Beyond Meat Is a Terrible Company

"Bondholders will receive up to 325 million shares of its common stock. "The early tender results of its previously announced exchange offer to exchange any and all of its 0% Convertible Senior Notes due 2027, for a pro rata portion of up to $202.5 million in aggregate principal amount of its new 7.00% Convertible Senior Secured Second Lien PIK Toggle Notes due 2030 and up to 326,190,370 shares of its common stock," Beyond Meat announced."

"After that announcement, the stock promptly dropped from $2.28 to $0.50 a share. It then climbed as high as $7.69. Part of the run was apparently because it made a deal with Walmart to have its products in 2,000 stores. Of course, that does not mean anyone will buy it. Beyond Meat's revenue dropped to $75 million in the most recently reported quarter from $93 million in the same quarter a year ago. It lost $35 million."

"The value proposition when Beyond Meat went public on May 2, 1999, was that people would buy meat made from vegetables instead of traditional meat from beef cattle. In reality, Beyond Meat products were expensive. With a long list of ingredients, it was heavily processed. People ended up puzzled about the ingredients. In theory, it was healthier than traditional meat. However, very few people wanted anything beyond the real deal."

Beyond Meat experienced a 450% stock surge in a week amid extreme volatility while core fundamentals remain weak. The company extended convertible debt from 2027 to 2030 and offered new notes plus up to 326,190,370 common shares, creating significant dilution risk. Most recent quarterly revenue declined to $75 million from $93 million year-over-year, with a $35 million loss. Products are positioned as plant-based meat alternatives but are expensive, heavily processed, and have generated limited consumer demand. A Walmart placement in 2,000 stores may not translate into sustained sales. Stock moves appear driven by speculation rather than improving operating performance.

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