MONSTER BEVERAGE CORP (MNST)
US61174X1090 - Common Stock
MNST gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 32 industry peers in the Beverages industry. MNST gets an excellent profitability rating and is at the same time showing great financial health properties. MNST is quite expensive at the moment. It does show a decent growth rate. This makes MNST very considerable for quality investing!
1. Profitability
1.1 Basic Checks
MNST had positive earnings in the past year.
MNST had a positive operating cash flow in the past year.
Each year in the past 5 years MNST has been profitable.
Each year in the past 5 years MNST had a positive operating cash flow.
1.2 Ratios
MNST has a Return On Assets of 16.59%. This is amongst the best in the industry. MNST outperforms 93.75% of its industry peers.
With a Return On Equity value of 19.53%, MNST perfoms like the industry average, outperforming 59.38% of the companies in the same industry.
With an excellent Return On Invested Capital value of 17.53%, MNST belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
MNST had an Average Return On Invested Capital over the past 3 years of 18.43%. This is significantly above the industry average of 12.59%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.59% | ||
| ROE | 19.53% | ||
| ROIC | 17.53% |
ROA(3y)16.29%
ROA(5y)18.62%
ROE(3y)19.25%
ROE(5y)22.33%
ROIC(3y)18.43%
ROIC(5y)20.59%
1.3 Margins
MNST's Profit Margin of 22.83% is amongst the best of the industry. MNST outperforms 87.50% of its industry peers.
MNST's Profit Margin has declined in the last couple of years.
MNST has a better Operating Margin (27.39%) than 84.38% of its industry peers.
MNST's Operating Margin has declined in the last couple of years.
The Gross Margin of MNST (53.45%) is better than 65.63% of its industry peers.
In the last couple of years the Gross Margin of MNST has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.39% | ||
| PM (TTM) | 22.83% | ||
| GM | 53.45% |
OM growth 3Y-7.9%
OM growth 5Y-4.11%
PM growth 3Y-9.34%
PM growth 5Y-2.62%
GM growth 3Y-2.71%
GM growth 5Y-2%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MNST is creating value.
Compared to 1 year ago, MNST has less shares outstanding
Compared to 5 years ago, MNST has less shares outstanding
MNST has a worse debt/assets ratio than last year.
2.2 Solvency
MNST has an Altman-Z score of 23.44. This indicates that MNST is financially healthy and has little risk of bankruptcy at the moment.
MNST's Altman-Z score of 23.44 is amongst the best of the industry. MNST outperforms 100.00% of its industry peers.
MNST has a debt to FCF ratio of 0.00. This is a very positive value and a sign of high solvency as it would only need 0.00 years to pay back of all of its debts.
MNST has a better Debt to FCF ratio (0.00) than 87.50% of its industry peers.
MNST has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.00, MNST belongs to the top of the industry, outperforming 90.63% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 23.44 |
ROIC/WACC1.97
WACC8.91%
2.3 Liquidity
MNST has a Current Ratio of 4.91. This indicates that MNST is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 4.91, MNST belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
A Quick Ratio of 4.15 indicates that MNST has no problem at all paying its short term obligations.
The Quick ratio of MNST (4.15) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.91 | ||
| Quick Ratio | 4.15 |
3. Growth
3.1 Past
MNST shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 31.15%, which is quite impressive.
Measured over the past years, MNST shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.82% on average per year.
The Revenue has grown by 13.08% in the past year. This is quite good.
Measured over the past years, MNST shows a quite strong growth in Revenue. The Revenue has been growing by 13.40% on average per year.
EPS 1Y (TTM)31.15%
EPS 3Y-13.62%
EPS 5Y-2.82%
EPS Q2Q%10.53%
Revenue 1Y (TTM)13.08%
Revenue growth 3Y15.8%
Revenue growth 5Y13.4%
Sales Q2Q%11.78%
3.2 Future
Based on estimates for the next years, MNST will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.78% on average per year.
MNST is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.29% yearly.
EPS Next Y16.73%
EPS Next 2Y15.47%
EPS Next 3Y14.69%
EPS Next 5Y13.78%
Revenue Next Year9.84%
Revenue Next 2Y10.04%
Revenue Next 3Y9.93%
Revenue Next 5Y9.29%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 31.88, the valuation of MNST can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of MNST is on the same level as its industry peers.
MNST is valuated rather expensively when we compare the Price/Earnings ratio to 24.41, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 24.52, which indicates a rather expensive current valuation of MNST.
MNST's Price/Forward Earnings is on the same level as the industry average.
MNST's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 20.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.88 | ||
| Fwd PE | 24.52 |
4.2 Price Multiples
65.63% of the companies in the same industry are cheaper than MNST, based on the Enterprise Value to EBITDA ratio.
MNST's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.44 | ||
| EV/EBITDA | 22.88 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates MNST does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of MNST may justify a higher PE ratio.
MNST's earnings are expected to grow with 14.69% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.9
PEG (5Y)N/A
EPS Next 2Y15.47%
EPS Next 3Y14.69%
5. Dividend
5.1 Amount
No dividends for MNST!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
MONSTER BEVERAGE CORP
NASDAQ:MNST (7/26/2024, 7:00:01 PM)
After market: 51.3 +0.3 (+0.59%)51
+0.9 (+1.8%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap53.13B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.88 | ||
| Fwd PE | 24.52 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.9
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.59% | ||
| ROE | 19.53% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 27.39% | ||
| PM (TTM) | 22.83% | ||
| GM | 53.45% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 4.91 | ||
| Quick Ratio | 4.15 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)31.15%
EPS 3Y-13.62%
EPS 5Y
EPS Q2Q%
EPS Next Y16.73%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)13.08%
Revenue growth 3Y15.8%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y