Beyond Meat $BYND stock fell another -9% on November 9, 2022, after reporting Q3 2022 results. Unusually large dark pool trades occurred in the stock that look like well timed selling back at the end of August 2022 and early September 2022.
Dark Pool Trades In Beyond Meat $BYND Stock
Dark pool trades occurred in Beyond Meat $BYND stock on August 25, 2022, and September 7, 2022. The unusually large dark pool trade on August 25, 2022, was valued at $19 million. The September 7, 2022, dark pool trade was worth $15 million. We think both dark pool trades were well-timed selling out of Beyond Meat $BYND stock by an institutional investor.
Make sure to review this lesson on dark pool trading so that you understand the chart above.
Look at those perfectly timed dark pool trades out of $BYND stock. Folks, this is why we track dark pool orders. Unusually large dark pool trades have the uncanny power of predicting future stock direction. The reason is that dark pool trades are most often institutional investment firms seeking to hide their buying and/or selling.
Beyond Meat Reports Third Quarter 2022 Financial Results
On November 9, 2022, Beyond Meat (NASDAQ: BYND) reported financial results for its third quarter ended October 1, 2022. The company missed on both EPS and revenue. Beyond Meat reported Q3 EPS of ($1.60) versus the consensus estimate of ($1.14). The company reported Q3 revenue of $82.5M versus the consensus estimate of $98.11M.
Beyond Meat cuts its FY22 revenue forecast to $400M-$425M from $470M-$520M. The consensus forecast was $453.35M.
The company said, “The Company’s operating environment continues to be affected by near-term uncertainty related to macroeconomic issues, including inflation and rising interest rates, increasing concerns about the likelihood of a recession, COVID-19 and its potential impact on consumer behavior and demand levels, challenges related to labor availability and supply chain disruptions, partially attributable to recent geopolitical tensions, and increased competition. Management’s outlook considers the potential impact from these factors assuming present day conditions, but the Company acknowledges its operating results may differ materially from the expectations set forth below if its assumptions related to the aforementioned variables, among others, do not materialize. Based on management’s best assessment of the environment today, the Company is providing the following outlook: 2022 net revenues are expected to be in the range of approximately $400 million to $425 million, representing a decrease of approximately 14% to 9% compared to 2021. On October 14, 2022, the Company announced a reduction-in-force affecting approximately 19% of its global workforce. As a result, the Company estimates that it will incur one-time cash charges of approximately $4 million in connection with the reduction-in-force, primarily consisting of notice period and severance payments, employee benefits, and related costs. The majority of these charges will be incurred in the fourth quarter 2022, and the Company expects the reduction-in-force to be substantially complete by the end of 2022, subject to local law and consultation requirements, which may extend the process beyond the end of 2022 in certain countries.”
Beyond Meat expands chicken portfolio with Chicken Nuggets, Popcorn Chicken
On November 7, 2022, Beyond Meat (BYND) launched Beyond Chicken Nuggets and Beyond Popcorn Chicken, the latest additions to Beyond Meat’s chicken platform that also includes Beyond Chicken Tenders. The new plant-based chicken products will launch at more than 5,000 Kroger (KR) and Walmart (WMT) stores nationwide, as well as at select Albertsons (ACI) and Ahold divisions and other retailers across the country.
Beyond Meat stock continues to fall after COO’s arrest for biting man’s nose
Beyond Meat $BYND Stock Technical Analysis
Beyond Meat $BYND stock is in a technical strong downtrend. Long-term indicators suggest a continuation of the downtrend. Short-term indicators suggest that the stock is approaching oversold territory. Be watchful of a bounce or even trend reversal.
I completely disagree with categorizing Beyond Meat $BYND stock as a consumer defensive stock because it involves food. Just like with Krispy Kreme, Beyond Meat is an elastic product substitution stock where something cheaper can be purchased during a recession. My logic is “Yeah, people have to eat. But they don’t have to eat more expensive plant based meat!”