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Beyond Meat Shares Climb On Mcdonald’s Deal But Losses Widen

Sam Boughedda trader
Updated 26 Feb 2021

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Beyond Meat (NASDAQ: BYND) shares are climbing premarket on Friday after it said it has struck McDonald’s and Yum Brands deals.

Beyond’s stock price initially fell following Thursday’s announcement after it also reported disappointing earnings.

The company posted a loss per share of $0.34 vs an estimated $0.13, while it reported revenue of $101.9 million vs an expected $103.2 million.

In after-hours trading, Beyond’s share price initially moved lower following the earnings results before climbing on the agreement announcements.

The deal with McDonald’s is a three-year global strategic agreement with Beyond Meat being the preferred supplier for the patty in the McPlant, a plant-based burger being tested in some McDonald’s markets globally.

The two companies will also explore co-developing other plant-based menu items.

“We will combine the power of Beyond Meat’s rapid and relentless approach to innovation with the strength of McDonald’s global brand to introduce craveable, new plant-based menu items that consumers will love,” said Ethan Brown, Beyond Meat Founder and CEO.

Simultaneously Beyond also announced a deal with Yum! Brands to co-create and offer plant-based protein menu items that can only be found at KFC, Pizza Hut and Taco Bell over the next several years.

Premarket on Friday, Beyond Meats share price is up 5.59% at $151.79 following Thursday’s 5.46% fall.

Sam is a trader and lead stock market writer at AskTraders. After starting his career in the forex market, Sam now focuses on stocks, specifically consumer staples.