Shares in fake meat business Beyond Meat have soared almost 1300 per cent in under a week as so-called “meme stock” investors plough into the unloved US business.
Speculators on social media have been scooping up shares in the plant-based meat maker, making it the most traded stock on Wall Street.
Beyond Meat’s shares have become the most traded on Wall Street.Credit: Bloomberg
Despite having a market capitalisation of just $US2.5 billion ($3.9 billion), more shares in Beyond Meat had changed hands than in Tesla, worth $US1.4 trillion, or Nvidia, $US4.4 trillion, in pre-market trading on Wednesday morning.
Beyond Meat has attracted a flurry of interest from traders on “wallstreetbets”, a Reddit forum. Traders have bragged of “yoloing” thousands of dollars on the stock or betting their “life savings” on the shares.
Loading
Founded in 2009, Beyond Meat’s meat-free burgers are sold in restaurants, including McDonald’s. The business previously secured the backing of high-profile investors, including Bill Gates and Leonardo DiCaprio.
Its 2019 stock market listing was one of the best-performing initial public offerings since the dot-com bubble, amid broader hype about the potential of fake meat. At one point, its market value exploded to $US14 billion.
However, its stock has since plunged. It hit a record low earlier in October amid concerns over waning demand for vegan meat alternatives and as MAGA-supporting meat influencers push high-protein diets. In its most recent quarterly results, sales fell by almost 20 per cent to $US75 million and it suffered an operating loss of $US35 million.
Investor-driven surge
