If You Had The Mis-Fortune Of Buying Beyond Meat, In The Secondary, This Summer...

Beyond Meat has managed to bleed off about 66 per cent of the shareholders' cash paid value, just since August, even with the markets in record territory, for much of that time. [More, here.]

On top of it, Beyond announced positive quarterly results, overnight. That was unable to staunch the flow of blood, though -- as no one took adequate notice of the pillaging IPO terms. . . .

The only logical conclusion is that Beyond's investment bankers, and the executive team wildly mismanaged the IPO process -- to their own personal benefit. The lock-ups [particularly the cliff expiries] were not at all well thought out. Negligence at best -- and perhaps. . . malevolence, at its worst.

The pricing itself smacks of breach of fiduciary duties: It was crystal clear that the market making after the original IPO and the follow on secondary were both egregiously overpriced. And yet the team went to market, and took investor cash -- even though, as Billy long-ago pointed out, at those prices, the sales multiple was over 60. Said another way, it would be sixty years, before the stock price would support/at least equal the annual sales figures.

And still. . . this team flogged the shares to an unsuspecting public. We are handling an independent investigation now. If we decide to file suit, based on investor contacts -- we will hold no long or short position in Beyond, from then on.

नमस्ते . . . this is the sound of a bubble, popped.