Consumer Defensive

Monster Beverage Corporation (MNST)

$88.24
-0.97%
$86.1B
Market Cap
42.6
P/E Ratio
0.50
Beta
Dividend Yield
Piotroski 5/9Altman Z 29.0 SafeBeneish M -2.29 Clean

Quantitative Summary

Deterministic

MNST trades at 42.6x earnings — a 31% premium to its sector average of 32.6x — without a dominant ROIC-WACC spread. Financial health is average: Piotroski 5/9, Altman Z 29.0. DCF fair value of $62 implies 17% downside based on model assumptions.

Generated deterministically from quant metrics and financial statements. Not a recommendation.

Algorithmic Teardown

AI-Generated

The company exhibits robust fundamental economics, characterized by a high ROIC of 22.4% and an ROE of 23.1%, driven primarily by expansive net margins at 23.0% rather than asset turnover or leverage. This profitability profile is reinforced by strong quality metrics: the Piotroski F-Score stands at 5/9, while the Altman Z-Score of 28.2 and Beneish M-Score of -2.29 suggest low distress risk and minimal earnings manipulation concerns. The DuPont decomposition reveals that the return on equity is fueled almost entirely by superior pricing power or cost efficiency (margins), with asset turnover at a moderate 0.83x and financial leverage acting as a minor amplifier at 1.21x, indicating an operational rather than balance-sheet driven growth engine supported by double-digit revenue expansion of 10.7% year-over-year.

Valuation metrics present a divergence between historical performance expectations and current pricing realities. Trading at a P/E multiple of 37.3x, the stock commands a premium relative to its implied fundamentals, as indicated by a DCF fair value estimate of $62 which suggests approximately -13.9% downside from current levels based on a projected ten-year free cash flow growth rate of 16.9%. This valuation gap implies that market participants are pricing in significantly higher future execution than the discount model assumes, potentially overlooking the constraints embedded within the high multiple relative to the specific risk-adjusted return profile.

Despite generating a notable Fama-French alpha of 8.70% annually and maintaining neutral exposure to value (HML) and profitability factors (RMW), recent insider activity introduces a counterweight to the bullish fundamental thesis. Net selling of $617,760 over the last ninety days signals internal skepticism or portfolio rebalancing that contrasts with the strong operational metrics, suggesting insiders may view the current valuation as less attractive than their external data points imply. The synthesis of high-quality earnings generation against elevated entry multiples and active insider distribution creates a scenario where future performance must materially exceed consensus to justify the existing price structure without relying on further multiple expansion.

Generated by LLM from quantitative data inputs. May contain inaccuracies. Not investment advice.

DCF Sandbox

Interactive
Market Price
$88.24
Fair Value
$63
Implied Upside
-28.8%
$63IMPLIED FAIR VALUEOVERVALUEDOVERUNDER
Growth Rate (Y1–5)22%
-10%20%50%
Discount Rate (WACC)10.0%
5%12.5%20%

5-year two-stage DCF. Terminal growth 3%. Default sliders match the pre-computed base case. Drag to explore scenarios. Not investment advice.

Reverse DCFMarket-Implied
17.4%annual FCF growth priced in at $88.24

The growth rate the market implicitly expects over the next 10 years to justify today's price. Compare with historical growth of 11% YoY revenue.

Sensitivity Matrix

TG ↓ / WACC →8%10%12%
2%$76$56$44
3%$89$62$48
4%$108$71$52

Center = base case. Green = >10% upside, Red = >10% downside vs $88.24.

Pre-computed DCF: WACC=10.0%, terminal growth 3%. Fair value $62 (-17.0%). Not investment advice.

Valuation Context

42.6x
MNST P/E
32.6x
Sector Avg
33.7x
5Y Avg P/E
+31%
vs Sector

Currently trading 16% above its 5-year average P/E of 33.7x.

