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Monster Beverage (MNST) Gains As Market Dips: What You Should Know

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In the latest trading session, Monster Beverage (MNST - Free Report) closed at $50.30, marking a +0.64% move from the previous day. The stock's performance was ahead of the S&P 500's daily loss of 0.17%. Meanwhile, the Dow lost 0.58%, and the Nasdaq, a tech-heavy index, added 0.27%.

Prior to today's trading, shares of the energy drink maker had lost 8.33% over the past month. This has lagged the Consumer Staples sector's loss of 5.48% and the S&P 500's loss of 3.95% in that time.

Investors will be eagerly watching for the performance of Monster Beverage in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.40, marking a 33.33% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $1.86 billion, indicating a 14.74% upward movement from the same quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.54 per share and a revenue of $7.17 billion, indicating changes of +37.5% and +13.66%, respectively, from the former year.

Investors should also pay attention to any latest changes in analyst estimates for Monster Beverage. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Monster Beverage currently has a Zacks Rank of #3 (Hold).

Looking at valuation, Monster Beverage is presently trading at a Forward P/E ratio of 32.53. This expresses a premium compared to the average Forward P/E of 18.7 of its industry.

We can additionally observe that MNST currently boasts a PEG ratio of 1.46. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Beverages - Soft drinks industry currently had an average PEG ratio of 2.25 as of yesterday's close.

The Beverages - Soft drinks industry is part of the Consumer Staples sector. Currently, this industry holds a Zacks Industry Rank of 235, positioning it in the bottom 7% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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