#2 - Monster Beverage (NASDAQ:MNST)
Monster Beverage Corporation (NASDAQ: MNST) has been one of the strongest-growing stocks in the past five years, averaging about 14% per year. That's more of what growth investors want. And the company, which is best known for its signature energy drink, has more room to move higher.
The data agrees through the first three quarters of the company's 2023 fiscal year. Revenue in the first three quarters is up 12%, and EPS is up a whopping 43%. The company's gross margin increased to 53% in the last quarter, up from 51.3% in Q3 2022. That kind of margin tells investors that Monster has pricing power at a time when inflation remains sticky.
You should also know that Coca-Cola owns 20% of Monster. This puts it at least tangentially under Warren Buffett's Berkshire Hathaway Inc. (NYSE: BRK.B) umbrella.
Although MSTR stock does not currently pay a dividend, the company does have over $1.2 billion in free cash flow, which continues to grow strongly each quarter. Monster has minimal debt and only plans to allocate about $225 million in capital expenditures in 2024.
About Monster Beverage
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: Monster Energy Drinks, Strategic Brands, Alcohol Brands, and Other.
Read More - Current Price
- $54.00
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 13 Buy Ratings, 6 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $56.45 (4.5% Upside)
