Beyond Meat (BYND) DCF Analysis
INTRODUCTION: BYND is a company that produces plant-based meat. Having their IPO very recently in 2019. These couple years have been rough for BYND as it burns through cash to establish market share, faces negative net income and multiple health scares. Management’s plans for success are Price Parity with Animal protein, Enhancing Taste, Aroma and Texture to taste like Animal protein, Education on Misinformation + Health benefits of BYND and Plans to cut off fats through Better Inventory management, Layoffs, Increased capital efficiency, Improve their operating expenditure situation. REVENUE: TOTAL ADDRESSABLE MARKET I’ve used a top-down approach when building my revenue model. I followed the revenue forecast of the meat industry [Plant based inclusive] ( SOURCE ) %STAKE The %stake of the market held by BYND changes to a small extent to avoid being too optimistic in my forecast. I used historic numbers when forecasting %stake. COST The general principle I took for forecasting Cost was...