If You'd Invested $100 in Beyond Meat (BYND) Stock 5 Years Ago, Here's How Much You'd Have Today (Spoiler: It's Shocking!)

• Beyond Meat, the erstwhile high-flying maturation stock, is present a cautionary tale.

• The institution has failed to grow its marketplace accidental and is simply a risky proposition going forward.

• 10 stocks we similar amended than Beyond Meat ›

Just a fewer years ago, the request for plant-based nutrient products was exploding with the brands serving this marketplace enjoying awesome growth. A archetypal mover successful this abstraction was Beyond Meat (NASDAQ: BYND), which debuted connected the banal marketplace successful May 2019 astatine $25 per stock lone to surge to astir $67 connected its archetypal time of trading.

By November of the pursuing year, the banal had doubled to much than $140 per share. Unfortunately, if you'd invested $100 successful Beyond Meat astatine that time, you'd beryllium sitting connected a presumption worthy ... $0.72 arsenic of this writing. You'd person mislaid much than 99% of your concern implicit the past 5 years. Yikes!

What happened with Beyond Meat? A glimpse astatine its latest net study offers immoderate insight: Revenue declined 13% twelvemonth implicit twelvemonth to $70.2 million, and its gross borderline shrank 7.4 percent points to 10.3%. Its nett nonaccomplishment was $110.7 million. Excluding non-cash impairment charges and different one-off items, the institution inactive saw a nett nonaccomplishment of $29.5 million. Put simply, the institution is not firing connected each cylinders -- oregon possibly immoderate cylinders.

As Motley Fool contributor Timothy Green precocious pointed out, the institution continues to endure from brushed request for its products, and successful the look of rising competition, it hasn't been capable to marque its products basal retired capable to warrant premium prices.

With shares down 73% twelvemonth to date, you whitethorn beryllium wondering if the banal is present undervalued, making it a bully buy. Its price-to-sales ratio is conscionable 0.26, aft all. However, debased valuation multiples don't ever constituent to bargains. In this case, Beyond Meat looks much similar a worth trap than a worth play.

So if you find yourself with dense losses successful Beyond Meat, determination are fewer signs a palmy turnaround is taking shape. You whitethorn beryllium amended disconnected taking the nonaccomplishment this twelvemonth and putting what wealth you person remaining successful a genuinely breathtaking and promising stock.

Before you bargain banal successful Beyond Meat, see this:

The Motley Fool Stock Advisor expert squad conscionable identified what they judge are the 10 champion stocks for investors to bargain now… and Beyond Meat wasn’t 1 of them. The 10 stocks that made the chopped could nutrient monster returns successful the coming years.

Consider erstwhile Netflix made this database connected December 17, 2004... if you invested $1,000 astatine the clip of our recommendation, you’d person $580,171!* Or erstwhile Nvidia made this database connected April 15, 2005... if you invested $1,000 astatine the clip of our recommendation, you’d person $1,084,986!*