By Dhirendra Tripathi
Investing.com – Beyond Meat stock (NASDAQ:BYND) surged 7% Tuesday after Piper Sandler upgraded it after finding out the faux meat-maker’s McPlant will be available at all of McDonald’s (NYSE:MCD)’s U.S. outlets earlier than expected.
The expected launch by end of March is earlier and broader than Piper Sandler had estimated in its model. McDonald’s has around 14,000 outlets in the U.S.
The brokerage upgraded the stock to $64 from its previous target of $61. It touched a high of $68.96 in the session still underway.
Piper’s Michael Lavery now rates the stock neutral. He had rated it underweight.
The McPlant has been tested in eight U.S. McDonald’s location for over a month now. The fast-food chain and Beyond Meat have jointly developed the plant-based burger. Tests will run as long as supplies last, McDonald’s said in October.
Beyond Meat has had a tough time bringing its products to market, with delays marring several of them. That has reflected in its stock price. It’s down almost 50% in a year that has seen indexes make new highs.
Friday, Bloomberg reported that Yum! Brands-owned (NYSE:YUM) Taco Bell had canceled a planned test of a product from the company.
The report said Taco was dissatisfied with the samples. Beyond Meat terminated two employees from the team that made the product, which was designed to mimic grilled meat known as carne asada, it said.