Market Overview

Beyond Meat's Stock Turns From Noisy To Quiet: What Pros From MKM, Simpler Trading Think

Share:
Beyond Meat's Stock Turns From Noisy To Quiet: What Pros From MKM, Simpler Trading Think

Plant-based food maker Beyond Meat Inc (NASDAQ: BYND) has seen its stock soar from its IPO to trade as high as $239, and it fell almost as quickly to below $100.

The stock has been "pretty much sideways" since then, MKM Partners chief market technician JC O'Hara said Wednesday on CNBC's "Trading Nation."

A Pause In Beyond Meat's Volatility 

Beyond Meat's stock has traded in a relatively narrow range for the past few weeks, but investors can expect some volatility to return after its earnings report in early February, O'Hara said.

Taking a look back at Beyond Meat's three earnings reports, the stock has seen absolute moves of 40%, 12% and 22%.

"I don't expect this tranquil sideways price action to last too much longer," he said.

A Long-Term Beyond Meat Play

Beyond Meat's stock is "incredibly volatile," but investors may want to ignore near-term moves in favor of the long-term picture, Simpler Trading's director of options Danielle Shay also said "Trading Nation."

Beyond Meat deserves credit for not only carving out a dominant position in a niche market, but appealing to non-vegans and non-vegetarians, she said. 

"No one has been able to create a burger like this that's good and that appeals to meat eaters," Shay said. "Meat eaters like it because it tastes good, it's healthier, you can have a smaller ecological footprint."

Nevertheless, options traders have an opportunity to take advantage of potential short squeezes in the near-term, she said.

Beyond Meat Price Action

The stock was trading 5.23% higher at $85.74 at the time of publication Thursday.

Related Links:

Bernstein Estimates Beyond Meat's 'Blue-Sky' Scenario With McDonald's

Impossible Foods To Launch Imitation Pork Products

Photo courtesy of Beyond Meat. 

Latest Ratings for BYND

DateFirmActionFromTo
Jan 2020MaintainsNeutral
Jan 2020DowngradesOutperformMarket Perform
Jan 2020MaintainsOutperform

View More Analyst Ratings for BYND
View the Latest Analyst Ratings

Posted-In: CNBC Danielle Shay foodAnalyst Color Technicals Analyst Ratings Media Trading Ideas Best of Benzinga

 

Related Articles (BYND)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
VALB of A SecuritiesMaintains5.0
HALB of A SecuritiesMaintains28.0
PPLB of A SecuritiesMaintains35.0
PNWB of A SecuritiesMaintains97.0
IRBTB of A SecuritiesMaintains56.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com