The future of food is Beyond Meat
Added: (Wed Jun 12 2019)
Pressbox (Press Release) -
Whole Foods CEO Walter Robb has recently shared his positive outlook on Beyond Meat, saying that it is a direct representation of the future of food, and the industry as a whole. However Robb has not gone into details regarding the company’s extraordinary valuation just yet. Robb said in a recent note to investors “Fundamentally you have a business here that is real and that is in the early innings, Beyond Meat have sales orders for the next two or three years in the fast food industry and the grocery industry.”
This is of course great news for investors, as positive order numbers, especially for a new startup company reflect especially well on the future.
Walter Robb served as the co-CEO of Whole foods for 25 years until 2016. Robb is currently working as an advisor of sorts for many new up and coming companies as a new firm called Stonewall Robb. On Monday Beyond Meat broke through their $10 Billion USD market cap. Shares of the company showed a great positive increase by over 25% in Monday’s session as the company announced a new batch of ground beef products at one of their Whole Foods locations.
Robb continued to say that “I got early numbers on their new products this morning from Seth and they look pretty good” referring to Beyond Meat executive chairman Seth Goldman. However not everyone has been sharing the same positive thoughts, as on Tuesday JPMorgan slashed their rating on Beyond Meat and now are sitting at neutral. This caused the company’s share price to show a significant decline by 19%. JPMorgan analyst Ken Goldman said “At some point, the extraordinary revenue and profit potential embedded in Beyond Meat… will be priced in — we think this day has arrived,” Goldman continued to say that Beyond Meats current valuation is based on assumptions, which has made him uncomfortable making at the moment.
In spite of the positive and negative news surrounding Beyond Meat the company’s share price is still on a positive trend upwards with over 110% increase since its initial IPO in May. Investors have got very positive views on Beyond Meat with a great outlook for 2020, and with a deal with fast food chain McDonalds in the wing Beyond Meat could be set for a big bright future.
Xing Fai – AMT Associates