Walmart to Stock More Beyond Meat: Investors React

Beyond Meat Experiences Stock Surge Following Walmart Expansion

Today witnessed a significant increase in Beyond Meat’s share value, spurred by news of an expanded collaboration with Walmart. The retail giant is increasing its commitment to the provider of plant-based protein alternatives, including patties, sausages, and meatballs.

Expanded Availability at Walmart

Currently, 900 Walmart stores will begin carrying Beyond Meat’s hot Italian sausages and convenient party packs of their beefless burgers. This broadened availability caters to a diverse consumer base – omnivores, vegetarians, and vegans – who are seeking alternatives to traditional meat products.

This marks the second expansion of Beyond Meat’s distribution within Walmart stores in the last year, demonstrating the company’s strategic focus on securing a dominant position in the plant-based meat market.

Growing Distribution Network and Strategic Partnerships

Beyond Meat products are now available in over 28,000 retail locations. Furthermore, the company is making substantial headway in the food service sector.

Recent agreements with Yum Brands and McDonald’s are bolstering its presence in this crucial area.

Investors reacted positively to the news, driving the company’s stock price up 3.16%, equivalent to $4.28, at the close of trading.

Executive Commentary on Walmart Partnership

Chuck Muth, Chief Growth Officer at Beyond Meat, expressed enthusiasm regarding the continued growth of the Walmart partnership. He stated the company is pleased to increase accessibility to its plant-based offerings for Walmart shoppers.

“As consumer purchasing habits evolve, with more households buying our products with greater frequency, we are well-positioned to meet the rising demand through expanded product lines and distribution networks,” Muth explained.

Beyond Walmart: Deals with Yum! Brands and McDonald’s

While the partnership with Walmart, established in 2015, is noteworthy, the recent collaborations with McDonald’s and Yum! Brands have garnered significant attention.

Yum! Brands oversees KFC and other prominent fast-food franchises, including those featured in a well-known hip-hop anthem.

Co-Creation of Plant-Based Menu Items

In late February, Beyond Meat detailed its agreements with Yum! Brands and McDonald’s. These agreements involve collaborative efforts to develop plant-based protein menu options for KFC, Pizza Hut, and Taco Bell, as well as McDonald’s.

The Yum! Brands deal includes expanded testing of Beyond Fried Chicken in additional U.S. cities.

Nationwide launches of the Beyond Italian Sausage Pizza and the Great Beyond Pizza at Pizza Hut mark the first time a national pizza chain has offered a plant-based meat pizza across the country.

Clarification of the McDonald’s Partnership

The McDonald’s announcement provided specifics regarding a partnership previously announced with the introduction of the McPlant sandwich. Initially, Beyond Meat was unable to confirm the details of this agreement.

Now, the companies have revealed plans for additional plant-based menu items, including options featuring chicken, pork, and egg alternatives, under the broader McPlant platform.

McDonald’s Vision for Plant-Based Options

Francesca DeBiase, McDonald’s Executive Vice President and Chief Supply Chain Officer, emphasized the company’s commitment to providing customers with more choices.

“Our new McPlant platform is designed to enhance customer options at McDonald’s,” DeBiase stated. “We are excited to collaborate with Beyond Meat to drive innovation in this space, and this strategic agreement represents a significant step in our journey to deliver delicious, high-quality, plant-based menu items.”

Beyond Meat’s Expanding Portfolio

Beyond Meat has also entered into a partnership with Pepsi to develop protein-enhanced snacks and beverages, operating under the PLANeT Partnership initiative.