About 37% of Beyond Meat’s available shares are shorted, new data show.
That makes the plant-based food maker the most heavily shorted company on the Russell 1000 Index.
Short sellers made $735 million in 2021 betting against Beyond Meat as the stock sank.
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Bearish bets against Beyond Meat stock are piling up, with famed short-seller Jim Chanos also reportedly joining in.
According to the latest data from financial analytics firm S3 Partners, short interest in the plant-based food company is now about 37% of available shares, or $1.38 billion. That up from 26% in early October, and it means Beyond Meat is the most shorted company on the Russell 1000 Index, according to Bloomberg.
Betting against the company was a profitable position last year, considering short sellers made $735 million in profits, Ihor Dusaniwsky of S3 Partners told Insider in an email. In the new year though, short sellers so far have lost $126 million as Beyond Meat stock has rallied 10%.
Now Chanos, the short seller best known for predicting Enron’s collapse, is betting against Beyond Meat because he said it’s stopped being a growth company, he told The Financial Times. His firm, Kynikos Associates, did not immediately respond to Insider’s request for comment.
In 2019, Beyond Meat became the first plant-based meat startup to go public, and it had an explosive IPO. Last year, the meat-alternative company briefly became a meme stock as it rallied alongside other popular retail-trader names like AMC and GameStop.
But while shares have risen so far in 2022, the stock price has lost about 43% of its value in the last 12 months. Meanwhile, the Russell 1000 Index, which includes the top 1,000 US companies by market …read more