Kellogg Shares Jump After Barron's Highlights Its Morningstar Fake Meat Products

Shares of Kellogg (K) are higher by almost 7% in late morning trading after Barron's released an article titled 'Kellogg Is Sitting on a 'Fake Meat' Gold Mine Bigger Than Beyond Meat'. In the piece, Barron's Brett Arends noted that Wall Street has a $10B market valuation on Beyond Meat (BYND) when that company forecast annual sales for FY19 of $210M.

Meanwhile, he estimates Kellogg's Morningstar Farms meatless products to are generating anywhere from $350M-$450M a year, and suggests that Kellogg could "dress up the MorningStar Farms operation for 'growth,' do some repackaging and rebranding, make it trendier, then launch an IPO and raise a ton of money", estimating a spinoff could earn $5B-$10B. Reference Link