81.94 USD
+1.05 (+1.3%)
MNST gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 33 industry peers in the Beverages industry. MNST gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, MNST is valued expensive at the moment. These ratings could make MNST a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
- In the past year MNST was profitable.
- In the past year MNST had a positive cash flow from operations.
- Each year in the past 5 years MNST has been profitable.
- In the past 5 years MNST always reported a positive cash flow from operatings.
1.2 Ratios
- MNST has a Return On Assets of 17.97%. This is amongst the best in the industry. MNST outperforms 93.94% of its industry peers.
- With a decent Return On Equity value of 22.30%, MNST is doing good in the industry, outperforming 78.79% of the companies in the same industry.
- The Return On Invested Capital of MNST (23.00%) is better than 96.97% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for MNST is significantly above the industry average of 11.45%.
- The 3 year average ROIC (19.65%) for MNST is below the current ROIC(23.00%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.97% | ||
| ROE | 22.3% | ||
| ROIC | 23% |
ROA(3y)16.92%
ROA(5y)18.23%
ROE(3y)20.7%
ROE(5y)22.08%
ROIC(3y)19.65%
ROIC(5y)20.53%
1.3 Margins
- MNST has a better Profit Margin (21.65%) than 93.94% of its industry peers.
- In the last couple of years the Profit Margin of MNST has declined.
- MNST has a better Operating Margin (29.91%) than 93.94% of its industry peers.
- MNST's Operating Margin has declined in the last couple of years.
- The Gross Margin of MNST (55.81%) is better than 75.76% of its industry peers.
- In the last couple of years the Gross Margin of MNST has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.91% | ||
| PM (TTM) | 21.65% | ||
| GM | 55.81% |
OM growth 3Y-5.5%
OM growth 5Y-3.99%
PM growth 3Y-6.78%
PM growth 5Y-5.25%
GM growth 3Y-1.24%
GM growth 5Y-1.56%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so MNST is creating value.
- The number of shares outstanding for MNST has been reduced compared to 1 year ago.
- The number of shares outstanding for MNST has been reduced compared to 5 years ago.
- MNST has a worse debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 28.79 indicates that MNST is not in any danger for bankruptcy at the moment.
- MNST's Altman-Z score of 28.79 is amongst the best of the industry. MNST outperforms 100.00% of its industry peers.
- MNST has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 28.79 |
ROIC/WACC2.58
WACC8.9%
2.3 Liquidity
- MNST has a Current Ratio of 3.19. This indicates that MNST is financially healthy and has no problem in meeting its short term obligations.
- MNST has a better Current ratio (3.19) than 93.94% of its industry peers.
- A Quick Ratio of 2.74 indicates that MNST has no problem at all paying its short term obligations.
- MNST has a better Quick ratio (2.74) than 93.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.19 | ||
| Quick Ratio | 2.74 |
3. Growth
3.1 Past
- MNST shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.25%, which is quite good.
- The Earnings Per Share has been growing by 9.45% on average over the past years. This is quite good.
- Looking at the last year, MNST shows a small growth in Revenue. The Revenue has grown by 7.62% in the last year.
- Measured over the past years, MNST shows a quite strong growth in Revenue. The Revenue has been growing by 12.27% on average per year.
EPS 1Y (TTM)19.25%
EPS 3Y7.81%
EPS 5Y9.45%
EPS Q2Q%40%
Revenue 1Y (TTM)7.62%
Revenue growth 3Y10.58%
Revenue growth 5Y12.27%
Sales Q2Q%16.81%
3.2 Future
- The Earnings Per Share is expected to grow by 15.40% on average over the next years. This is quite good.
- Based on estimates for the next years, MNST will show a quite strong growth in Revenue. The Revenue will grow by 8.67% on average per year.
EPS Next Y25.98%
EPS Next 2Y19.1%
EPS Next 3Y16.47%
EPS Next 5Y15.4%
Revenue Next Year9.59%
Revenue Next 2Y9.34%
Revenue Next 3Y8.98%
Revenue Next 5Y8.67%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 42.68, the valuation of MNST can be described as expensive.
- 60.61% of the companies in the same industry are cheaper than MNST, based on the Price/Earnings ratio.
- MNST's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.30.
- Based on the Price/Forward Earnings ratio of 35.88, the valuation of MNST can be described as expensive.
- Based on the Price/Forward Earnings ratio, MNST is valued a bit more expensive than 63.64% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.32, MNST is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.68 | ||
| Fwd PE | 35.88 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MNST indicates a slightly more expensive valuation: MNST is more expensive than 63.64% of the companies listed in the same industry.
- MNST's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.33 | ||
| EV/EBITDA | 30.62 |
4.3 Compensation for Growth
- MNST's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of MNST may justify a higher PE ratio.
- MNST's earnings are expected to grow with 16.47% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.64
PEG (5Y)4.52
EPS Next 2Y19.1%
EPS Next 3Y16.47%
5. Dividend
5.1 Amount
- No dividends for MNST!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
MONSTER BEVERAGE CORP / MNST FAQ
What is the ChartMill fundamental rating of MONSTER BEVERAGE CORP (MNST) stock?
ChartMill assigns a fundamental rating of 6 / 10 to MNST.
What is the valuation status of MONSTER BEVERAGE CORP (MNST) stock?
ChartMill assigns a valuation rating of 2 / 10 to MONSTER BEVERAGE CORP (MNST). This can be considered as Overvalued.
What is the profitability of MNST stock?
MONSTER BEVERAGE CORP (MNST) has a profitability rating of 8 / 10.
Can you provide the financial health for MNST stock?
The financial health rating of MONSTER BEVERAGE CORP (MNST) is 9 / 10.
What is the earnings growth outlook for MONSTER BEVERAGE CORP?
The Earnings per Share (EPS) of MONSTER BEVERAGE CORP (MNST) is expected to grow by 25.98% in the next year.