In the last year, Beyond Meat has had its fair share of ups and downs, to say the least. From 234.90 USD in July 2019 to ending the year at 75.60 USD in share price, all is not well with the company’s sustainable growth.
Declining sales have mostly kept a foot on the brakes of the company and it’s tough to forecast what the distant future holds for Beyond Meat Inc. This decline has turned many investors’ eyes towards it and some have bet against the company by buying the ‘put’ option. Here’s where it gets interesting!
While the company did end the earlier decade at 75.60 USD in share price, this figure has risen to 118.64 USD already, as of January 24th, 2020. The company has clearly got off to a flying start this year and the prospects are rather looking amazing for the rest of the year.
On January 21st, 2020, Starbucks announced that it is looking forward to adding more plant-based food items to its menu. This announcement alone has soared the stock value of Beyond Meat up by 15%.
It is not surprising that a bold move from one of the coffee giants sparked market dynamics. Such a move is widely regarded as a trend and there’s only a few trendier than Beyond Meat’s Mock Meat Burgers.
Amid the sudden growth of Beyond Meat, one young investor found the hard way out as to why you should not be betting against the company.
The above picture is a screenshot shared by a 23-year old Reddit user who bought the ‘put’ option against the company and lost a whopping 12,000 USD. As big as a loss it would have been for the young investor, it just comes to show how the overall US stock market is growing steadily.
As reported by The Wall Street Journal, the US stock market has already recouped for steep losses and is expected to only go higher from here. Thus, it’s plausible that even those companies that are falling in value or are expected to fall will eventually rise back.
Beyond Meat Inc. is one of those companies that have already started to rise from their lows and are only expected to go higher from here.