Beyond Meat stock climbs 13% as Starbucks plans to add more plant-based menu options
- Shares of Beyond Meat jumped after Starbucks said it would add more plant-based options to its menu as part of its efforts to become "resource positive."
- The coffee chain did not share any specifics or a timeline for when it would be switching up its menu.
- Beyond's stock is up 57% so far in January, on pace for its best month ever.
Shares of Beyond Meat jumped 13% in morning trading Tuesday after Starbucks announced that it would add more plant-based menu options as part of its efforts to combat climate change.
Beyond's stock, which has a market value of $7.3 billion, is on pace for its best month ever, back to its May initial public offering. Shares are up more than 62% so far in January, buoyed by the news of McDonald's expanding its southwestern Canadian test of Beyond's veggie burgers.
The stock's recent run has burned short sellers, who have been betting on Beyond's share price falling since it soared 163% in its public market debut. Shares hit an all-time high of $239.71 in July, then plunged after the company announced a secondary share offering.
While the volatility of Beyond's stock has turned off some investors, consumers have been clambering for its meat alternatives as health and environmental concerns lead them to reduce their meat intake. Restaurants such as Carl's Jr. and Dunkin' have added Beyond products to their menus to reach those customers.
Starbucks said Tuesday that it would be adding more plant-based options to its menu as it aims to become "resource positive" in the long-term but provided no specifics or timeline for the menu additions.
The coffee chain set preliminary goals for 2030 that include cutting carbon emissions in half, conserving or replenishing half of the water taken for coffee production or operations and reducing half of its waste.
Starbucks is among a growing number of companies rolling out sustainability goals as consumers grow increasingly concerned about climate change. The announcement came as 17-year-old Swedish climate activist Greta Thunberg exhorted world leaders at Davos, Switzerland, to take action.