The Beyond Burger, which is made from pea-protein and has become a global sensation for its convincingly meaty flavour and texture, will this week be rolled out to selected stores throughout Australia after a successful trial in New South Wales and Queensland.
The Australian meat processing industry now generates over 60 per cent of its revenue from overseas, and is only expected to rise over the next five years, due to its worldwide reputation as a producer of high-quality food products.
Shares of Beyond Meat jumped 8% in morning trading Tuesday after the company said it has signed a deal to start producing its plant-based meat substitutes in Europe next year. Credit Suisse, Jefferies, Bank of America Merrill Lynch and Goldman Sachs each initiated the company with Neutral ratings, with Goldman analyst Adam Samuelson projecting a $67 price target.More news: Trump Imposing New Tariffs On Mexico Seeking To Stop Illegal Migration
Beyond Meat shares closed at $86 Tuesday compared to the average analyst consensus price target of $71.34, according to Bloomberg data. Shares have gained more than 240% since the company priced its initial public offering at $25 per share earlier this month. The plan to expand the Company's production into Europe will be its first production capability outside of the U.S. By doing so, it "is expected to reduce the brand's transportation footprint, while increasing the speed in which Beyond Meat can get products to customers across Europe", the Company stated.
"The consumer response in Europe has been very positive and we look forward to being able to better serve those customers with locally produced products".
"We launched the Beyond Burger late past year in 200 of our New South Wales stores and had almost 1,500 new customers in the first 10 weeks - two-thirds of these customers were existing BBQ meat shoppers", said Ms Wischer.More news: Google Welcomes Cricket World Cup 2019 with Doodle
That's compared with a 1.75 percent decline in traffic at the company's other restaurants elsewhere in the U.S., said inMarket Insights, which analyzed location data of over 50 million Comscore-verified users. And Coles is getting in on the act with two new meat-free burgers that even diehard meat eaters can't pick from the real thing. Donald Thompson, McDonald's former CEO and COO, sits on Beyond Meat's board.
Alternative meat has been a flourishing industry for the last five years and only continues to make progress. Perhaps the boost its rival has seen by adding Impossible Foods patties might force its hand.
Beyond Meat is slated to give investors an updated growth picture when it reports earnings for the first time as a publicly traded company on June 6.More news: Facebook deletes fake accounts used in pro-Iranian campaign