Despite raising large amounts of money and making ambitious predictions, these companies have not been able to take a significant market share from traditional meat producers. The article suggests that negative campaigns from traditional meat producers and a lack of enthusiasm from meat-eating consumers have contributed to this decline. Additionally, it mentions that Beyond Meat has laid off a significant portion of its workforce and halted certain projects, and Impossible Foods has seen a decline in sales and replaced its CEO.

Silicon Valley investors were quick to see the potential of plant-based meat alternatives, particularly the Impossible burger. Unlike traditional vegetarian burgers, which were primarily consumed by vegetarians and vegans, the Impossible burger was designed to closely mimic the taste and texture of real beef, making it appealing to a wider audience of meat eaters. This attracted a diverse group of investors, including venture capitalists, celebrities, animal welfare organizations, and even meat companies like Tyson Foods. As a result, Beyond Meat, the company behind the Impossible burger, saw a significant increase in its valuation, reaching $1.3 billion by 2018.

Beyond Meat stock was a popular investment when the stock debuted in 2019, spiking to $234.90 in July of that year. After a significant pullback, the stock rose again, reaching $194.95 in October 2020. Since then, however, the stock has trended lower. It started 2022 trading at $65.68 and ended the year at $12.31 per share.

There are 63.74 million shares outstanding, with 22.7 million shares short. The short interest for the stock is 43.12% as of December 2022. Analysts expect the stock to go down further in 2023, with a median estimated share price of $10.50 and some going as low as $5.

Do you think the industry will make a turnaround?

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