The shares of Beyond Meat stock are bouncing off last session's record lows
Beyond Meat Inc (NASDAQ:BYND) is surging, up 19.8% at $14.17 at last glance, as the underperforming stock stages a bounce off yesterday's record low of $11.56. Consumers have been less likely to purchase plant-based products amid inflation, which has been taking its toll on BYND. That could be why today's consumer price index (CPI) data seems to be providing tailwinds, as the alternative meat producer reversed its premarket losses after its dismal third-quarter report.
Beyond Meat reported third-quarter losses of $1.60 per share on revenue of $82.50 million after the close yesterday, which is worse than analysts' expected losses of $1.14 per share on $98.11 million. Wall Street reacted negatively, with no fewer than four analysts cutting their price targets, including Mizuho to $11 from $27.
Options bears appear to be betting on a correction, however. So far today, 69,000 puts have crossed the tape -- four times the intraday average -- in comparison to 39,000 calls. The November 10 and 11 puts are the most popular, with new positions being sold to open at the latter.
It's also worth noting that short interest makes up 41% of Beyond Meat stock's available float. It would take nearly seven days to buy back these bearish bets, at BYND's average pace of trading.