Beyond Meat’s share price fell below US$ 1 yesterday for the first time in its history, after having reached a peak of US$ 230 per share six years ago, when the idea that plant-based protein foods would take a significant share of the animal protein market was widely embraced.
Today, the view is quite different. The prevailing belief is that what harms human health are ultra-processed foods, and that —contrary to what was claimed some years ago, even by the FAO— meat is not only a healthy food but also essential for childhood development.
The final blow this week came from TD Cowen, a U.S. investment bank, which downgraded its price target for Beyond Meat shares from US$ 2.00 to US$ 0.80. The stock closed yesterday at US$ 0.78, down more than 60% from the previous week.
It has been a long downward spiral for the company, which —since going public— has never recorded a profitable year.
In an article in Global Data, Simon Harvey wrote that “alt-meat sales have dwindled, not just in the US but further afield. The much-publicized issues around taste, texture, mouthfeel, and price have been the main culprits, which defeated the lofty aspirations of industry players and avid investors”.
