Beyond Meat, Inc. (BYND), plant-based meat products giant, increases its distribution at Walmart Inc. (WMT) by expanding its range. In addition to expanding sales, this is an opportunity for Beyond Meat to counter rising competitive pressures. Growing demand for plant-based meat alternatives has kept Beyond Meat at the forefront of innovation by expanding product lines at retail outlets and starting up carefully considered new products.
In 2015, Beyond Meat introduced the first plant-based meat substitute products into US stores. 2400 Walmart supermarkets currently carry items made by the company that is meat substitutes. Walmart will soon begin offering Beyond Meat Italian sausages in 400 of its stores in addition to Cookout’s Classic Burger package, which will be available in 500 more locations. Through the move, Beyond Meat is making plant-based meat options readily available for consumers in different markets.
Besides having agreements with McDonald’s and Yum! restaurant chains and being present in 28,000 outlets, Beyond Meat still needs serious sales support. A major factor in this situation stems from the competition in the industry, including Impossible Foods, Tyson Foods, Nestle, and Kroger. Further, Impossible Foods is planning to lower prices in supermarkets by 20%, striving to create a more competitive market.
Beyond Meat Inc. (BYND) will be forced to respond to such a move, leading to some price pressure. The medium-term result would be a loss of profits because a specific price will need to be maintained. As a result, Beyond Meat can become a serious player in the Walmart group. One of Walmart’s most significant advantages is its reputation for serving low-cost merchandise and providing low-priced goods. As Beyond Meat will be sure to gain a stronger position in the food industry with the retailer’s wide distribution network, the company will grow its presence.
A normal day for Beyond Meat (NASDAQ: BYND) would see around 4.41 million shares trade hands, but 2.19 million shares traded hands in Wednesday’s trading. The company’s market capitalization now stands at $8.60B, and enterprise value stands at approximately $8.59B. At $138.61, its current market price represents a decrease of -0.69% over the previous close of $139.58. The 52 weeks high for this stock is $221.00, while its 52 weeks low is $48.18. During recent trading, the stock touched a high of $143.31 and a low of $137.08.