Fundamental analysis · SEC EDGAR · TTM through 31/03/2026

Fundamental analysis of Monster Beverage Corp

MNST · Nasdaq · Consumer

Fundamental quality

ATTRACTIVE

82

out of 100

Monster Beverage Corp fits the profile of a quality compounder: it pairs high return on capital (ROE 23.3%) with wide margins (net margin 23.1%) and a business that keeps growing (13.2% a year). On fundamental quality it scores 82 out of 100, profiling it as a company with solid fundamentals. Its weakest area is its growth (revenue +13.2%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

Monster Beverage is the world's number two in energy drinks, distributed globally by Coca-Cola (also a shareholder). One of American consumer's great value-creation stories: a cheap-to-make can sold with a powerful brand.

What will shape its future

  • Energy-category growth and international expansion.
  • Competition from Celsius and new brands fighting for the young consumer.
  • Its distribution alliance with Coca-Cola, a logistics edge nearly impossible to replicate.

Breakdown by area

I.Growth
61

EPS growth: 7.2% · Revenue growth: 13.2%

II.Profitability
89

Net margin: 23.1% · ROE: 23.3% · ROIC: 28.7%

III.Financial health
95

Net debt/EBITDA: -0.68x · FCF: 23.6%

Source: SEC EDGAR · TTM through 31/03/2026

The score combines growth, profitability and financial strength. Here its financial strength weighs in its favor, while its growth drags it down the most.

Versus its sector

Percentile against the other 98 Consumer companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 96%
ROEbeats 63%
Growthbeats 71%
Cash generationbeats 95%
Less debtbeats 89%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Monster Beverage Corp strengths

  • Excellent free-cash-flow generation (FCF margin of 23.6%): profit turns into real cash.
  • High gross margin (55.5%), pointing to pricing power.
  • Strong return on equity (ROE of 23.3%): it puts shareholder capital to good use.
  • High net margin (23.1%), high even for its sector: the business is clearly profitable.

Monster Beverage Corp risks and weaknesses

  • Shrinking margins: net margin has fallen from 31% to 23% in recent years.

Monster Beverage Corp historical evolution

YearRevenueNet incomeFree cash flowNet debt
20204,5991,4101,315-1,180
20215,5411,3771,112-1,326
20226,3111,192699-1,307
20237,1401,6311,496-2,298
20247,4931,5091,664-1,159
20258,2941,9051,966-2,088

Between 2020 and 2025, revenue went from $4,599M to $8,294M (+80%) and net income went from $1,410M to $1,905M (+35%). Meanwhile, its margins have narrowed (from 31% to 23%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the quarter ended March 31, 2026, versus the quarter ended March 31, 2025 (SEC filings):

  • Revenue+26.9%
  • Net income+28.6%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

This company doesn't pay a dividend: it reinvests all its earnings back into the business.

Advertising

Want to invest in Monster Beverage Corp?

Open your account in minutes with regulated brokers and buy U.S. and European stocks from small amounts. No paperwork.

Interactive BrokersGlobal markets

The serious investor's standard

Open free account →
WebullCommission-free

Popular in the U.S.

Open free account →

Investing carries risk of loss.

Is Monster Beverage Corp cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

Compute the valuation →

Frequently asked questions

Is Monster Beverage Corp a good company to invest in?

In terms of business quality, Monster Beverage Corp scores 82 out of 100 in our analysis, placing it as a company of high fundamental quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Monster Beverage Corp a profitable company?

Very. Monster Beverage Corp shows a net margin of 23.1% and an ROE of 23.3%, typical of a highly profitable business.

Does Monster Beverage Corp have a lot of debt?

No. Monster Beverage Corp has a net cash position: more cash than debt.

Is Monster Beverage Corp growing?

Its revenue has grown 13.2% annualized in recent years and its earnings per share 7.2%, and without interruption since 2020.

Does Monster Beverage Corp generate cash?

Yes. It converts about 23.6% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

Was this page helpful?