Analyst Estimates: Here's What Brokers Think Of Monster Beverage Corporation (NASDAQ:MNST) After Its Second-Quarter Report

Investors in Monster Beverage Corporation (NASDAQ:MNST) had a good week, as its shares rose 9.6% to close at US$64.69 following the release of its quarterly results. The result was positive overall - although revenues of US$2.1b were in line with what the analysts predicted, Monster Beverage surprised by delivering a statutory profit of US$0.50 per share, modestly greater than expected. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

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After the latest results, the 22 analysts covering Monster Beverage are now predicting revenues of US$8.05b in 2025. If met, this would reflect an okay 5.1% improvement in revenue compared to the last 12 months. Per-share earnings are expected to ascend 18% to US$1.91. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$7.95b and earnings per share (EPS) of US$1.86 in 2025. So the consensus seems to have become somewhat more optimistic on Monster Beverage's earnings potential following these results.

Check out our latest analysis for Monster Beverage

There's been no major changes to the consensus price target of US$65.57, suggesting that the improved earnings per share outlook is not enough to have a long-term positive impact on the stock's valuation. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. The most optimistic Monster Beverage analyst has a price target of US$75.00 per share, while the most pessimistic values it at US$50.00. There are definitely some different views on the stock, but the range of estimates is not wide enough as to imply that the situation is unforecastable, in our view.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The period to the end of 2025 brings more of the same, according to the analysts, with revenue forecast to display 10% growth on an annualised basis. That is in line with its 11% annual growth over the past five years. Compare this with the broader industry, which analyst estimates (in aggregate) suggest will see revenues grow 4.7% annually. So it's pretty clear that Monster Beverage is forecast to grow substantially faster than its industry.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Monster Beverage following these results. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at US$65.57, with the latest estimates not enough to have an impact on their price targets.

Keeping that in mind, we still think that the longer term trajectory of the business is much more important for investors to consider. At Simply Wall St, we have a full range of analyst estimates for Monster Beverage going out to 2027, and you can see them free on our platform here..

You can also see our analysis of Monster Beverage's Board and CEO remuneration and experience, and whether company insiders have been buying stock.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.