Beyond Meat (BYND) will report first fiscal quarter (March) results and its first report as a publicly traded company this afternoon.
Beyond Meat is a leader in plant-based meat, best known for its Beyond Burger.
The stock has been on an absolute tear since pricing 9.6 mln shares in an IPO at $25 one month ago. The stock has more than doubled since opening at $46 on its first day of trading as momentum traders have piled in. The market loves the company's high sales growth supported by the secular trend toward more sustainable foods.
S&P Capital IQ Consensus calls for EPS of ($0.15) with revenue up 203% to $38.9 mln.
Analysts expect second quarter EPS of ($0.12) with revenue up 178% to $48.3 mln.
Beyond Meat is expected to report FY19 EPS of ($0.41) with revenue up 133% to $205 mln this year after growing revenue 170% to $88 mln last year.
S3 Partners has reported that just over half of the 10 mln share float is sold short.
The tight float (limited supply) can contribute to initial strength and short squeezes in hot IPOs. The lockup expiration will come in late October.
Beyond Meats' primarily rival is Impossible Foods, which reportedly raised $300 mln at a $2 bln valuation two weeks ago.
Beyond Meat's valuation is beyond aggressive for a consumer packaged goods company.
TECHS:
With a $5.7 bln market cap, the stock trades at ~28x sales or 17x FY20 sales estimates, which would make it one of the most expensive software stocks despite a ~30% gross margin and far fewer barriers to entry.
The stock found support at the 10-day EMA in late May.
RESULTS:
Beyond Meat prelim Q1 ($0.14) vs ($0.15) S&P Capital IQ Consensus Estimate; revs $40.2 mln vs $38.93 mln S&P Capital IQ Consensus and $38-40 mln preannouncement.
Beyond Meat sees FY19 rev exceeding $210 mln vs $204.92 mln S&P Capital IQ Consensus Estimate; breakeven EBITDA
Topped consensus for EPS and revs (+214.1% yr/yr to $40.2 mln), exceeding its pre-announced revenue target primarily due to an increase in sales of The Beyond Burger, in its Q1 report -- its first since going public. Fresh segment revs increased +304.4% yr/yr to $38.8 mln while the Frozen segment dropped 5% yr/yr to $4.5 mln in connection with co's discontinuation of its frozen chicken strips product during the quarter. Issued upside guidance for FY19 revs. Continues to remain focused on increasing brand awareness, expanding its distribution channels, launching products, and investing in capacity and infrastructure. Leaps to new all-time highs.
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