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2 Energy Drink Stocks to Buy for a Stable Portfolio in 2026

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Key Takeaways

  • Monster Beverage sees solid sales growth and margin gains as global energy drink demand stays strong.
  • PepsiCo posts rising international beverage revenues with strong performances across key markets.
  • PepsiCo boosts productivity through automation, standardization and broader digital transformation efforts.

Energy drink companies manufacture and market beverages formulated to enhance energy, focus, and endurance. This space includes companies offering clean-label, low-sugar, and plant-based alternatives, as well as those producing traditional energy drinks, natural energy shots, and functional wellness beverages infused with vitamins, adaptogens, and electrolytes. Key industry trends include rising health consciousness, growing demand for low- or no-sugar options, and increasing overlap with sports nutrition and lifestyle wellness categories. 

Despite challenges such as regulatory scrutiny over caffeine content, intensifying competition, and shifting consumer preferences, energy drink companies remain compelling investment opportunities. Their strong global brands, high profit margins, and focus on innovation support long-term growth potential.

We narrowed our search to two energy drinks stocks with a favorable Zacks Rank for 2026. These stocks are likely to provide stability to your portfolio with steady returns. These are: Monster Beverage Corp. (MNST - Free Report) and PepsiCo Inc. (PEP - Free Report) . Each of our picks currently carries either a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The chart below shows the price performance of our two picks in the past month.

Zacks Investment Research
Image Source: Zacks Investment Research

Monster Beverage Corp.

Zacks Rank #1 Monster Beverage has been benefiting from the expansion of the energy drinks market and product launches, reinforcing its category strength. MNST continues to benefit from constant growth in the global energy drink market, backed by strong demand across convenience stores and other key retail channels. 

In third-quarter 2025, the Monster Energy Drinks segment's sales grew 16% on a currency-adjusted basis. Improving margins, supported by easing supply-chain pressures and lower costs, have contributed to MNST’s financial stability.

Monster Beverage has an expected revenue and earnings growth rate of 9.3% and 12.8%, respectively, for next year. The Zacks Consensus Estimate for next year’s earnings has improved 4.7% over the last 30 days.

PepsiCo Inc.

Zacks Rank #2 PepsiCo has been benefiting from strong international and North America beverage performance. International beverage revenues rose due to standout performances in markets like Mexico, Brazil, Germany and Thailand. 

On the convenient foods side, volume growth accelerated, led by markets such as India, Egypt, and Brazil. PEP remains focused on localizing flavor, expanding price-pack options for value-conscious consumers, and scaling global partnerships like its Formula 1 deal.

PEP’s focus on productivity and digital transformation remains a cornerstone of its long-term strategy to enhance efficiency, fund innovation, and support margin expansion. PEP continues to advance its multi-year, enterprise-wide productivity initiatives, which are fueled by automation, standardization, and increased adoption of digital tools and data analytics. 

PepsiCo has an expected revenue and earnings growth rate of 3.3% and 5.9%, respectively, for next year. The Zacks Consensus Estimate for next year’s earnings has improved 0.2% over the last 30 days.


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PepsiCo, Inc. (PEP) - free report >>

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