Price Chart with Moving Averages

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SMA 50 SMA 200

Technical Setup

AI Generated

Monster Beverage Corporation is currently trading at $75.72, a price point that requires correlation with its specific moving averages to determine the prevailing trend direction and momentum status. Without explicit data on whether this level sits above or below key short-term or long-term moving averages, it remains unclear if the asset is in an established uptrend, downtrend, or consolidation phase based solely on this snapshot. The Relative Strength Index (RSI), a critical gauge of short-term momentum, also lacks specific numerical input here; consequently, one cannot definitively assess whether buying pressure is overwhelming selling interest or if the stock has entered overbought and oversold territory that might signal an impending reversal. In the absence of these supplementary technical metrics, the current price action alone does not reveal sufficient context to interpret market sentiment regarding future trajectory. The sector classification as Consumer Defensive suggests a potential resilience characteristic often sought during uncertain markets, yet this fundamental attribute does not override the need for precise trend confirmation via moving average positioning or momentum validation through RSI readings. Traders analyzing MNST must await further data points that clarify the relationship between price and these dynamic indicators to form a complete picture of short-term strength versus weakness before drawing conclusions about potential breakouts or breakdowns.

RSI (14)
SMA 50
SMA 200

Quant Health Deep Dive

5/9
Piotroski F-Score
Average — mixed operational signals
29.0
Altman Z-Score
Safe Zone — above 3.0 threshold per academic model. Thresholds: >3 safe, 1.8–3 grey, <1.8 distress.
-2.29
Beneish M-Score
Below threshold — no statistical earnings quality concern per Beneish model. Threshold: <-2.22 = below threshold.

Profitability & Value Creation

55.9%
Gross Margin
23.0%
Net Margin
22.4%
ROIC
+10.7%
Revenue Growth (YoY)
+26.3%
Earnings Growth (YoY)
1.9B
Free Cash Flow

DuPont Analysis — ROE Decomposition

Breaking down Return on Equity to see how the company generates its ROE — efficiency, margins, or leverage.

23.0%
Net Profit Margin
NI ÷ Revenue
×
0.83x
Asset Turnover
Revenue ÷ Assets
×
1.21x
Equity Multiplier
Assets ÷ Equity
=
23.1%
Return on Equity
✅ ROE driven primarily by strong profit margins — a sign of pricing power.

Balance Sheet Health

0.21x
Debt / Equity
3.70x
Current Ratio
2.70%
FCF Yield
2.5B
EBITDA

Insider Activity (Last 90 Days)

Net Insider Flow
$-617,760
Net Selling
0
Buy Transactions
1
Sale Transactions
2026-03-13SCHLOSBERG HILTON HILLERSold 1/8 qtrsGrant270,400 shares
2026-03-13KELLY THOMAS JSold 5/8 qtrsGrant13,600 shares
2026-03-13CARLING GUYSold 2/8 qtrsGrant27,200 shares
2026-03-13TIRRE EMELIESold 3/8 qtrsGrant27,200 shares
2026-03-13SACKS RODNEY CYRILSold 2/8 qtrsGrant270,400 shares

Open-market buys vs sells by company insiders. Source: yfinance.

Earnings Surprise History

Q4
✗ Miss
Est: $0.46
Act: $0.45
-2.7%
Q3
✓ Beat
Est: $0.48
Act: $0.50
+4.1%
Q2
✓ Beat
Est: $0.49
Act: $0.53
+9.2%
Q1
✗ Miss
Est: $0.48
Act: $0.46
-4.5%

EPS estimates vs actuals for the most recent reported quarters. Source: yfinance.

Dividend History

$0.0052
Latest Dividend
$0.01
1990 Total
DateAmountChange
1990-11-08$0.0052
Stock Splits
2023-03-28: 2:12016-11-10: 3:12012-02-16: 2:12006-07-10: 4:12005-08-09: 2:11988-02-29: 0.02:1

Dividend and split data from SEC filings and market data. Amounts are per share, not adjusted for splits. Source: yfinance.

Risk Profile

23.8%
Annual Volatility
1.04
Sharpe (1Y)
0.42
Sharpe (3Y)
-26.0%
Max Drawdown (3Y)
-26.6%
Max Drawdown (5Y)

Sharpe = risk-adjusted return (higher is better). Max drawdown = largest peak-to-trough decline. 1,200+ trading days.

