Bull of the Day: Monster Beverage (MNST)

Monster Beverage Corp. MNST is posting record revenue in 2025 as demand for energy drinks remains strong. This Zacks #1 Rank (Strong Buy) is one of the best performing S&P 500 stocks of the last 30 years.Monster Beverage Corp. develops energy drinks, sparkling waters, craft beers, flavored malt beverages, and hard seltzers. These include Monster Energy drinks, Monster Killer Brew Triple Shot, Rehab Monster non-carbonated energy drinks, Monster Tour Water, Jai Alai IPA, Dallas Blonde, and Beast Tea, among others.Monster Beverage Beats on Earnings in the Third Quarter 2025On Nov 6, 2025, Monster Beverage reported its third quarter 2025 results and beat on the Zacks Consensus Estimate for the third quarter in a row. Earnings were $0.56 versus the Zacks Consensus of $0.48.Net sales rose 16.8% to a record $2.2 billion from $1.88 billion a year ago. It saw strong growth across all non-alcohol categories.Monster Beverage’s leading segment is the Monster Energy Drinks segment which includes Monster Energy, Reign Total Body Fuel, Reign Storm and Bang Energy drinks. This segment saw net sales increase 17.7% to $2.03 billion from $1.72 billion in the prior year’s quarter.Net sales for the Strategic Brands segment, which includes Predator and Fury, rose 15.9% to $130.5 million from $112.6 million a year ago.Net sales in the Other segment, which includes certain productions of American Fruits and Flavors, LLC, Monster’s wholly owned subsidiary, rose 14.4% to $6.8 million from $5.9 million a year ago.Only the Alcohol Brands segment, which includes various craft beers, flavored malt beverages and hard seltzers, saw a decline in the quarter. Net sales decreased 17% to $33 million from $39.8 million the year before.The Monster Energy Ultra energy drinks contributed significantly to the growth this quarter. Net sales to customers outside of the United States rose 23.3% to about 43% of total net sales, up from 40% in the year ago quarter.It was also the highest percentage of net sales to customers outside of the United States recorded by Monster Beverage Corp. to date for a single quarter.Monster Beverage has a new product launch coming late in the first quarter of 2026, called FLRT, a female-focused brand, which will debut in four flavors.Analysts Are Bullish on Monster BeverageAnalysts liked what they heard about the third quarter. They raised earnings estimates for both 2025 and 2026.8 estimates were raised in the last 60 days, with 1 raised in the last month, for 2025. It pushed the Zacks Consensus up to $1.98 from $1.91 in the last 2 months.That is earnings growth of 22.2% as the company made just $1.62 in 2024.The analysts also revised earnings estimates higher for 2026. 9 estimates were raised for 2026 in the last 60 days, with 2 revised higher in the last month as well.That has pushed the Zacks Consensus up to $2.24 from $2.21 in the last 30 days. That is another 12.9% earnings growth.Image Source: Zacks Investment ResearchMonster Beverage Hits a New All-Time HighMonster Beverage has been one of the best performing S&P 500 stocks of the last 30 years. It has hit new all-time highs in 2025.Here is its chart compared to the S&P 500 ETF (VOO). Monster Beverage went IPO in 1990 but moved to the NASDAQ in 2005.Image Source: Zacks Investment ResearchYear-to-date, it’s up 39.7% while the VOO is up 17.6%.Monster Beverage isn’t cheap. It trades with a forward price-to-earning (P/E) ratio of 37. A P/E ratio above 30 usually indicates a company is expensive. But with Monster Beverage, you are buying the growth story.Monster Beverage is shareholder friendly. It has a $500 million share repurchase program. However, it does not pay a dividend.Energy drinks remain popular globally. Investors should keep Monster Beverage on their short list.Zacks' Research Chief Picks Stock Most Likely to "At Least Double"Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren’t winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%.See Our Top Stock to Double (Plus 4 Runners Up) >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Monster Beverage Corporation (MNST): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks