Shares of Beyond Meat (NASDAQ: BYND) soared on Thursday morning after Taco Bell, a restaurant chain owned by Yum! Brands (NYSE: YUM), made an important announcement. Taco Bell is pursuing more vegetarian friendly menu items and it’s looking to Beyond Meat for help. As of 10:15 a.m. EST, Beyond Meat stock was up 7%.
In 2020, Taco Bell cut certain menu items because of the COVID-19 pandemic. Many other restaurants did, too. With many dining rooms closed or limited, restaurant companies have struggled with how to best keep things going. Delivery and carryout sales have helped. But this puts a strain on restaurant operations, motivating many to cut menu items that weren’t considered core. For Taco Bell, this meant cutting some vegetarian menu items, including potatoes.