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Jun 11, 2019
Beyond Meat (BYND, $133.79) gets downgraded to "neutral" by JP Morgan on lofty valuation concerns

Beyond Meat (BYND, $133.79) gets downgraded to "neutral" by JP Morgan on lofty valuation concerns

On Tuesday, Beyond Meat got a rating downgrade from J.P. Morgan analysts.

Since their IPO in May 3, shares of the plant-based meat substitutes producer has skyrocketed around +600% – something that J.P. Morgan feels reflects a valuation that could potentially make the company vulnerable to a substantial correction in the event of any hiccup in performance. The investment bank downgraded the stock to “neutral” from “overweight” and maintained its price target of $120.

However, J.P. Morgan has also indicated that it is not keen on an “underweight” rating on Beyond Meat at this point, since it is hopeful that the latter’s 2019 fundamentals are likely to surpass the Street expectations. The bank’s perceived downside risk to Beyond Meat is based on an estimated long-term growth path.  

Beyond Meat's plant-based foods are expected to more than double its revenue over the next two years, as indicated by the company last week.

Following the rating downgrade by J.P. Morgan, Beyond Meat shares lost -20% on Tuesday.

 

Related Ticker: BYND

Momentum Indicator for BYND turns negative, indicating new downward trend

BYND saw its Momentum Indicator move below the 0 level on July 09, 2026. This is an indication that the stock could be shifting in to a new downward move. Traders may want to consider selling the stock or exploring put options. Tickeron's A.I.dvisor looked at 94 similar instances where the indicator turned negative. In of the 94 cases, the stock moved further down in the following days. The odds of a decline are at .

Price Prediction Chart

Technical Analysis (Indicators)

Bearish Trend Analysis

The Moving Average Convergence Divergence Histogram (MACD) for BYND turned negative on July 10, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 41 similar instances when the indicator turned negative. In of the 41 cases the stock turned lower in the days that followed. This puts the odds of success at .

Following a 3-day decline, the stock is projected to fall further. Considering past instances where BYND declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .

The Aroon Indicator for BYND entered a downward trend on July 07, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.

Bullish Trend Analysis

The RSI Indicator entered the oversold zone -- be on the watch for BYND's price rising or consolidating in the future. That's also the time to consider buying the stock or exploring call options.

The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 6 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.

Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BYND advanced for three days, in of 231 cases, the price rose further within the following month. The odds of a continued upward trend are .

BYND may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.

Fundamental Analysis (Ratings)

The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating slightly worse than average price growth. BYND’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.000) is normal, around the industry mean (5.130). P/E Ratio (0.000) is within average values for comparable stocks, (36.338). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.925). BYND has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.056). P/S Ratio (0.615) is also within normal values, averaging (8.900).

The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. BYND’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 92, placing this stock worse than average.

Notable companies

The most notable companies in this group are Kraft Heinz Company (The) (NASDAQ:KHC), General Mills (NYSE:GIS), The Campbell's Company (NASDAQ:CPB), Beyond Meat (NASDAQ:BYND).

Industry description

Companies in this industry usually make a diverse range of agricultural and/or processed food. Some prominent names in this segment are Mondelez International, which makes chocolates, biscuits, cookies etc. The Kraft Heinz Company specializes in ketchups, sauces, fruit drink pouches and many more. General Mills, Inc. sells flour and cereal. Kellogg is famous for its snacks and breakfast cereal. And so on down the line. As more and more consumers are looking for healthier options in food in recent years, several legacy food companies have responded by revamping brands to include organic and no-added-sugar versions, and/or acquiring healthy food firms, and even streamlining operations.

Market Cap

The average market capitalization across the Food: Major Diversified Industry is 3.15B. The market cap for tickers in the group ranges from 68.52K to 255.67B. NSRGY holds the highest valuation in this group at 255.67B. The lowest valued company is THRC at 68.52K.

High and low price notable news

The average weekly price growth across all stocks in the Food: Major Diversified Industry was -3%. For the same Industry, the average monthly price growth was -5%, and the average quarterly price growth was -14%. ATPC experienced the highest price growth at 13%, while DDC experienced the biggest fall at -28%.

Volume

The average weekly volume growth across all stocks in the Food: Major Diversified Industry was -12%. For the same stocks of the Industry, the average monthly volume growth was -68% and the average quarterly volume growth was -44%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 48
P/E Growth Rating: 65
Price Growth Rating: 61
SMR Rating: 79
Profit Risk Rating: 91
Seasonality Score: 14 (-100 ... +100)
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Last 5 trading days
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General Information

a company, which offers plant-based meat products

Industry FoodMajorDiversified

Profile
Details
Industry
Food Meat Or Fish Or Dairy
Address
888 N. Douglas Street
Phone
+1 866 756-4112
Employees
639
Web
https://www.beyondmeat.com
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