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Bacon heavyweight Smithfield Foods to tip IPO scales at $11 billion with an eye on amassing market share - MarketWatch

1. Smithfield Foods plans an IPO, raising up to $940 million. 2. Smithfield holds a 20% market share in the U.S. packaged meats sector. 3. Beyond Meat stock has declined as consumers prefer traditional meat products. 4. Smithfield ranks second in branded packaged meats by volume. 5. Smithfield reported a $581 million net income on $10.19 billion revenue.

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FAQ

Why Bearish?

The strong IPO of Smithfield suggests increasing consumer preference for traditional meats, which could further pressure BYND's market. Previous trends show declines in BYND stock amid a shift away from plant-based diets.

How important is it?

The focus on Smithfield's IPO directly relates to market dynamics affecting BYND. The success of competing meat producers can significantly impact BYND’s valuation.

Why Short Term?

Adverse effects on BYND are likely immediate as Smithfield gains visibility. Historical examples indicate market reactions to such competitor entries are often swift.

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