Credit Suisse Boosts Beyond Meat Sales Estimates But Keeps $125 Price Target

To account for "strong" retail sales growth in his Nielsen tracking data and continued distribution gains at new restaurant chains, Credit Suisse analyst Robert Moskow raised his fiscal 2020 and 2021 revenue estimates for Beyond Meat (BYND) to $360M and $511M from $350M and $472M, respectively.

The analyst also boosted his EBITDA estimates for Beyond Meat modestly above consensus. Moskow, however, keeps a Neutral rating on the shares with an unchanged price target of $125. The stock closed Monday down $8.10, or 5%, to $152.58.

The analyst now expects 64M of shares outstanding in 2020, up from 60M, due to dilution from option grants. The $125 price target assumes a multiple in-line with other early-stage technologically driven growth stocks in the consumer space, discounted back to the current value, Moskow tells investors in a research note.