NasdaqGS:MNST

Stock Analysis Report

Executive Summary

Monster Beverage Corporation, through its subsidiaries, develops, markets, sells, and distributes energy drink beverages and concentrates in the United States and internationally.

Snowflake

Fundamentals

Excellent balance sheet with proven track record.


Similar Companies

Share Price & News

How has Monster Beverage's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.1%

MNST

-0.06%

US Beverage

-0.2%

US Market


1 Year Return

-1.8%

MNST

12.6%

US Beverage

1.1%

US Market

MNST underperformed the Beverage industry which returned 13.8% over the past year.

MNST underperformed the Market in United States of America which returned 1.6% over the past year.


Share holder returns

MNSTIndustryMarket
7 Day-0.1%-0.06%-0.2%
30 Day1.3%1.7%2.5%
90 Day-7.8%2.7%1.6%
1 Year-1.8%-1.8%15.6%12.6%3.4%1.1%
3 Year18.8%18.8%33.1%22.8%45.2%35.8%
5 Year94.8%94.8%59.0%38.8%62.6%44.8%

Price Volatility Vs. Market

How volatile is Monster Beverage's share price compared to the market and industry in the last 5 years?


Simply Wall St News

3 weeks ago | Simply Wall St

Estimating The Intrinsic Value Of Monster Beverage Corporation (NASDAQ:MNST)

Valuation

Is Monster Beverage undervalued based on future cash flows and its price relative to the stock market?

30.34x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Monster Beverage's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Monster Beverage's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Monster Beverage is overvalued based on earnings compared to the US Beverage industry average.

Monster Beverage is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Monster Beverage is poor value based on expected growth next year.


Price Based on Value of Assets

Monster Beverage is overvalued based on assets compared to the US Beverage industry average.


Next Steps

Future Growth

How is Monster Beverage expected to perform in the next 1 to 3 years based on estimates from 17 analysts?

6.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Monster Beverage's revenue is expected to grow by 7.7% yearly, however this is not considered high growth (20% yearly).

Monster Beverage's earnings are expected to grow by 6.9% yearly, however this is not considered high growth (20% yearly).

Monster Beverage's revenue growth is expected to exceed the United States of America market average.

Monster Beverage's earnings growth is positive but not above the United States of America market average.

Monster Beverage's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Monster Beverage is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).


Next Steps

Past Performance

How has Monster Beverage performed over the past 5 years?

18.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Monster Beverage's year on year earnings growth rate has been positive over the past 5 years.

Monster Beverage's 1-year earnings growth is less than its 5-year average (17.1% vs 18.8%)

Monster Beverage's earnings growth has exceeded the US Beverage industry average in the past year (17.1% vs -0.5%).


Return on Equity

Monster Beverage has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Monster Beverage used its assets more efficiently than the US Beverage industry average last year based on Return on Assets.


Return on Capital Employed

Monster Beverage's use of capital has not improved over the past 3 years (Return on Capital Employed).


Next Steps

Financial Health

How is Monster Beverage's financial position?


Financial Position Analysis

Monster Beverage is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Monster Beverage's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Monster Beverage's level of debt (0%) compared to net worth is satisfactory (less than 40%).

Unable to establish if Monster Beverage's debt level has increased without past 5-year debt data.

Debt is well covered by operating cash flow (3.1394761887386E+19%, greater than 20% of total debt).

Monster Beverage earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 6.549269686111E+17x debt.


Next Steps

Dividend

What is Monster Beverage's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Monster Beverage's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Monster Beverage's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Monster Beverage has not reported any payouts.

Unable to verify if Monster Beverage's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Monster Beverage has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Monster Beverage's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Monster Beverage's salary, the management and board of directors tenure and is there insider trading?

15.0yrs

Average management tenure


CEO

Rodney Sacks (69yo)

28.8yrs

Tenure

US$13,914,931

Compensation

Mr. Rodney Cyril Sacks, H.Dip.Law, H.Dip.Tax has been the Chairman and Chief Executive Officer of Monster Beverage Corporation (formerly, Hansen Natural Corporation) since November 1990. Mr. Sacks serves a ...


CEO Compensation Analysis

Rodney's remuneration is about average for companies of similar size in United States of America.

Rodney's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

15.0yrs

Average Tenure

65yo

Average Age

The average tenure for the Monster Beverage management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

5.6yrs

Average Tenure

66.5yo

Average Age

The tenure for the Monster Beverage board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$11,160,67209 May 19
Mark Hall
EntityIndividual
Role
Member of the Board of Directors
Director
Shares181,622
Max PriceUS$61.45
SellUS$380,64006 Mar 19
Sydney Selati
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares6,000
Max PriceUS$63.44
SellUS$1,245,00006 Mar 19
Mark Vidergauz
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares20,000
Max PriceUS$62.25

Ownership Breakdown


Management Team

  • Rodney Sacks (69yo)

    Chairman & CEO

    • Tenure: 28.8yrs
    • Compensation: US$13.91m
  • Hilton Schlosberg (66yo)

    Vice Chairman

    • Tenure: 28.8yrs
    • Compensation: US$13.89m
  • Thomas Kelly (65yo)

    Executive VP of Finance

    • Tenure: 0yrs
    • Compensation: US$1.88m
  • Emelie Tirre (49yo)

    President of the Americas

    • Tenure: 1.2yrs
    • Compensation: US$3.12m
  • Guy Carling (42yo)

    President of EMEA

    • Tenure: 1.2yrs
    • Compensation: US$3.04m

Board Members

  • Gary Fayard (67yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$234.99k
  • Rodney Sacks (69yo)

    Chairman & CEO

    • Tenure: 28.8yrs
    • Compensation: US$13.91m
  • Hilton Schlosberg (66yo)

    Vice Chairman

    • Tenure: 28.8yrs
    • Compensation: US$13.89m
  • Jeanne Jackson (67yo)

    Director

    • Tenure: 0.3yrs
  • Benjamin Polk (68yo)

    Independent Director

    • Tenure: 28.8yrs
    • Compensation: US$224.99k
  • Mark Vidergauz (66yo)

    Lead Independent Director

    • Tenure: 5.5yrs
    • Compensation: US$252.49k
  • Sydney Selati (80yo)

    Independent Director

    • Tenure: 15yrs
    • Compensation: US$267.49k
  • Mark Hall (64yo)

    Director

    • Tenure: 5.7yrs
    • Compensation: US$2.16m
  • Kathleen Ciaramello (55yo)

    Director

    • Tenure: 0.3yrs
  • Steven Pizula (63yo)

    Director

    • Tenure: 0.3yrs

Company Information

Monster Beverage Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Monster Beverage Corporation
  • Ticker: MNST
  • Exchange: NasdaqGS
  • Founded: 1985
  • Industry: Soft Drinks
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$32.033b
  • Shares outstanding: 544.88m
  • Website: https://www.monsterbevcorp.com

Number of Employees


Location

  • Monster Beverage Corporation
  • 1 Monster Way
  • Corona
  • California
  • 92879
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MNSTNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDDec 1985
MOBDB (Deutsche Boerse AG)YesCommon SharesDEEURDec 1985
MNSTWBAG (Wiener Boerse AG)YesCommon SharesATEURDec 1985
0K34LSE (London Stock Exchange)YesCommon SharesGBUSDDec 1985
MNST *BMV (Bolsa Mexicana de Valores)YesCommon SharesMXMXNDec 1985

Biography

Monster Beverage Corporation, through its subsidiaries, develops, markets, sells, and distributes energy drink beverages and concentrates in the United States and internationally. It operates through three ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/20 00:14
End of Day Share Price2019/09/19 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.