Monster Beverage (NASDAQ:MNST) Issues Earnings Results

Monster Beverage (NASDAQ:MNST) issued its quarterly earnings data on Thursday. The company reported $0.60 earnings per share for the quarter, beating analysts’ consensus estimates of $0.58 by $0.02, FiscalAI reports. The company had revenue of $2.50 billion during the quarter, compared to analysts’ expectations of $2.43 billion. Monster Beverage had a return on equity of 26.91% and a net margin of 23.08%.The firm’s revenue for the quarter was up 20.2% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.52 earnings per share.

Here are the key takeaways from Monster Beverage’s conference call:

• Record quarterly sales and earnings growth: Net sales rose 20.2% to $2.54 billion, while adjusted operating income increased 13.3% and adjusted diluted EPS grew 15.2% to $0.60. Sales increased double digits across every geographic region.
• Broad-based international momentum: Foreign-currency-adjusted sales increased 29% internationally, led by LATAM at 40.4%, APAC at 36.7%, and EMEA at 22.2%. Management cited share gains, innovation, stronger Coca-Cola bottler execution, and particularly strong growth in Brazil, China, and India.
• Innovation and distribution are supporting recruitment: U.S. market share for the Monster brand family increased 70 basis points, with Ultra sales up 19% and Juice Monster up 26%; the limited-time Ultra Red, White, and Blue offering reached 5% of scanner sales after its national launch. The company is also expanding food-service and on-premise distribution through opportunities such as Marriott.
• Higher operating costs pressured profitability: Distribution expenses rose sharply due to freight and fuel, while selling expenses increased substantially because of expanded marketing, sponsorships, and digital campaigns. Aluminum costs are expected to rise modestly through at least the end of 2026, although management plans to offset inflation through selective pricing and hedging.
• Near-term sales trends and pricing remain favorable: July sales excluding alcohol increased approximately 13.9% on a foreign-currency-adjusted basis, and the company is pursuing selective U.S. pricing actions in the fourth quarter alongside additional pricing in certain international markets. Management also said approximately $900 million remains available under its share-repurchase authorization, though no shares were repurchased during the quarter.

Monster Beverage Price Performance

Shares of MNST stock traded down $3.80 during trading hours on Friday, reaching $90.36. 8,503,845 shares of the company’s stock were exchanged, compared to its average volume of 5,641,748. The company has a market cap of $88.37 billion, a P/E ratio of 41.83, a price-to-earnings-growth ratio of 2.94 and a beta of 0.53. The company’s 50 day moving average is $94.34 and its two-hundred day moving average is $84.75. Monster Beverage has a 1 year low of $60.97 and a 1 year high of $100.34.

Monster Beverage shares are scheduled to split before the market opens on Tuesday, August 11th. The 2-1 split was announced on Wednesday, July 8th. The newly created shares will be distributed to shareholders after the market closes on Monday, August 10th.

Insiders Place Their Bets

In other Monster Beverage news, CFO Thomas J. Kelly sold 7,000 shares of the firm’s stock in a transaction on Wednesday, May 13th. The stock was sold at an average price of $87.81, for a total value of $614,670.00. Following the completion of the sale, the chief financial officer owned 62,553 shares of the company’s stock, valued at approximately $5,492,778.93. This trade represents a 10.06% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Mark J. Hall sold 54,000 shares of the business’s stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $85.81, for a total transaction of $4,633,740.00. Following the sale, the director owned 299,246 shares in the company, valued at $25,678,299.26. The trade was a 15.29% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 178,700 shares of company stock valued at $15,457,562 in the last three months. 8.10% of the stock is owned by corporate insiders.

