Beyond Meat stock price is surging today after crashing into penny territory. Here's why

"Today's premarket stock price jump follows a significant rally on Friday for Beyond Meat, the California-based producer of plant-based meat alternatives, whose shares closed up more than 24% to end the trading week at 64 cents per share, according to data from Yahoo Finance. The stock price surge, which is now in its second trading day, may come as a surprise to many, considering that Beyond Meat is experiencing significant financial woes as of late."

"As noted by Bloomberg, the company has seen a decline in interest in its plant-based products in recent years, with consumers being put off by high prices, the taste of the product, and its excessive processing. Weakening demand for meat alternatives in the U.S. helped lead to a 19.6% decline in sales in Beyond Meat's most recent quarter, Q2 2025. Beyond Meat reported $75 million in revenues during that quarter."

"More recently, however, the company announced that its creditors had agreed to a debt swap, in which the company will issue 316 million new shares-thereby diluting the value of its current shares. This event contributed to a significant fall in the stock. As of Friday's closing price, BYND shares were down more than 82% for the year. So why are BYND shares surging this morning? Yahoo Finance points out that Friday's and today's share price surge is not due to any fundamental financial shifts in the company. Instead, it is the result of "a sudden spike in trading volume amid a classic short squeeze, where a heavily shorted stock experiences a sharp rise, forcing bearish investors"

Beyond Meat shares surged roughly 67% in premarket trading following a strong rally the prior day, when shares rose over 24% to close at $0.64. Consumer interest in plant-based products has waned due to high prices, taste concerns, and heavy processing. Sales fell 19.6% in Q2 2025, with revenue of $75 million. Creditors agreed to a debt swap that will issue 316 million new shares, diluting current shareholders. BYND is down more than 82% year-to-date, and the recent price spike appears driven by heightened trading volume and a classic short squeeze rather than improved fundamentals.

Read at Fast Company