Beyond Meat: Cash-Rich And Growing Net Income

About: Beyond Meat (BYND), Includes: TSN


Bilbao Asset Management

via Seeking Alpha - Dec. 4, 2018




         Meat offers new and revolutionary plant-based meats. With meat that tastes like animal-based meat products, Beyond Meat is also able to offer the nutritional benefits of eating plant-based meat products.


         The companyís financial situation is quite solid with a small amount of debt and cash comprising of 44% of the total amount of assets.


         Reporting a 101% y/y increase in revenues to approximately $33 million, the companyís product seems quite unique.


         The company expects to use the proceeds from the IPO to finance manufacturing facilities, increase its R&D, sales and marketing capabilities and perhaps acquire other businesses.


         If the company continues delivering revenue growth and the upward trend in the net income doesnít stop, BYNDís stock price could increase in the near future.


With a massive increase in revenues in 2017, equal to 101% y/y, Beyond Meat (BYND) shows a financial profile that will interest many investors. The companyís net income is not positive, but losses have been decreasing at high pace in 2017 and 2018. If this upward trend at the bottom line continues, the stock price of Beyond Meat should increase as growth investors buy. Regarding the financial situation, investors should appreciate that cash comprises of 44% of the total amount of assets. In addition, the company seems well placed to pursue business growth since, as of today, the financial debt is quite small.