Slowing Growth Rate
Just in the time Beyond Meat (NASDAQ:BYND) has been a public company, year-over-year sales growth has dropped at an alarming rate from 287% in Q2 2019 to 68.5% in Q2 2020 according to the company’s own reported financials. This represents a decline of nearly 200% in the nominal rate of growth during a period of minimal competition. This is not a promising trajectory given that total TTM sales are only $400.8 million.
Source: Company Filings
Even more concerning is the reality that y-o-y sales growth is expected to drop even more in the coming quarters. One would normally expect such a deceleration in growth for a more mature company with a higher level of nominal sales.
Before COVID-19’s negative impact on BYND was known, CFO Mark Nelson provided guidance of full-year 2020 revenues of $490 to $510 million. Since we know 1H 2020 revenues came in at