Blue Apron Stock drops as Amazon announces Meal Kit Business

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There are many services out there that will deliver a prepared meal kit to your place so that you just take out all of the prepared ingredients and get cooking.

Last month, Fast Company's Ruth Reader asked whether Blue Apron would even exist in five years. Blue Apron and Gobble already offer similar services. A request for comment to Amazon wasn't immediately returned. Blue Apron's stock has fallen precipitously since its IPO despite the company's slashing of its initial share price, a development widely blamed on Amazon's Whole Foods announcement.

Note: This report pertains to Amazon Fresh and meal kits in the USA, but presumably the United Kingdom would be next in line if Amazon chose to go down this route. "You cook" and "No-line meal kits" were also applied for trademark by Amazon, according to TechCrunch. Both meal kits are sold through AmazonFresh.

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Shares of Blue Apron (APRN - Free Report) fell 9% in morning trading on Monday after news broke that Amazon.com (AMZN - Free Report) has registered a trademark in the USA for a meal-kit business.

It's salt in the wound after the brand that is arguably synonymous with the prepped-meal movement severely underwhelmed investors during its late June IPO.

Blue Apron's shares are down another 10% today, continuing a streak of mistrust and misfortune on the public markets since making its debut. In the wake of that bit of news, Blue Apron's stock has dropped to its lowest point ever, down more than 9%, according to CNBC. Just last week, the stock closed at a new low after an analyst slapped Blue Apron with a $2 price target, citing difficulty with the business ever becoming profitable. If the company becomes strapped for cash, it may increase its borrowing capacity under a revolving credit facility or raise additional funds through equity or debt financing arrangements, the filing said. VMWare was up 3 percent Monday on a report it may partner with Amazon in corporate data centers.

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