Monster Beverage Corporation (MNST) Stock Analysis
Score ACompounder · Grade A · Bullish
$86.58
$79.36
-8.3%
10/10
A
Compounder
Investment Thesis
Good opportunity: Solid company with good risk/reward at 10.0:1.
For New Investors
Quantitative score: high
For Current Holders
Quantitative score: neutral
Buy if
- Price drops 15-20% (improves asymmetry)
- Bull scenario catalysts materialize
- Market-wide correction creates opportunity
Sell if
- Bear scenario triggers occur
- Quality metrics deteriorate (ROIC declining)
- Better alternatives emerge
Valuation
Fair Value estimate: $79.36 (-8.3%). Approximately at fair value.
PEG-Based EPS
$104.82
FCF DCF Model
$76.51
EV/EBITDA
$61.53
Blended Fair Value
$79.36
Confidence
High
Methods
PEG-Based EPS, FCF 2-Stage DCF, EV/EBITDA
Quality Analysis
100/120 points
Investable
ROE (3Y Avg)
22.7%
ROIC-WACC Spread
13.7%
D/E Ratio
1.5x
Current Ratio
3.7x
Interest Coverage
367x
FCF Positive Years
3/3
Quality Flags
- Leverage: D/E 1.5x (0/15 pts)
Market Sentiment
Wall Street Consensus
$86.00
-0.7% Upside
23 analysts
Range: $70.00 — $100.00
Rating: Buy
Our model aligns with Wall Street consensus.
Trend & Technical
Price ($86.45) is 17.9% above SMA 200 ($73.33). Bullish trend confirmed.
Tech Score 90/100 — MOMENTUM ALIGNMENT. Healthy uptrend confirmed by RSI and MACD. Technical tailwind.
Risk & Reward
Asymmetry Ratio
10.00:1
Expected Return
+90.1%
Bull Upside
+134.1%
Bear Downside
-10.0%
Excellent asymmetry: >3:1 ratio. Upside significantly outweighs downside.
Verdict: Very Favorable
Scenario Analysis
Bear
Base
Bull
Buy Zone & Action Plan
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AI Executive Summary
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Technical Analysis
RSI, MACD, moving averages, trend signals, and momentum indicators.
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Frequently Asked Questions
What is the fair value of MNST?
Based on our multi-method conviction analysis, the estimated fair value of Monster Beverage Corporation (MNST) is $79.36. This is calculated by blending PEG-Based EPS, FCF 2-Stage DCF, EV/EBITDA and applying a quality premium of 0% based on the company's fundamentals. The confidence level of this estimate is high.
Is MNST a buy, sell, or hold?
MNST currently has a BUY rating with a conviction score of 10/10. Good opportunity: Solid company with good risk/reward at 10.0:1. Quantitative score: high.
Is MNST a high-quality stock?
Monster Beverage Corporation has a quality grade of A (100/120 points), rated as Investable. Key metrics include ROE of 22.7%, ROIC-WACC spread of 13.7%, and D/E ratio of 1.5x.
What type of stock is MNST?
MNST is classified as a "compounder" in our framework. High P/E: 41.8x, Low dividend (reinvesting): 0.0%, Moderate growth: 12.4%, Strong ROE: 25.5%, Compounder growth range: 12.4%
What do Wall Street analysts say about MNST?
23 Wall Street analysts have a consensus price target of $86.00 for MNST, representing -0.7% upside. Targets range from $70.00 to $100.00. The consensus recommendation is "Buy". Our model aligns with Wall Street consensus.
What are the risks of investing in MNST?
The risk/reward asymmetry ratio for MNST is 10.00:1, rated as Very Favorable. Excellent asymmetry: >3:1 ratio. Upside significantly outweighs downside. The expected return is +90.1%, with bull case upside of +134.1% and bear case downside of -10.0%.
What is the current trend for MNST?
MNST is in a bullish trend. Price ($86.45) is 17.9% above SMA 200 ($73.33). Bullish trend confirmed. The technical score is 90/100.
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Last updated: May 19, 2026 · Framework version 3.7
This analysis is for informational purposes only and should not be considered financial advice. Always do your own research before making investment decisions.