Beyond Meat, Inc. (NASDAQ: BYND) saw its stock plummet 5.52% in the last 24 hours, extending its recent losses as the plant-based meat alternative company grapples with disappointing preliminary third-quarter results and a loss of momentum in its recent meme stock rally.

The company's preliminary Q3 report painted a grim picture of its financial health. Beyond Meat projected third-quarter revenue of approximately $70 million, representing a 13% year-over-year decline and highlighting persistent weakness in demand for its plant-based products. The company also expects gross margins between 10% and 11%, impacted by a $1.7 million expense related to suspending most of its operations in China. These figures have left investors concerned about the company's ability to achieve profitability in the near term.

Adding to the downward pressure, the recent meme stock frenzy surrounding Beyond Meat showed signs of losing steam. The sharp reversal in the stock price can be attributed to a broader pullback in meme stocks, leading retail investors to reassess their positions in highly volatile assets. Wall Street remains cautious, with analysts maintaining a pessimistic outlook on the stock. The company continues to face significant business challenges, including stiff competition from rivals, ongoing cash burn, and a lack of profitability since May 2020. As Beyond Meat struggles to regain its footing, investors will be closely watching for signs of improvement in the company's upcoming full Q3 earnings report.