This is not a recommendation to buy or sell. Stocks are risky and not suitable for everybody. Please do your own research.
Cut & Paste from WSJ
By Jacob Bunge/WSJ
Updated Oct. 28, 2019 6:09 pm ET
Beyond Meat Inc. is doubling down on marketing the nutritional value and environmentally friendly production of its meat alternatives in the face of growing competition to sell plant-based burgers, including from some of the biggest food companies.
Beyond and Impossible Foods Inc. have revolutionized the veggie burger business, replacing mushroom and bean patties of the past with new versions built from pea and soy proteins, which more closely mimic beefâs juiciness and sizzle. The new products have made the meatless niche one of the hottest-growing corners of the food business: Meat alternative sales grew 9.2% over the 52 weeks ended Aug. 24 to $925 million, according to Nielsen, while traditional meat sales grew 1.9% to about $95 billion.
That expansion helped make Beyond one of the yearâs most successful initial public offerings. Beyond on Monday reported its first quarterly profit, net income of $4.1 million, or 6 cents a share, for the three months ended Sept. 28. Sales more than tripled to $92 million for the period.
Beyondâs Chief Executive Ethan Brown said he isnât threatened by the fresh competition from established food companies.
âHistoryâs replete with examples of companies that have tried to unseat the disrupter and have been unable to do so,â he said in an interview.
Mr. Brown said Beyond will continue to market its plant-based proteins as better than traditional meat for both consumersâ health and the environment. He said Beyond is developing celebrity-centric promotions to help spread the word.
Since going public in May, Beyond Meat has signed up some of the worldâs biggest restaurant chains to serve its yellow-pea and coconut-oil-based patties. Dunkinâ Brands Group Inc. this month confirmed it would sell Beyond breakfast sandwiches nationwide. In late September McDonaldâs Corp. began testing a Beyond patty in Canada. Dennyâs Corp. on Monday said it would introduce Beyond burgers in Los Angeles.
Not every launch has been a success. In September, Restaurant Brands International Inc. âs Canadian chain Tim Hortons said it didnât plan to continue selling Beyond burgers after a limited-time offer ended, and the offering didnât boost sales for the brand in third-quarter earnings reported Monday. It is still selling breakfast patties with Beyondâs imitation sausage but has scaled back the number of restaurants.
Mr. Brown said Beyond hasnât lowered its prices in response to rising competition. The company wants eventually to match or beat the price of at least one traditional meat product. Cattle ranchers and hog farmers are pushing back by questioning the plant-based burgersâ nutritional value and encouraging regulators to defend their turf. Congressmen from Kansas and New York on Monday introduced a bill that would establish a federal definition of beef, require the FDA to âclarify the imitation natureâ of meat alternatives, and give the U.S. Department of Agriculture more power to police misbranding.
Michele Simon, executive director of the Plant Based Foods Association, said more meatless options are good for the sector, helping propel the products into the eating mainstream.
Beyondâs stock rocketed higher after the companyâs May 1 initial public offering at $25 a share, peaking at $239.71 in late July. Shares fell after some investors sold stock in early August, alongside a secondary offering and rising competition. In the last three months, Beyond shares have lost more than half their value, closing Monday at $105.41. The company remains one of the most heavily shorted among public debuts this year.
On Tuesday, a restriction on insider stock sales will lift, freeing up about 49 million Beyond shares to be traded, about 77% of shares outstanding. Mr. Brown said he doesnât plan to sell any of his own shares and hasnât asked Beyond employees to hold off on selling. The end of the lockup sent shares down 8% in after-hours trading.
Some analysts see the growing competition as Beyondâs biggest challenge. In North Palm Beach, Fla., executives for gourmet hamburger chain BurgerFi have been inundated with pitches from makers of plant-based patties, said Steve Lieber, the chainâs head of business development.
For now, BurgerFi is sticking with Beyond burgers, which Mr. Lieber said generate about 5% of the chainâs sales. But, he said, âThe competition is going to be great because hopefully weâll wind up getting better products.â
Twilio earnings for the third quarter fell from a year earlier as company guidance fell short of Wall Street targets. Twilio stock plunged in extended trading on Wednesday on weak December quarter outlook.
When FA is not good, TA will not come into picture.
Buy the DIP is best when FA is good and stock drops.
That was what happened with AMZN and BYND, FA was good, but stock dropped (traders fear - who did not study/research properly - after results)
@jil I think you are mixing long term and short term. Are you expecting long term price point to be achieved in hrs or days? And mixing possibilities with certainty?
no. Just illustrating TA is for very short term to very long term. Just have to use the right charts.
Since you like AMZN, below are charts for AMZN investors and swing traders. As you can see, swing traders would have sold AMZN in Oct 2018 while investors would do nothing.
I am not mixing both. I see your AAPL Elliot wave, but I am not so much expert on EW, yet reading the book now. Any way, it is beyond my level.
[quote=âhanera, post:2921, topic:2789â]
As you can see, swing traders would have sold AMZN in Oct 2018 while investors would do nothing.[/quote]
Correct, but swing trading gives the benefit to buy at dip. If you remember that I told bulk purchase done on 12/26/2018. I got AMZN at 1376.14, but sold around $1900, waited for next opportunity, bought at $1650. The spread between $1650 and $1900 is the benefit of swing trade.
âBut for the current quarter ending Dec. 31, Twilio forecast revenue in a range of $311 million to $314 million vs. estimates of $322 million. The company said it expects profit of 1 cent to 2 cents vs. estimates of 7 cents.â
The reason for TWLO drop. It closed after hours back above $99, buying at $90 would have been an easy 10% profit in less than 2 hours. Itâs crazy how stocks are bouncing back well off the after hours lows.