You should look at your stock investments periodically to see how they are performing. Then, you can take a deeper look at the company to make a decision about whether to stay invested.
Beyond Meat's (BYND 2.43%) stock has had a wild ride this year. If you'd invested a modest $500 a year ago, how much would you have today?
Image source: Getty Images.
Beyond Meat became a meme stock in October following social media posts. The stock closed at $0.52 on Oct. 16, surging to close at $3.62 on Oct. 21. The share price fell back, closing at $1 on Nov. 18.
Looking back over the entire year, Beyond Meat's shares lost 80% through Nov. 18. That means your $500 investment from a year ago would be worth just $100 today.
NASDAQ: BYND
Key Data Points
If you'd chosen to invest in a broad equity index, such as the S&P 500, that same amount would've turned into about $569.
Fundamental weakness
While Beyond Meat's recent price action has made the news, these types of movements are extremely difficult to predict. Long-term investors trying to decide what to do should look at the fundamentals.
Taking a look at Beyond Meat's results should make investors wary. The company's revenue remains under pressure, with the third-quarter top line dropping 13.3% to $70.2 million. Notably, product volume dropped, indicating slackening demand.
Unless investors see evidence of increased consumer demand that drives revenue growth, I'd stay away from Beyond Meat's stock.
