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Is Monster Beverage's Zero-Sugar Push Reshaping Energy Drink Trends?

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Key Takeaways

  • MNST's growing focus on zero-sugar drinks aligns with rising demand for healthier beverage choices.
  • The Ultra line leads growth, boosted by new flavors, digital engagement and cultural relevance.
  • New zero-sugar launches planned for 2026 support MNST's push to shape modern energy drink trends.

Monster Beverage Corporation’s (MNST - Free Report) growing emphasis on zero-sugar formulations has become one of the brand’s most defining strategic pivots, aligning perfectly with shifting consumer trends toward healthier, lower-calorie beverage choices. As the global energy drink market matures, consumers are no longer driven solely by functional benefits like energy and alertness, they are increasingly seeking products that support long-term wellness.

Monster Beverage expanded its zero-sugar portfolio, led by the Ultra family and amplified by the viral popularity of flagship flavors like White Zero Ultra, has positioned the company at the center of this evolving demand curve. This shift is not just matching consumer trends, it is actively helping shape them.

In recent quarters, Monster Beverage’s zero-sugar offerings have delivered some of its strongest growth. The Ultra line continues to outperform the broader category, benefiting from repeat purchases, a broader flavor mix and a marketing strategy heavily tied to digital engagement and lifestyle branding.

Innovations such as Ultra Wild Passion, Ultra Vice Guava and the high-profile launch of Monster Energy Lando Norris Zero Sugar have driven strong traction across both U.S. and international markets. These products not only offer functional energy but also tap into cultural relevance and social media virality, key factors behind the accelerating shift in consumer preferences. The brand’s success with zero-sugar innovations demonstrates that taste, identity and nutritional positioning can coexist to drive meaningful volume and share gains.

This momentum shows no signs of slowing. With new zero-sugar SKUs planned for 2026 and rising acceptance of zero-sugar energy drinks globally, Monster Beverage is well-positioned to capitalize on a durable category trend. The company’s strategic mix of innovation, pricing discipline and targeted merchandising ensures that zero-sugar offerings remain accessible and visible across markets and channels. As consumers increasingly gravitate toward “healthier indulgence,” Monster Beverage’s zero-sugar push is not merely responding to demand, it is helping redefine what the modern energy drink looks like, tastes like and stands for.

MNST’s Zacks Rank & Share Price Performance

Shares of this Zacks Rank #1 (Strong Buy) company have appreciated 36.7% in the past year, outperforming the Zacks Beverages - Soft Drinks industry’s rise of 5.5% and the broader Consumer Staples sector’s decline of 2.6%.

MNST Stock's Past Year Performance

Zacks Investment Research
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Is MNST Stock a Value Play?

Monster Beverage shares are currently trading at a forward 12-month price-to-earnings (P/E) multiple of 33.40X, which positions it at a discount compared with the industry’s average of 17.97X. As a result, MNST is offering compelling value to investors looking for exposure to the consumer staple sector.

MNST P/E Ratio (Forward 12 Months)

Zacks Investment Research
Image Source: Zacks Investment Research

Other Stocks to Consider

Chefs' Warehouse Holdings, LLC (CHEF - Free Report) is a distributor of specialty food products. It currently sports a Zacks Rank of 1. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Chefs' Warehouse’s current financial-year earnings and revenues implies growth of 29.3% and 8.1%, respectively, from the year-ago actuals. CHEF delivered a trailing four-quarter average earnings surprise of 14.7%.

Ambev (ABEV - Free Report) is engaged in producing, distributing and selling beer, carbonated soft drinks and other non-alcoholic and non-carbonated products in many countries across the Americas. ABEV currently carries a Zacks Rank #2 (Buy).

The Zacks Consensus Estimate for Ambev’s current financial-year sales indicates year-over-year growth of 1.5%, while the EPS estimate suggests no change from the year-ago reported number. ABEV delivered a trailing four-quarter negative earnings surprise of 4.2%, on average.

PepsiCo Inc. (PEP - Free Report) is one of the leading global food and beverage companies. It currently has a Zacks Rank of 2.

PepsiCo delivered a trailing four-quarter earnings surprise of 1%, on average. The Zacks Consensus Estimate for PEP’s current financial-year sales indicates growth of 1.8% from the year-ago reported number, while that for EPS suggests a 0.6% decline.

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