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The premise is not entirely flawed. The human digestive system is not 100% efficient, and a number of bacteria thrive off of the things that our bodies do not readily break down or absorb. These bacteria can then be used, later, as a nutritional source (because they are able to break down the things our bodies can't, yet they can be broken down into things we can absorb).
That said - I'm not sure exactly how it would compare to 'real' meat in terms of nutritional content. I could see it requiring a considerable amount of processing to restore nutrients that have already been leached from it on its first pass through the body (though that may be easily addressed by using it to enrich a cereal).
There are, however, problems with using this on a large scale. The first is a health concern. Feces are often treated as a form of hazmat, particularly human feces, because many bacteria and parasites can be contained within our feces that are quite at home in our bodies (meaning that they have evolved, quite literally, to infect our bodies... though that's usually alright in the intesine). This is why handling it has been something of a taboo throughout human history (well, spare for some portions of europe where they just dumped the shit out of a window... until someone figured out that was not such a great idea; France has yet to take note, though).
The use of human feces in fertilizers is even discouraged unless it has gone through a septic tank. The risk of spreading parasites and disease is generally considered in excess of the potential gains.
Eating a product that is only two process vectors from raw human waste is a bit concerning, particularly when considering mass-scale production. It would be one thing if we were talking about using this for space travel or something of the sort... it's a different thing when we're considering it for use with the general public where all manner of things can find their way into human excriment.