Based in Corona, California, Monster Beverage Corporation (MNST) is a global leader in the energy drink industry, known for its diverse portfolio of energy drinks and beverages. With a market cap of $51.94 billion, Monster Beverage is renowned for its innovative product offerings and strong brand presence, providing consumers with energizing beverages that fuel their active lifestyles. The company is set to announce its fiscal Q2 earnings results on Thursday, Aug. 1.
Ahead of the event, analysts expect MNST to report a profit of $0.45 per share, up 15.4% from $0.39 per share in the year-ago quarter. In the last four quarters, the company has surpassed and matched Wall Street’s bottom-line estimates in two and missed on other two occasions.
Monster Beverage's adjusted earnings of $0.42 per share for the last quarter missed the consensus estimate by 4.6%. Its Q1 performance was aided by energy drink category expansion and product launches, but unfavorable currency translations and higher operating expenses led to the earnings miss.
For fiscal 2024, analysts expect MNST to report EPS of $1.75, up 12.9% from $1.55 in fiscal 2023.
MNST stock has declined 13.5% on a YTD basis, underperforming the broader S&P 500 Index's ($SPX) 18.1% gains and the S&P 500 Cons Staples Sector SPDR’s (XLP) 6.9% returns over the same time frame.
MNST stock has been facing challenges from macroeconomic factors such as currency fluctuations and industry trends favoring healthier beverage alternatives. The stock marginally declined on the earnings release day and has remained on a downtrend since then.
The consensus opinion on MNST stock is optimistic, with an overall “Moderate Buy” rating. Out of 22 analysts covering the stock, 12 advise a “Strong Buy” rating, one suggests a “Moderate Buy” rating, seven recommend a “Hold,” and two suggest a “Strong Sell.”
This configuration is less bullish than three months ago when the stock had 14 “Strong Buy” ratings. MNST's average analyst price target is $60.32, indicating a potential upside of 21% from the current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
