Beyond Meat, Inc. (BYND) saw its stock plummet on Monday following the release of its second-quarter financial results. While the company beat Wall Street’s revenue expectations, reporting $93.2 million against an estimated $87.81 million, it missed on its earnings per share target.
The company’s revenue declined by 8.8% year-over-year. Beyond Meat reported a slightly larger-than-expected adjusted loss of 53 cents per share, missing estimates of a 51-cent loss. Despite the underwhelming performance, CEO Ethan Brown expressed optimism for the company’s future, highlighting 2024 as a crucial year for achieving sustainable operations and profitability.
However, the company ended the quarter with a substantial debt burden of $1.1 billion against $158 million in cash. Beyond Meat’s outlook for the full year also remains uncertain, with the company projecting revenue between $320 million and $340 million and a gross margin in the mid-teens range.
The stock has also attracted significant attention from options traders, with a split sentiment observed. While BMO Capital lowered its price target from $9 to $6, reflecting analyst caution, the options market showed a 50% bullish and 41% bearish trading activity.
As of the latest update, Beyond Meat shares were down 7.12%, trading at $5.94, according to Benzinga Pro. The company’s financial performance and its debt burden are likely to be key factors in determining the stock’s trajectory moving forward.
