stocks when everyone else is selling them, then you will probably find Beyond Meat (BYND 0.16%) and Hormel Foods (HRL 1.05%) interesting. The problem with investing when there is so-called "blood in the streets," however, is making sure that you're not buying a company facing a very real risk of dying. Wi ...

Core Insights - Beyond Meat has launched its fourth generation of Beyond Burger and Beyond Beef, which are described as the most significant renovation in the company's history, focusing on improved taste and nutrition [1][4][6] Product Features - The new products contain 21g of plant-based protein per serving and only 2g of saturated fat, achieved by using heart-healthy avocado oil, which also enhances flavor [1][3][4] - The ingredient list has been simplified, with a 20% reduction in sodium compared to previous versions, and the removal of coconut and canola oils [3][4] - Consumer testing indicated a preference for the new flavor and texture, with 94% of registered dietitians at a recent conference enjoying the taste and recommending the product [1][2][3] Health Certifications - The new Beyond Burger and Beyond Beef have been recognized by leading health organizations, including the American Diabetes Association and the American Heart Association, for their nutritional benefits [4][5] - The products have also received the Good Housekeeping Nutritionist Approved Emblem and are the first plant-based meats to be Clean Label Project Certified [4] Marketing and Availability - The new products are being marketed with eye-catching gold packaging and are available at major grocery chains across the U.S., including Walmart and Whole Foods [1][7] - Beyond Meat is committed to improving human health and has established a multi-year agreement with the American Cancer Society to research plant-based meat and cancer prevention [6]

Progress may be more challenging for the company than some investors realize.Beyond Meat (BYND -3.91%) went from new industry darling to beaten-down stock over the past few years, and its shares are down a staggering 97% from the high they set soon after the 2019 IPO.The company has been reporting quarter after quarter of declining sales and steep losses, but investors cheered its fourth-quarter earnings report, sending the stock as much as 60% higher. Those gains were short-lived, however, and Beyond Meat ...