In this photo illustration, packages of Beyond Meat “The Beyond Burger” sit on a table, June 13, 2019 in the Brooklyn borough of New York City.
Drew Angerer | Getty Images
Barclays initiated coverage of Beyond Meat on Thursday and said the company was “well-positioned” with the “potential” to capture a large share of the alternative meat market.
The firm gave the alternative meat company an “overweight” rating, with a target price of $185 a share.
“We estimate that BYND could reach a 4.5% market share of the global alternative meat industry, which itself could represent 10% of the global meat industry within a decade, ” Barclays analyst Benjamin Theurer said.
The sky may be the limit for Beyond Meat, according to the firm.
“There’s a big potential, both at the top and at the bottom: We expect growth to continue at high levels for upcoming years, and expect the company to achieve a 15% EBITDA margin by 2029, in line with its long-term guidance,” the Barclays analyst said.
On Wednesday shares of the company dropped nearly 6% after Restaurant Brands International’s Tim Hortons removed Beyond Meat from all but two provinces in Canada. The restaurant hospitality company said the Beyond Meat products were only intended to be for a limited time.
Shares of the company are up 1.16% to $155.77 in premarket trading.