The term “lab grown meat” refers to meat that is produced in vitro from cells sourced from animals. Sometimes, meat produced in this way is also referred to as “cultured meat” or “cultivated meat”. Lab grown meat is fascinating from an ethical perspective because it makes it possible to produce meat without having to slaughter animals, and could also potentially be more environmentally friendly than the meat production industry as it exists today.However, investors should be aware that the technology behind lab grown meat is still in its very early stages of development, and it’s unclear if it can be scaled to the point of commercial viability.Investments in lab grown meat companies are very risky – as such, these companies are often primarily backed by venture capital firms, which specialize in speculative and early-stage investments. We’re featuring five companies that are either directly or indirectly involved in the lab grown meat sector. You should keep in mind that the list of the best lab grown meat stocks is fairly short and most of the companies in this sector are not listed publicly. BioTech Foods is a company specialized in lab grown meat. The Spanish company was founded in 2017 and launched it first pilot plant in 2021. Brazilian meat processing giant JBS acquired a majority of BioTech Foods shares in late 2021. At the time, JBS said it planned to invest $100 million to build a new plant for cultured meat production and create an R&D center for lab grown meat. BioTech Foods is not a public company, so regular investors have no way of directly investing in it. One could get partial exposure to BioTech by purchasing shares in JBS, although the company is currently not listed on US stock exchanges. JBS is listed on the Brazilian stock exchange B3.Tyson Foods is a United States-based food industry giant that’s one of the largest meat processors in the world. The company currently commands a market capitalization of nearly $20 billion. The reason why we’re including Tyson Foods in our list of the best lab grown meat stocks is because the company has been investing in companies creating alternative meat products through its venture capital arm Tyson Venture. Tyson Foods has made investments in companies such as Beyond Meat, Future Meat Technologies and Upside Foods. Notably, Upside Foods reached a valuation of over $1 billon after raising a $400 million Series C investment in 2022. Although Tyson Foods investments in lab grown meat companies represent a small portion of the company, buying Tyson Foods shares is one of the few ways retail investors can get at least some exposure to the lab grown meat sector. Agronomics is a company that makes investments in the cellular agriculture industry, which also includes companies that produce lab grown meat. Agronomics has ownership interests in lab grown chicken producer SuperMeat and cultivated seafood producer BlueNalu. In addition, the company has made investments in lab grown beef producer MosaMeat and cultivated pork and seafood company CellX. Agronomics has also invested in various other companies that produce animal protein alternatives, companies using precision fermentation, and companies producing cultivated leather. The trades on the London Stock Exchange and is an interesting option for investors who want exposure to the potential impact of cutting-edge technologies in the food industry. However, Agronomics stock has been performing poorly as of late, dropping roughly 20.4% in the last year. Aleph Farms is an Israeli company that specializes in producing cultured meat, especially beef. The company has made significant strides in the field of cellular agriculture by developing a proprietary 3D tissue engineering technology. This technology allows Aleph Farms to cultivate structured meat products, including steaks, that mimic the taste, texture, and nutritional profile of conventional meat.In 2021, Aleph Farms raised $105 million a Series B investment round led by L Catterton and Disrupt AD. In early 2024, Aleph Farms received approval from Israel’s Ministry of Health for its Aleph Cuts brand of cultivated beef steaks. Aleph Farms is currently not traded publicly, which means retail investors cannot get exposure to it. However, with the company receiving approval from Israel’s health regulator, Aleph Farms’ products could become commercially viable faster than most competitors. Steakholder Foods, which trades on NASDAQ under the ticker STKH, is currently the only publicly traded company that’s exclusively focused on lab grown meat. The Israel-based company, which was previously known as MeaTech 3D, utilizes 3D bioprinting technology to create plant-based food with the texture of various meats such as beef steaks, white fish and shrimp. The company also produces cultivated meat, which is a process where cells are collected from an animal and grown in vitro to produce meat.However, you should keep in mind that STKH is an extremely risky investment. The company’s stock, which debuted on the market at a price of $10 in March 2021, has dropped precipitiously since listing and is currently trading at $0.59 (a decrease of -94.1%). Steakholder Foods is now a nano-cap stock with a market capitalization of just $16 million, and the company is in danger of being delisted from the Nasdaq. In March 2023, the company received a notice from Nasdaq after its stock dropped below the $1 threshold.Investing in lab grown meat companies is very difficult for regular investors. The only pure-play lab grown meat company that’s listed publicly is Steakholder Foods, which has been struggling on the market and has a tiny market capitalization.When it comes to lab grown meat startups such as Upside Foods, accredited investors can sometimes purchase shares on platforms such as EquityBee, where shares of privately held companies are offered. Ironically, one of the main ways investors can get some exposure to lab grown meat technology is by investing in traditional meat processing companies such as Tyson Food and JBS. This is of course problematic for those who are interested in lab grown meat primarily from an ethical perspective. If you’re interested in the stock market more broadly, make sure to check out our list of the best stocks to buy now.