Underwater (Drawdown from Peak)

How far below the all-time high the price has been over time. Deeper = more pain for holders.

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Rolling 60-Day Beta vs S&P 500 (VOO)

How the stock's sensitivity to market moves changes over time. β > 1 = more volatile than the market.

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Rolling Beta Market (β = 1.0)

Fama-French 5-Factor Exposure

Academic factor model decomposition — what's really driving this stock's returns.

0.39
Market β
Mkt-RF
-0.078
Size (SMB)
Neutral
+0.048
Value (HML)
Neutral
+0.027
Profit (RMW)
Neutral
+0.127
Invest (CMA)
Conservative
Alpha (annual): +8.70%
R²: 6.2%of variance explained by 5 factors

Fama-French 5-Factor Model. Data: Kenneth French Data Library. Regression over 3 years of daily returns.

Fundamentals

34.1
Forward P/E
2.56
PEG Ratio
9.87
Price/Book
5M
Avg Volume
$89.85
52W High
$58.09
52W Low
95%
52W Range Position

Passive Flow Attribution

ETF Draft Effect
$8.4B
Tracked Passive Exposure
8
ETFs Holding MNST
0.13%
Avg Weight in ETFs
$6.5T
Total ETF AUM

When investors buy or sell ETFs like XLP or VDC, the fund manager is mechanically forced to buy or sell MNST shares regardless of Monster Beverage Corporation's individual fundamentals. We estimate $8.4B of passive capital is structurally linked to MNST through 8 tracked ETFs. This substantial passive exposure means that ETF inflows and outflows — not company fundamentals — can dominate daily volume on this stock.

Passive exposure = Σ (ETF AUM × stock weight in ETF) across 8 tracked ETFs. Actual passive ownership is larger (includes mutual funds). Not investment advice.

ETF Contagion Visualizer

Simulate a price drop in Monster Beverage Corporation to visualize passive redemption contagion across ETFs and collateral stocks.

MNST Shock
-0%
Est. Passive Redemption
$0
Systemic Risk
STABLE
MNSTEpicenterVTIETFVOOETFIVVETFWMTLow RiskCOSTLow RiskWMTLow RiskCOSTLow RiskNVDALow Risk
MNST Price Drop (%)0

If Monster Beverage Corporation (MNST) experiences a significant drawdown, ETF redemptions can create collateral selling pressure on co-held stocks. Our model identifies Walmart Inc. (WMT) as the most exposed collateral stock, sharing 2 ETFs with MNST. This is the "Passive Contagion" effect described in the Inelastic Market Hypothesis.

Contagion model based on shared ETF exposure and constituent weights across 30 tracked ETFs. Estimated selling pressure is a simplified model — actual impact depends on market liquidity, ETF redemption mechanics, and market-maker activity.

MNST Ownership Dynamics

Passive funds hold 1 in every 9 MNST shares, reducing daily market volatility.

Ticker
MNST
Total Shares
978M
ETF Lock-Up
11.3%
Display Mode
Total Float Impact
11.3%Locked Float

Monster Beverage Corporation (MNST) exerts measurable gravity on the passive index market, currently representing 4.0% of the State Street Consumer Staples Select Sector SPDR ETF (XLP) and 1.9% of the VDC (VDC). Across 30 tracked ETFs, approximately 111M shares (11.3% of float) are held by passive funds and rarely trade on the open market. This level of passive ownership means index rebalances can create outsized volume events.

Float lock-up computed from 30 ETFs tracked by SecuritiesDB. Actual passive ownership is higher (includes mutual funds, pension funds, etc.).

MNST Institutional Volume Profile

252-day volume distribution by price level. The Point of Control (POC) marks the price where the most institutional volume transacted — an implicit support/resistance floor.

