Plant-based alternative milk manufacturer Oatly (NASDAQ: OTLY) has had a rough go as a publicly traded company. The stock has crashed more than 94% since soon after its IPO in mid-2021. Much of the damage has been self-inflicted. Oatly's aggressive expansion plans were risky and expensive, and while revenue is still growing, it's almost hard to believe how inefficient the company's manufacturing operations have become.

Oatly raised some much-needed cash earlier this year with the sale of high-yield convertible notes, but the clock is now ticking. Oatly needs to turn things around before it runs out of cash again. The odds don't look good.

Oatly's core product is oat milk, a milk alternative made from cheap ingredients. Oats, water, vegetable oil, and some other odds and ends. The end product sold at retail is not cheap. A half-gallon of Oatly's oat milk is around $5 at . That's far more expensive than normal milk.

Continue reading

Source Fool.com