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Beyond Meat lost some of its energy after a Wall Street analyst said the rising share price of the hamburger maker was finally ahead.
Shares of the company, which had climbed 572% Monday since their debut on the Nasdaq May 2, lost 25% Tuesday, to close at 126.04 dollars, after the disappointing rating of analysts.
Ken Goldman, an analyst at JPMorgan, said, "This degradation is purely an evaluation decision, pointing out that Beyond Meat's demand for vegetarian burgers, available in chains such as Carl's Jr. and TGI Fridays, appears to be in full swing. .
However, "with such a high valuation, any mishap – real or perceived – could lead to a significant correction in the share price".
Shares of the company based in El Segundo, California, recently reached $ 168 million, worth more than $ 7 billion.
To justify the award, Goldman said investors should swallow the belief that Beyond Meat's revenue will reach $ 5 billion by 2029. In 2018, sales reached just over $ 100 million.
"Are sales of $ 5 billion in 10 years out of the question? No, but it's not likely either, "wrote Goldman, cutting his recommendation on neutral stocks to overweight.
He then warned that in the coming quarters, "the whole news flow will not be positive" and that "the competitors become more aggressive".
Beyond Meat announced Tuesday that its new improved cakes, marketed in restaurants since January, will be shipped to grocery stores this week.
The new hamburgers "include marbled meat that is designed to melt and tenderize like traditional ground beef," the company said in a statement.
They are made from ingredients including mung bean protein and rice, while previous versions were made only of pea protein.
The mungs were ridiculed in an episode of "The Office" in 2006 in which the character of Creed Bratton admits that he grows mung beans on a "wet paper towel" in the drawer of his office and that they " feel death.
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