Wall Street is driven by emotions over the short term, which can result in very interesting price movements for some stocks. Beyond Meat (BYND +2.00%) is an example where emotions may have overtaken the actual fundamentals of the business, driving the stock price. Before you get on this roller coaster ride, here are three facts about Beyond Meat to consider.
1. Beyond Meat just sells one thing
When Beyond Meat held its initial public offering (IPO), its products were in high demand. Essentially, it produces meat alternatives that amount to vegetable burgers and similar fare. The big story is that these products are supposed to taste like real meat. Whether Beyond Meat's products taste like meat or not is a matter of personal taste, but the fact that Beyond Meat isn't the only company making meat alternatives is just a cold, hard truth.
Image source: Getty Images.
In fact, it wasn't even the first company to produce such products. The excitement around the stock was driven by the fact that, for some reason, Beyond Meat's products, specifically its burgers, caught the attention of consumers. Early on, it seemed that everyone wanted to try one of the company's burgers. That initial rush of demand, as with so many other fads, didn't last.
Pet rocks, Cabbage Patch dolls, and Beanie Babies are all examples of fads that soared to life and flamed out. It is, for better or worse, a typical pattern with human beings. Ultimately, it turns out that humans still enjoy eating meat.
2. Beyond Meat's volume is the big tell
The easiest way to gauge demand for Beyond Meat is to examine the volume of the product it sells. The company reports the number every single quarter. In the third quarter of 2025, volume fell 10.3% across the business, with double-digit declines in the U.S. retail, U.S. food service, and foreign retail divisions. The only positive was a 4% or so increase in foreign food service volume.
Looking back over the first nine months of 2025, however, every segment of the business saw volume declines. The total decline through that span was 13.8%. That comes on top of a decline of 10.3% in 2024, with all business segments falling. Full-year 2023 volumes were also down notably, falling by 8.1%. However, international expansion during that period, particularly in the food service segment, helped to soften the blow from double-digit declines in U.S. volumes.
You have to go all the way back to 2022 to see a volume increase. That increase, however, was a tiny 0.4%. This is not a business that is performing well on a fundamental level.
NASDAQ: BYND
Key Data Points
3. Beyond Meat doesn't make money
Beyond Meat's products aren't resonating and haven't for at least a couple of years. That's a significant problem because the company has also struggled to turn a profit on an annual basis. It is awfully hard to run a business that loses money and has a product that is seeing less and less demand.
The situation came to a head recently when the company had to do a debt exchange around its convertible debt. It ended up issuing shares to existing convertible bondholders even as it went from a zero-interest rate convertible loan to an interest rate of 7%. That's something that only a struggling company would need to do, since the company basically had to entice the bondholders with stock to get them to agree to the debt swap.
Following that balance sheet move, Beyond Meat postponed its third quarter earnings report because it needed to write down the value of long-lived assets. Companies do that all the time, but a $77.4 million impairment charge for a money-losing company that is facing ongoing demand declines for its only product is very concerning.
Don't let an investing fad get the best of you
At this point, it appears that Beyond Meat's non-meat burgers were something of a food fad. However, there's another level here, since Beyond Meat's stock briefly entered the meme stock investing fad, too. Essentially, emotions drove the stock's price higher.
Given the weak business story, all but the most aggressive investors should probably avoid Beyond Meat. However, even for risk-takers, the stock looks more like a gamble than an investment.