TICKER
MNST
PRICE
$88.24
FLOOR (POC)
$63.65
STRENGTH
High
$596%$60$626%$64POC 13%$65$67$68$70$72$73$758%$768%$787%$80$81$83$84$86$87$88.24$89
Focus Zone
Point of Control (POC) Support (below price) Resistance (above price) Current Price

The highest-volume price zone for Monster Beverage Corporation over the past year sits near $63.65 (13% of 252-day volume). The current price of $88.24 trades 38.6% above this institutional floor — a sign of upside momentum, though a pullback to the POC zone is a common reversion target. The highly concentrated volume profile (13% at POC) indicates strong consensus on fair value — institutional participants have repeatedly transacted near this price.

Volume Profile computed from 252 trading days of OHLCV data. Volume allocated to price bins proportionally based on daily high-low range. Not investment advice.

MNST Capital Efficiency

How efficiently does Monster Beverage Corporation convert operating profits into free cash? The FCF Conversion ratio measures the gap between accounting earnings and real cash generation.

Free Cash Flow
$1.9B
EBITDA
$2.5B
FCF Conversion
77%
Reinvestment Rate
23%
77% of EBITDA → Free Cash
0% (cash burn)25% (low)50% (efficient)100% (pure cash)

Monster Beverage Corporation converts 77% of its EBITDA into free cash flow, an exceptional conversion rate indicating an asset-light business model with minimal capital reinvestment drag.

Capital efficiency = Free Cash Flow ÷ EBITDA. Reinvestment = (EBITDA − FCF) ÷ EBITDA. Metrics from latest annual filings. Not investment advice.

Fails-to-Deliver (FTD) History

SEC-reported settlement failures. Elevated FTDs can indicate high short-selling pressure, operational settlement issues, or naked shorting activity.

DateFailed SharesClose PriceNotional Value
2026-05-14337,802$85.93$29.0M
2026-05-13212,335$85.87$18.2M
2026-05-076,806$77.20$525,423.2
2026-05-042$77.12$154.24
2026-04-2424$77.56$1,861.44
2026-04-234,259$75.95$323,471.05
2026-04-2164$77.23$4,942.72
2026-04-20802$76.72$61,529.44
2026-04-16661$74.93$49,528.73
2026-04-156$75.07$450.42
2026-04-1020,003$76.19$1.5M
2026-04-071$74.16$74.16
2026-04-016$72.46$434.76
2026-03-301$71.83$71.83
2026-03-2571$73.00$5,183
2026-03-17248,329$77.05$19.1M
2026-03-1334$76.99$2,617.66
2026-03-10920$75.73$69,671.6
2026-03-04120$78.99$9,478.8
2026-03-0313$81.06$1,053.78
2026-03-02291,724$85.30$24.9M
2026-02-271,600$86.66$138,656
2026-02-252$85.54$171.08
2026-02-23200$83.76$16,752
2026-02-172$81.48$162.96
2026-02-135,451$81.17$442,457.67
2026-02-129$80.79$727.11
2026-02-099$82.54$742.86
2026-01-1551$77.73$3,964.23
2026-01-148$78.43$627.44

Source: SEC Regulation SHO FTD data. Data is reported with a ~30 day delay. High FTD quantities relative to average daily volume may indicate settlement stress.

Price Correlations

Statistical correlation of daily returns with other stocks. High correlations indicate stocks that move together; negative correlations can offer diversification.

Peer252-Day (1Y)126-Day (6M)Direction
WTGXXNaNNaN
KO0.4660.515Moderate
CL0.3970.442Moderate
PG0.3760.382Moderate
PEP0.3680.409Moderate
ECL0.3540.404Moderate
MCD0.3230.326Moderate
VRTPX0.3190.249Moderate
KDP0.3140.309Moderate
MDLZ0.3060.320Moderate

Pearson correlation of daily log returns. 252d ≈ 1 trading year. Computed from price history. Not investment advice.

Compare MNST to Peers

Quant metrics computed deterministically from financial statements and price data. Updated: 2026-06-02.

SecuritiesDB provides programmatic data aggregation for informational purposes only. None of the metrics, summaries, or algorithmic flags constitute a recommendation to buy or sell any security.