Beef prices are rising due to a small cattle herd, narrowing the price gap with plant-based alternatives. Beyond Meat faces pricing challenges with its premium over standard beef. The company’s struggles include decreased volumes and revenue per pound, along with competition and pricing power issues.

The plant-based meat market offers room for differentiation, but Beyond Meat’s pricing disadvantage has shrunk. Rising beef prices may benefit Beyond Meat, but won’t fix all its problems. Consumers haven’t shifted to plant-based meat despite the rising beef prices.

Beyond Meat reduced debt by exchanging convertible debt, diluting existing shareholders. The company is burning cash unsustainably, reporting a free cash flow loss. Despite rising beef prices, consumers aren’t switching to plant-based alternatives, making a Beyond Meat comeback unlikely.

Beyond Meat’s struggles, including lack of pricing power, don’t bode well for its future. Rising beef prices aren’t prompting a shift to plant-based alternatives. The company’s cash burn rate and market position make a comeback doubtful.

Read more at Yahoo Finance: Soaring Beef Prices Won’t Save Beyond Meat