Monster Beverage Corp
MNST
Bottled & Canned Soft Drinks & Carbonated Waters
Mkt Cap
$53.77BPE
32.09Debt
-Cash
$2.577BEV
-FCF
$1.458BP/E Ratio
32.09Debt
-Cash
$2.577BEV
-FCF
$1.458BCharts data: {"Earnings":[{"time":"2014-12-30","value":483185000},{"time":"2015-12-30","value":546733000},{"time":"2016-12-30","value":712685000},{"time":"2017-12-30","value":820678000},{"time":"2018-12-30","value":993004000},{"time":"2019-12-30","value":1107835000},{"time":"2020-12-30","value":1409594000},{"time":"2021-12-30","value":1377475000},{"time":"2022-12-30","value":1191624000},{"time":"2023-12-30","value":1630988000}],"Sales":[{"time":"2014-12-30","value":2464867000},{"time":"2015-12-30","value":2722564000},{"time":"2016-12-30","value":3049393000},{"time":"2017-12-30","value":3369045000},{"time":"2018-12-30","value":3807183000},{"time":"2019-12-30","value":4200819000},{"time":"2020-12-30","value":4598638000},{"time":"2021-12-30","value":5541352000},{"time":"2022-12-30","value":6311050000},{"time":"2023-12-30","value":7140027000}],"Net Margins":[{"time":"2014-12-30","value":0.19602883238730529},{"time":"2015-12-30","value":0.20081548128896143},{"time":"2016-12-30","value":0.2337137259775962},{"time":"2017-12-30","value":0.2435936593307599},{"time":"2018-12-30","value":0.26082381645431807},{"time":"2019-12-30","value":0.2637188129267174},{"time":"2020-12-30","value":0.30652423608903334},{"time":"2021-12-30","value":0.24858103221018987},{"time":"2022-12-30","value":0.18881549029083908},{"time":"2023-12-30","value":0.228428828070258}],"Assets":[{"time":"2014-12-30","value":1938875000},{"time":"2015-12-30","value":5675189000},{"time":"2016-12-30","value":4153471000},{"time":"2017-12-30","value":4791012000},{"time":"2018-12-30","value":4526891000},{"time":"2019-12-30","value":5150352000},{"time":"2020-12-30","value":6202716000},{"time":"2021-12-30","value":7804784000},{"time":"2022-12-30","value":8293105000},{"time":"2023-12-30","value":9686522000}],"Stockholders Equity":[{"time":"2014-12-30","value":1515150000},{"time":"2015-12-30","value":4809410000},{"time":"2016-12-30","value":3329709000},{"time":"2017-12-30","value":3895212000},{"time":"2018-12-30","value":3610901000},{"time":"2019-12-30","value":4171281000},{"time":"2020-12-30","value":5160860000},{"time":"2021-12-30","value":6566951000},{"time":"2022-12-30","value":7025041000},{"time":"2023-12-30","value":8228744000}],"ROE":[{"time":"2014-12-30","value":0.3189024189024189},{"time":"2015-12-30","value":0.11367984846374088},{"time":"2016-12-30","value":0.214038223760695},{"time":"2017-12-30","value":0.21068891757367764},{"time":"2018-12-30","value":0.275001723946461},{"time":"2019-12-30","value":0.2655862791310391},{"time":"2020-12-30","value":0.2731316098479711},{"time":"2021-12-30","value":0.20975868405291892},{"time":"2022-12-30","value":0.16962520218743207},{"time":"2023-12-30","value":0.19820619039795137}],"ROA":[{"time":"2014-12-30","value":0.3855354264715363},{"time":"2015-12-30","value":0.15746665000936533},{"time":"2016-12-30","value":0.2613086741185866},{"time":"2017-12-30","value":0.2508077625353474},{"time":"2018-12-30","value":0.285686578271931},{"time":"2019-12-30","value":0.2749252866600186},{"time":"2020-12-30","value":0.26329643336886616},{"time":"2021-12-30","value":0.2308095906305671},{"time":"2022-12-30","value":0.19108898295632334},{"time":"2023-12-30","value":0.21354228070715164}]}
Monster Beverage Corporation, through its subsidiaries, engages in development, marketing, sale, and distribution of energy drink beverages and concentrates in the United States and internationally. The company operates through three segments: Finished Product, Concentrate, and Other. It offers carbonated non-carbonated energy drinks, ready-to-drink iced teas and juice drinks, lemonades, juice cocktails, single-serve juices and fruit beverages, ready-to-drink dairy and coffee drinks, energy drinks, sports drinks and single-serve still waters, and sodas that are considered natural, sparkling juices, and flavored sparkling beverages. The company sells its products to full service beverage bottlers/distributors, retail grocery and specialty chains, wholesalers, club stores, drug chains, mass merchandisers, convenience chains, health food distributors, food service customers, and the military; and concentrates and/or beverage bases to authorized bottling and canning operations. It provides its products under the Monster Energy, Monster Energy Ultra, Monster Rehab, Monster Energy Nitro, Java Monster, Punch Monster, Juice Monster, Muscle Monster, Espresso Monster, Monster Hydro Energy Water, Monster Hydro Super Sport, Monster Super Fuel, Monster Dragon Tea, Reign Total Body Fuel, and Reign Inferno Thermogenic Fuel, Reign Storm, True North, NOS, Full Throttle, Burn, Mother, Nalu, Ultra Energy, Play and Power Play (stylized), Relentless, BPM, BU, Gladiator, Samurai, Live+, Predator, and Fury brands. The company was formerly known as Hansen Natural Corporation and changed its name to Monster Beverage Corporation in January 2012. Monster Beverage Corporation was founded in 1985 and is headquartered in Corona, California.
DCF
Discounted Cash Flow Valuation of Monster Beverage Corp
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $1.458B | $1.635B | $1.821B | $2.014B | $2.211B | $2.409B | $2.607B | $2.799B | $2.984B | $3.157B | $3.314B | $33.14B |
| DCF | $1.422B | $1.377B | $1.324B | $1.264B | $1.198B | $1.127B | $1.052B | $975.4M | $897.3M | $819.3M | $8.193B | |
| Value | $19.65B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 13%
Earnings Stability 89%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | 20% | 23% | 24% | 26% | 26% | 31% | 25% | 19% | 23% | 23% |
| ROA | 16% | 26% | 25% | 29% | 27% | 26% | 23% | 19% | 21% | 21% |
| ROE | 11% | 21% | 21% | 28% | 27% | 27% | 21% | 17% | 20% | 20% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +24.95%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is -1.27%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +24.32%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is -1.84%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +23.19%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is -2.1%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | - | - | - | - | - | - | - | - | - | - |
| Debt Equity | - | - | - | - | - | - | - | - | - | - |
| MIN | ||||||||||
| Graham Stability | - | - | 100% | 100% | 100% | 100% | 100% | 92% | 100% | 92% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is -.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -.
What is the Graham’s Stability?
Graham’s Stability measure stands at 0.92.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 12-2016 | 12-2018 | 12-2020 | 12-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | 13% | 13% | 16% | 13% | 0.55% |
| Net Income | 13% | 10% | 5% | 37% | -1.1% |
| Stockholders Equity | 14% | 18% | 17% | 17% | -11% |
| FCF | 14% | 6.3% | 4.4% | 110% | 3.4% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +13.4%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is +0.55%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is +10.43%.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is -1.09%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is +17.91%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is -10.61%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is +6.35%.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +3.36%.