CS downgrades Beyond Meat, says 'plant-based meat fails to sprout'

BYND Cannasoft Enterprises

26/10/2021 10:10

** Shares of plant-based meat producer  BYND.O  down ~3% at
$93.20 premarket
    ** Credit Suisse downgrades BYND to "underperform" from
"neutral" following co's bleak Q3 rev forecast, last Friday
    ** BYND on Oct. 22 cut its Q3 rev forecast, blaming a host
of factors including a drop in demand from grocery stores and a
labor shortage that led to delays in restocking shelves
 urn:newsml:reuters.com:*:nL4N2RI34N
    ** CS says Q3 rev outlook reinforces brokerage's view that
BYND is reaching market saturation faster than expected and will
miss its internal growth targets
    ** "This year's spate of management departures and many
factors cited for the revenue shortfall suggest deeper problems
that won't be quick to fix" - CS
    **  Brokerage expects BYND's operational challenges in 2021
may hurt co's credibility with large QSR (quick service
restaurant) chains like McDonald's  MCD.N  to meet volume
commitments
    ** CS cuts BYND PT to $75 from $123
    ** Of 18 brokerages, two rate the stock "strongbuy", ten
"hold" and six "sell"; median PT is $95 - Refinitiv data
    

 (Reporting by Siddarth S)
 ((Siddarth.s@thomsonreuters.com;))