Beyond Meat Stock is Up 729% This Week and Still Climbing. Amid Rumors of a Short Squeeze, Could It Be Headed to the Moon?

Beyond Meat's (NASDAQ: BYND) unbelievable winning streak continued on Wednesday, as the stock opened up at $6.16, jumping 70% from yesterday's close. Going back to its bottom last Thursday, the stock has now gained more than 1,000% in less than a week, making Beyond Meat the latest meme stock to go "to the moon," as its backers like to say.What sparked the rally was a tender offer last week for $1.1 billion of Beyond Meat's convertible debt. That created 316.2 million new shares of the stock, increasing shares outstanding by nearly five times. The news was initially received poorly, as massive dilutions are generally bad for shareholders, and the stock slumped through most of last week. However, the debt conversion removed a significant financial obstacle for the company. At $1.1 billion, that debt, which was due in 2027, exceeded the company's total assets of less than $700 million as of the end of the second quarter, meaning Beyond Meat would not have been able to pay it back. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool