By Sam Boughedda
In a research deck focused on Gen Z insights, Piper Sandler reiterated an Underperform rating on Beyond Meat NASDAQ:BYND) shares after telling investors that teens' interest in plant-based meat is slipping.
According to Piper Sandler analysts, 42% consume or are willing to try plant-based meat, down from 49% in Spring 2021, with 40% either consuming or are willing to consume plant-based dairy.
Demand for Beyond Meat and plant-based meat, in general, has been declining for a while. As a result, Beyond Meat shares have been significantly impacted. The stock traded at a high of over $200 per share in 2021 but is now lingering above the $15 per share mark. The stock has declined over 3% so far in Tuesday's session.
Meanwhile, the Piper Sandler survey reveals that Impossible was the most preferred plant-based brand among teens, with a preference of 39%, followed by Beyond Meat at 34%.
The firm also found that younger consumers also appear less interested in eating plant-based meat in the future.
"Of the 14% of teens that do consume plant-based meat, 25% plan to eat less plant-based meat over the next 12 months, up from 23% in our Fall 2022 teen survey and up from 16% in Spring 2021," they stated.