Beyond Meat is expected to see increased capex spend and pandemic-induced disruptions weigh on earnings.
When is Beyond Meat’s earnings date?
Beyond Meat, the food company that offers plant-based meat, is expected to release earnings on 5 August 2021. The scheduled results will cover the group's second-quarter (Q2) and half-year earnings.
Beyond Meat results preview: what does the Street expect?
While Beyond Meat’s comparative quarter (Q2 2020) benefitted from a surge in sales as pandemic induced fears equated to bulk buying of products, the most recent quarter (Q2 2021) is expected to see supply chain disruptions amidst increased capital investment in product promotions having negatively affected group earnings.
In turn, a high base of comparison meets an increased cost-based to keep earnings firmly within a loss-making territory.
In terms of the upcoming results, a mean of analyst estimates compiled by Refinitiv data arrive at the following:
- Revenue: $140.77 million (+24.2% year on year)
- Earnings before interest, taxes, depreciation and amortisation (EBITDA): -$10.84 million
- Loss per share: $0.23 (+10.87% year on year)
How to trade Beyond Meat results
A Refinitiv poll of analyst ratings has a long-term consensus rating of ‘hold’ for Beyond Meat, with a target price of $128.64. The current price trading relatively close to the longer-term analyst target suggests that the company currently trades near to what is deemed fair value.
Beyond Meat share price: technical analysis
The Beyond Meat share price has been trading in a broad range for the last nine months, with the lower level of support of this range at 102.00 and the upper level of resistance at 158.20.
Source: IG charts
In the near term, we see the price falling towards the 117.20 level. A close below this level would consider 102.00 the next downside support target from the move. Should the 117.20 level not be broken, and a bullish reversal manifests instead (supported by a sharp move out of oversold territory), 143.00 would become the favoured upside resistance target from the move.
- Beyond Meat is scheduled to release Q2 2021 results on 5 August 2021
- Revenue of $140.77 million is expected for the quarter
- A loss per share of $0.23 is expected for the quarter
- The average broker rating for Beyond Meat is ‘hold’
- The mean of analyst price targets suggest $128.64 as long-term fair value
- The share price of Beyond Meat continues to trade within a broad range, between levels 102.00 and 158.2
Shaun Murison | Senior Market Analyst, Johannesburg
29 July 2021