"In the past week, Beyond Meat ( NASDAQ:BYND ) stock has been a rollercoaster, skyrocketing from a low of $0.50 per share to a high of $7.69, a staggering 1,438% surge. This meteoric rise was fueled by a combination of factors: inclusion in the Roundhill Meme Stock ETF ( NYSEARCA:MEME ), an expanded partnership with Walmart ( ) to offer a new Beyond Burger 6-pack in over 2,000 stores, and Bank of America 's nod as a Reddit meme stock to watch."
"For BYND, the inclusion in the Roundhill Meme Stock ETF capitalized on online buzz, not operational success. Similarly, Bank of America's watchlist mention echoes 2021's volatility, when BYND soared before crashing 47% by year-end. These catalysts are fleeting, offering no lasting value. The Walmart partnership, while seemingly positive, doesn't address the core issue: declining demand for plant-based meat. Investors chasing these short-term triggers risk buying at inflated prices, only to face steep losses when the momentum fades, as history shows with other meme stock corrections."
Beyond Meat's stock surged from $0.50 to $7.69, a 1,438% increase propelled by inclusion in the Roundhill Meme Stock ETF, a Walmart partnership, and Bank of America mention. A classic short squeeze amplified the rally as high short interest forced sellers to cover, then the stock tumbled nearly 20% to below $2.90 in morning trading. The run mirrors prior meme-stock episodes like AMC and GameStop, driven by social-media hype often detached from fundamentals. Beyond Meat reported a 20% year-over-year revenue decline in Q2, missed guidance by 9%, and continues to record sliding net revenues and recurring losses. Declining demand in the plant-based meat market worsens the outlook, raising risks for momentum-driven investors.
Read at 24/7 Wall St.
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