As Stock Plunges, Beyond Meat CEO Says Relationship With McDonald's 'Very Strong'
Plant-based meat producer Beyond Meat Inc’s (NASDAQ: BYND) stock spiraled 16.9% downwards Tuesday. The selloff was triggered when McDonald’s Corp (NYSE: MCD) did not name Beyond Meat as one of the suppliers for its plant-based product line, McPlant.
What Happened: Beyond Meat investors panicked over fears of potential competition from McDonald’s in the plant-based meat substitutes market, CNBC reports based on Wall Street analysts’ comments.
McDonald’s plant-based meat supplier is still not made public, leading to speculations over its business strategies and product mix.
Select McDonald outlets could restart the meat-free foods in 2021. USA TODAY quoted McDonald’s international president Ian Borden by stating the McPlant lineup is “crafted exclusively for McDonald’s, by McDonald’s.”
In discussion with Jim Crammer on Mad Money show Tuesday, CEO of Beyond Meat, Ethan Brown said, “I believe our relationship with McDonald’s is very strong. We’re involved with McDonald’s on a number of different fronts.”
Brown also said that Beyond Meat is “doing things now to prepare for things in the future that involve McDonlad’s.”
He did not clearly say if BYND was the chosen supplier.
Plant-based meat producer Beyond Meat Inc’s (NASDAQ: BYND) stock spiraled 16.9% downwards Tuesday. The selloff was triggered when McDonald’s Corp (NYSE: MCD) did not name Beyond Meat as one of the suppliers for its plant-based product line, McPlant.
What Happened: Beyond Meat investors panicked over fears of potential competition from McDonald’s in the plant-based meat substitutes market, CNBC reports based on Wall Street analysts’ comments.
McDonald’s plant-based meat supplier is still not made public, leading to speculations over its business strategies and product mix.
Select McDonald outlets could restart the meat-free foods in 2021. USA TODAY quoted McDonald’s international president Ian Borden by stating the McPlant lineup is “crafted exclusively for McDonald’s, by McDonald’s.”
In discussion with Jim Crammer on Mad Money show Tuesday, CEO of Beyond Meat, Ethan Brown said, “I believe our relationship with McDonald’s is very strong. We’re involved with McDonald’s on a number of different fronts.”
Brown also said that Beyond Meat is “doing things now to prepare for things in the future that involve McDonlad’s.”
He did not clearly say if BYND was the chosen supplier.