Beyond Meat Surges Over 126% in Major Market Upswing

LOS ANGELES, Calif. — Beyond Meat experienced a dramatic surge in its stock price on October 20, 2025, soaring over 126% during a trading session that felt reminiscent of earlier meme stock frenzies involving GameStop and AMC Entertainment.

The plant-based meat company’s stock had been struggling for years, down more than 99% over the past five years. However, by 2:01 p.m. ET, Beyond Meat’s stock had more than doubled at one point, climbing 137% before settling around $1.46 per share.

This upswing was primarily driven by a short squeeze that began gaining traction on social media networks such as Reddit and X, as investors encouraged one another to target the stock. As of September 30, 54% of Beyond Meat’s float had been sold short, establishing the groundwork for the current rally.

The catalyst for this short squeeze stemmed from a recent announcement by Beyond Meat to exchange shares for convertible notes, significantly increasing its shares outstanding. Initially, this news had caused the stock to plummet nearly 75% from October 10 to October 16, raising concerns about the company’s deteriorating financial state.

Following the expiration of lock-up restrictions on October 16, investors saw an opportunity to leverage the new liquidity. The stock saw notable trading volume, exceeding 700 million shares, compared to an average of less than 20 million, indicating heightened investor interest.

Despite this short-term surge, analysts caution that the fundamentals of Beyond Meat remain weak. The company’s revenue continues to decline, and it struggles with significant financial obligations, including over $1.14 billion in convertible notes against assets of around $691.7 million.

Jeremy Bowman, an analyst with The Motley Fool, remarked that while converting notes to stock may alleviate some immediate financial pressure, it does not improve the company’s overall growth potential or profitability. Many observers believe that Beyond Meat is still positioned for long-term challenges, including the potential for bankruptcy.

Investors are advised to approach Beyond Meat with caution, considering how unpredictable the market can be, as demonstrated by past phenomena with stocks like GameStop and AMC Entertainment.