Institutional Trading of Monster Beverage

Several hedge funds and other institutional investors have recently made changes to their positions in MNST. Newbridge Financial Services Group Inc. boosted its position in Monster Beverage by 1,338.7% during the second quarter. Newbridge Financial Services Group Inc. now owns 446 shares of the company’s stock worth $28,000 after acquiring an additional 415 shares during the last quarter. Kemnay Advisory Services Inc. acquired a new position in Monster Beverage in the fourth quarter valued at $35,000. Triumph Capital Management purchased a new position in Monster Beverage during the third quarter worth about $36,000. Miller Capital Partners Inc. purchased a new position in Monster Beverage during the fourth quarter worth about $36,000. Finally, Prosperity Bancshares Inc acquired a new stake in Monster Beverage in the 4th quarter worth about $39,000. Institutional investors and hedge funds own 72.36% of the company’s stock.

Monster Beverage declared that its board has initiated a stock buyback program on Friday, May 15th that allows the company to buyback $500.00 million in outstanding shares. This buyback authorization allows the company to reacquire up to 0.6% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s management believes its stock is undervalued.

Monster Beverage News Roundup

Here are the key news stories impacting Monster Beverage this week:

• Positive Sentiment: Q2 results exceeded expectations: Monster reported earnings of $0.60 per share versus the $0.58 consensus estimate, while revenue rose 20.2% year over year to $2.50 billion, ahead of the $2.43 billion forecast. Monster Beverage earnings report
• Positive Sentiment: Broad-based growth remains intact: Energy-drink demand, international markets and the company’s core business drove the sales acceleration. Management also reported improving margins despite higher costs. Monster Beverage Q2 sales growth
• Positive Sentiment: Analysts raised price targets: Piper Sandler increased its target to $101 and maintained an overweight rating; Evercore raised its target to $105 with an outperform rating; and UBS lifted its target to $105 while retaining a neutral rating. These targets imply meaningful upside from the cited reference price. Piper Sandler price target
• Neutral Sentiment: Pricing actions are planned: Monster outlined selective pricing actions for the fourth quarter of 2026 and scheduled an investor meeting for December 1, which could provide additional details on strategy, margins and growth outlook. Monster pricing actions and investor meeting
• Negative Sentiment: Strong results were not enough to support the stock: The market reaction indicates elevated expectations may already have been reflected in MNST’s valuation. With a high earnings multiple and shares near their 12-month high, investors may be demanding stronger forward guidance or a larger earnings surprise.
• Negative Sentiment: Cost and execution risks remain: Rising costs continue to pressure profitability, while the company’s ability to sustain international growth and successfully implement pricing will be important to future earnings momentum.

Wall Street Analyst Weigh In

Several research analysts have issued reports on MNST shares. Wells Fargo & Company raised their price objective on shares of Monster Beverage from $97.00 to $105.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 8th. JPMorgan Chase & Co. decreased their target price on shares of Monster Beverage from $81.00 to $78.00 and set a “neutral” rating for the company in a research note on Monday, May 4th. Morgan Stanley set a $103.00 price target on Monster Beverage and gave the stock an “overweight” rating in a report on Monday, June 1st. Piper Sandler boosted their price target on Monster Beverage from $94.00 to $101.00 and gave the company an “overweight” rating in a research report on Friday. Finally, Evercore upped their price objective on Monster Beverage from $95.00 to $105.00 and gave the company an “outperform” rating in a research note on Friday. Thirteen analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat, Monster Beverage has an average rating of “Moderate Buy” and a consensus price target of $95.55.

About Monster Beverage

Monster Beverage Corporation (NASDAQ: MNST) is an American beverage company best known for its Monster Energy brand of energy drinks. The company’s product portfolio centers on carbonated energy beverages and a range of complementary ready-to-drink offerings, including energy coffees, hydration beverages and other flavored functional drinks. Monster markets multiple sub-brands and flavor variants to address different consumer segments and consumption occasions.

Originally organized around the Hansen’s Natural line of juices and sodas, the company pivoted toward the energy drink category and formally adopted the Monster Beverage name in the early 2010s to reflect its strategic focus.