Categories Consumer, Markets, Retail

Beyond Meat’s stock crashes after JP Morgan downgrade

Shares of Beyond Meat Inc. (NASDAQ: BYND) were down over 20% in morning hours on Tuesday after JP Morgan downgraded the stock from Overweight to Neutral. The firm has set its price target at $120.

JP Morgan was the lead underwriter for Beyond Meat’s IPO which took place in May. Analyst Ken Goldman hinted in a note that the stock is too expensive. On Monday, the stock jumped over 600% from its IPO price of $25.

The stock price is said to have exceeded the price target of every Wall Street analyst. According to a report by CNBC, short sellers lost over $400 million betting against the stock.

Last week, Beyond Meat reported its first quarter 2019 results, in which the company reported a 215% increase in revenue to $40.2 million. Net loss widened to $6.6 million while loss per share narrowed to $0.95.

For the full year of 2019, the company has guided for revenues to increase more than 140% to $210 million. Adjusted EBITDA is projected to be about break-even.

Follow our Google News edition to get the latest stock market, earnings and financial news at your fingertips.

Most Popular

Does Unity Software (U) stock has more room to run?

Last month, the IPO market was in a full swing. IPOs of Snowflake (NYSE: SNOW) and JFROG (NASDAQ: FROG) had an impressive opening day in September, the former creating a

PepsiCo (PEP): Steady snacking habits amid pandemic drive strong quarter for beverage giant

PepsiCo Inc. (NASDAQ: PEP) beat market expectations on both revenue and earnings for the third quarter of 2020. The company saw the momentum continue in its snacks business while the

Does the virus-driven boom make Electronic Arts (EA) a good investment?

With more and more people turning to virtual entertainment sources, amid the virus-related movement restrictions, video game publishers like Electronic Arts (NASDAQ: EA) are witnessing unusually high demand. Not surprisingly,

Leave a Reply

Your email address will not be published.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

Add Comment
Loading...

Cancel
Viewing Highlight
Loading...
Highlight
Close
Top