Friday, May 30, 2025

Latest

BMO Launches Coverage On Beyond Meat With $68 Price Target

Beyond Meat (NASDAQ: BYND) gained its 21st analyst coverage at the beginning of February. BMO Capital Markets initiated coverage on the name with a $68 12-month price target, or a 2% return at the time and a market perform rating on the stock. They initially say that they believe Beyond Meat has passed the worst of the macro headwinds, and expect the companies revenue to grow at +20% CAGR over the next three years.

Beyond Meat currently has 21 analysts covering the stock with an average 12-month price target of US$71.94, or a 24% upside to the current stock price. Out of the 21 analysts, 1 has a strong buy rating, 1 has a buy rating, 14 analysts have hold ratings and the last 5 analysts have a sell rating on the stock. The street high sits at U$106, which represents an 83% upside to the current stock price while the lowest 12-month price target comes in at US$45.

BMO believes that Beyond Meat will generate higher sales growth over the long term for a number of reasons. The first one is the very slow increase in demand for plant-based meats as more people shift towards sustainable food products. The second is the first mover and leading market share advantage Beyond Meat currently has.

The third is the ability to appeal to a wider consumer base through better and greater advertising. Fourth is the ability to scale up better retail distribution as it takes market share away from real meat. And the fifth reason is that more foodservice and global restaurant chains are accelerating their partnerships with fake meat companies.

Although BMO is not as bullish as the last paragraph seems, they continue in the note saying, “BYND continues to face pricing headwinds from many angles, including its strategic cost down strategy and its mix shift toward foodservice, particularly QSRs and McDonald’s.” They expect Beyond Meat to struggle to obtain its mid-teens EBITDA and mid-30% gross margins that it seeks out over the long term.

Below you can see BMO’s three-year estimates.


Information for this briefing was found via Sedar and Refinitiv. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply

Video Articles

How To Profit From $3300 Gold? An Inside Look At A Massive 300,000 Oz Project | Martino De Ciccio

We’re At The Start of a Great Silver Boom | Ross McElroy & Andy Bowering – Apollo Silver Corp

Equinox Gold Q1 Earnings: When Everything Goes Wrong

Recommended

ESGold Begins Concentration Tests Ahead Of First Production

Sterling Metals Hits 0.21% Copper Over 482.8 Metres In First Drilling At Soo Copper project

Related News

Cresco Labs: Stifel Raises Price Target To $21.50 Following Bluma Acquisition

Yesterday morning, it was announced that Cresco Labs (CSE: CL) is entering Florida with its...

Friday, January 15, 2021, 11:53:00 AM

Galaxy Digital: BMO Anticipates Contagion From FTX To Impact Firm

As crypto is facing its own Leman Brothers’ moment, with the third largest exchange stopping...

Sunday, November 13, 2022, 05:27:00 PM

Twitter: BMO Raises Prices Target To $70

Twitter Inc (NYSE: TWTR) on July 22 reported their second quarter earnings, beating analysts’ estimates....

Monday, August 2, 2021, 02:02:00 PM

Analysts Downgrade Lundin Mining En Masse After Guidance Update

On November 30th, Lundin Mining (TSX: LUN) provided their long-awaited three-year production guidance for 2021...

Wednesday, December 2, 2020, 12:24:00 PM

BMO Lowers Take-Two Interactive’s Price Target By $75 Following Continuous Delays

Last week Take-Two Interactive (NASDAQ: TTWO) announced that they reiterated their 2022 guidance and outlook....

Wednesday, September 29, 2021, 03:48:00 PM