Metin Ilke @MetinIlke: "🚨 My Biggest Investing Mistake:..."

United Kingdom

🚨 My Biggest Investing Mistake: Beyond Meat $BYND (Beyond Meat Inc.) 🍔📉 An honest post about conviction, hype, and humble lessons. In 2021, I made a bold move and bought shares of Beyond Meat (BYND). The thesis seemed bulletproof at the time: 🌱 plant-based diets were going mainstream, climate change awareness was rising, and fast food giants were testing meat-free options. On top of that, ESG investing was trending, and Beyond Meat was front and center in that narrative. As someone who focuses on long-term investing in quality businesses with durable moats, this wasn’t my usual kind of pick. But the potential was exciting — a chance to ride the "next Tesla of food" narrative. There was talk everywhere: 🌍 saving the planet, 🥩 disrupting meat, and 📈 explosive growth. Even though I’m a carnivore at heart (yes, I love a good steak 🥩 and wouldn’t trade it for a soy $SOYBEANS.FUT patty), I thought, “Maybe this is the future. The market surely will.” I bought in around mid-2021, when optimism was still high but the stock had already pulled back from its 2020 hype peak. I thought I was getting a “correction discount.” But over the next two years… reality hit. 📉 What Went Wrong? Here’s a breakdown of the key issues that unraveled the Beyond Meat thesis for me: 1. Weak Fundamentals 💸 Despite its visionary branding, Beyond Meat struggled with gross margins, mounting losses, and an inability to scale profitably. They burned cash, diluted shareholders, and couldn’t prove they could turn hype into sustainable results. 2. Distribution ≠ Demand 📦 Yes, they got their products into chains like McDonald’s $MCD (McDonald's) , KFC $YUMC (Yum China Holdings Inc) , and Taco Bell — but that didn’t translate to repeat sales. Many trials failed to become permanent menu items. The hype was there, but the product didn’t stick with consumers. 3. Competition Eroded the Moat ⚔️ The "first mover advantage" was an illusion. Impossible Foods, supermarket own brands, and new global entrants quickly caught up — often offering better taste or pricing. Beyond Meat’s brand lost its edge. 4. Personal Conviction Was Missing ❌ This was probably the biggest red flag in hindsight. I never believed in the product as a consumer. I wasn’t buying Beyond burgers for myself, and I couldn’t genuinely endorse the experience. I was investing in what I thought others might want — not what I personally understood or used. 5. Management Missteps 🧩 Leadership appeared more focused on chasing headlines than fixing operations. Even partnerships like the one with PepsiCo $PEP (PepsiCo) didn’t deliver meaningful results. The CEO’s sales of stock didn’t inspire confidence either. 🧠 What I Learned This wasn’t just a money-losing trade — it was a character-building moment in my investing journey. I sold Beyond Meat in early 2023 at a significant loss. It stung. But it also clarified several important principles that I now apply religiously: ✅ Only invest in businesses you understand and believe in. If you wouldn’t buy the product or recommend it to a friend, think twice. Hype fades — but conviction lasts. ✅ Falling prices ≠ value. Just because a stock is “down 50% from its high” doesn’t mean it’s cheap. There’s a difference between price and value. ✅ Avoid the temptation to “predict the future” if the present isn’t solid. Yes, plant-based food may still have a role in the future — but that doesn’t mean Beyond Meat will dominate it. ✅ Beware of “mission-driven” companies without a working business model. A noble cause doesn’t excuse weak execution. ✅ Be true to your strategy. I broke my own rules by chasing a narrative. I usually focus on wide-moat companies with strong financials and consistent performance. Beyond Meat was neither. 🧊 Final Thoughts We often talk about our wins on eToro — the stocks that doubled, the right calls we made, the companies we spotted early. But I believe transparency about our mistakes is just as important, if not more so. It keeps us grounded, and more importantly, it helps others avoid similar pitfalls. Beyond Meat taught me to stay disciplined, trust my process, and only invest in companies I truly believe in — not just ideologically, but practically and financially. Today, I’m focused on businesses with proven track records, high returns on capital, and real pricing power. I might still enjoy a plant-based burger once in a while (for curiosity 😅), but I’ve left speculative food tech behind in my portfolio. Have you had a similar experience with a stock that didn’t align with your own beliefs or habits? Let’s talk about it 👇 $TTCFQ (Tattooed Chef Inc) $OTLY (Oatly Group AB) $INGR (Ingredion Inc) $ULVR.L (Unilever) $SPX500 $NSDQ100 $QQQ (Invesco QQQ) $SPY (SPDR S&P 500 ETF) $VOO (Vanguard S&P 500 ETF)