Is Monster Beverage Stock Outperforming the S&P 500?
Corona, California-based Monster Beverage Corporation (MNST) engages in the development, marketing, sale, and distribution of energy drink beverages and concentrates. With a market cap of $61.4 billion, the company operates through four segments: Monster Energy Drinks, Strategic Brands, Alcohol Brands, and Other.
Companies worth $10 billion or more are generally described as “large-cap stocks”, and Monster Beverage fits this criterion perfectly. The company offers a wide range of energy beverages that appeal to younger, active consumers and continues to expand through international growth and new product innovations.
Monster Beverage stock has dropped nearly 2.3% from its 52-week high of $64.45 recorded on May 28. Shares of MNST have surged 13.8% in the past three months, outperforming the S&P 500 Index’s ($SPX) 1.7% increase.
In the longer term, MNST stock has climbed 19.9% on a YTD basis, whereas SPX has risen marginally. Moreover, shares of Monster Beverage soared 21.2% over the past 52 weeks, notably outpacing the SPX's 10.9% returnover the same time frame.
The stock has climbed above its 50-day and 200-day moving averages since mid-February.
Shares of MNST rose 1.4% following the release of Q1 2025 results on May 8. The company reported revenue of $1.9 billion, a 35.3% year-over-year decline, which missed the Street's expectations. The decline in net sales was driven by several factors, including unfavorable ordering patterns from bottlers and distributors in the U.S. and EMEA, adverse foreign currency exchange rates, and weaker sales in the Alcohol Brands segment. However, adjusted EPS came in at $0.47, up 11.9% from the prior year quarter, surpassing the analysts' estimate of 2.2%.
In contrast, rival Keurig Dr Pepper Inc. (KDP) has performed weaker than MNST stock. Shares of KDP have fallen 6.4% over the past 52 weeks and have risen 1.4% on a YTD basis.
Although Monster Beverage has outperformed compared to the broader market over the past year, analysts are cautiously optimistic about its prospects. The stock has a consensus rating of “Moderate Buy” from the 19 analysts covering it, and it is currently trading slightly above the mean price target of $62.31.
On the date of publication, Sohini Mondal 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.