Monster Beverage (MNST) Dips More Than Broader Market: What You Should Know
Monster Beverage (MNST) closed the most recent trading day at $57.48, moving -1.89% from the previous trading session. The stock trailed the S&P 500, which registered a daily loss of 0.8%. Meanwhile, the Dow lost 0.76%, and the Nasdaq, a tech-heavy index, lost 1.18%.
The the stock of energy drink maker has risen by 7.98% in the past month, leading the Consumer Staples sector's gain of 2.53% and the S&P 500's gain of 3.4%.
The investment community will be closely monitoring the performance of Monster Beverage in its forthcoming earnings report. The company's upcoming EPS is projected at $0.39, signifying a 34.48% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $1.75 billion, up 15.35% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Monster Beverage. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. As of now, Monster Beverage holds a Zacks Rank of #3 (Hold).
Looking at its valuation, Monster Beverage is holding a Forward P/E ratio of 32.53. This signifies a premium in comparison to the average Forward P/E of 19.4 for its industry.
We can additionally observe that MNST currently boasts a PEG ratio of 1.56. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Beverages - Soft drinks was holding an average PEG ratio of 2.12 at yesterday's closing price.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 26, putting it in the top 11% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Monster Beverage Corporation (MNST) : Free Stock Analysis Report
