Seeking Alpha
Profile| Send Message|
( followers)  

Monster Beverage Corp. (NASDAQ:MNST) is scheduled to report its Q2 2012 results on August 8, 2012, after the bell. The Street expects EPS and revenue of $0.61 and $596.12M, respectively.

In this article, I will recap the historical results of the company, its latest EPS estimates vs. surprises, the latest news from MNST and the news from its closest competitors.

Monster Beverage Corporation Revenue and Net Income History

Recent EPS Actuals vs. Estimates

In the last quarter, it reported $0.41 EPS, beating analyst estimates of $0.38.

Monster Beverage Corporation EPS Historical Results vs Estimates

The consensus EPS estimate is $0.61 based on 8 analysts' estimates, up from $0.45 a year ago. Revenue estimates are $596.12M, up from $462.14M a year ago. The median target price by analysts for the stock is $82.00.

Average recommendation: Overweight

Source: Marketwatch

Analyst Upgrades and Downgrades

  • On May 10, 2012, UBS reiterated Buy rating for the company.
  • On May 10, 2012, Stifel Nicolaus reiterated Buy rating for the company.
  • On March 29, 2012, UBS reiterated Buy rating for the company.
  • On February 24, 2012, Stifel Nicolaus reiterated Buy rating for the company.

Latest News

  • On May 9, 2012, Monster Beverage Corporation reported record sales and profits for the first quarter ended March 31, 2012. Gross sales for the 2012 first quarter increased 26.9 percent to $517.3 million from $407.6 million in the same period last year.
  • On May 1, 2012, Reuters reported that The Coca-Cola Company took the unusual step of shooting down a report on Monday that said it was in talks to buy energy drink maker Monster Beverage Corporation, valued at more than $11 billion.

Competitors

Dr Pepper Snapple Group (NYSE:DPS), Coca-Cola (NYSE:KO), and Pepsico (NYSE:PEP) are considered major competitors for Monster Beverage and the table below provides the key metrics for these companies and the industry.

Monster Beverage Corporation key ratio comparison with direct competitors

The chart below compares the stock price changes as a percentage for the selected companies and S&P 500 index for the last one-year period.

MNST Chart

MNST data by YCharts

Competitors' Latest Development

  • On July 30, 2012, The Coca-Cola Co announced that the board of directors has declared a regular quarterly dividend of $0.255 per common share. The dividend is payable October 1, 2012, to shareowners of record as of September 14, 2012.
  • On July 20, 2012, PepsiCo Inc. announced that it has declared a quarterly dividend of $0.5375 per share of PepsiCo common stock. The dividend is payable September 28, 2012, to shareholders of record on September 7, 2012.
  • On July 18, 2012, Six Flags Entertainment Corp and The Coca-Cola Co announced a 10-year extension to their partnership agreement, designating Coca-Cola as Six Flags' Official Beverage Sponsor for all domestic parks.
  • On July 9, 2012, PepsiCo Inc. and Theo Muller Group (Muller), the privately held dairy business in Germany, announced that their U.S. joint venture, Muller Quaker Dairy, will enter the growing U.S. dairy market in mid-July with yogurt products that have never before been available to U.S. consumers.
  • On June 21, 2012, Reuters reported that The Coca-Cola Co has signed a deal with Fair Oaks Farms Brands to distribute the Core Power range of high-protein energy drinks in the United States, as the soft drink giant moves into the dairy products market.
  • On June 5, 2012, The Coca-Cola Company, Ford Motor Company, H.J. Heinz Company, NIKE, Inc. and Procter & Gamble announced the formation of the Plant PET Technology Collaborative, a strategic working group focused on accelerating the development and use of 100% plant-based PET materials and fiber in their products.
  • On May 18, 2012, Reuters reported that U.S. appeals court on Thursday revived part of a lawsuit against The Coca-Cola Company in which POM Wonderful LLC accused Coke of falsely advertising its Pomegranate Blueberry juice product.
  • On May 2, 2012, PepsiCo Inc. announced that it has declared a 4% increase in the Company's annual dividend, from the current annual rate of $2.06 to $2.15 per share on PepsiCo common stock.
  • On May 1, 2012, Reuters reported that The Coca-Cola Company took the unusual step of shooting down a report on Monday that said it was in talks to buy energy drink maker Monster Beverage Corporation, valued at more than $11 billion.
  • On April 30, 2012, DineEquity Inc, the parent company of Applebee's Neighborhood Grill & Bar and IHOP Restaurants announced it has signed a 10-year contract with PepsiCo, Inc. to be the exclusive non-alcoholic beverage provider in the majority of soft-drink categories for its more than 1,800 Applebee's and 1,500 IHOP restaurants throughout the U.S. As part of this agreement, Applebee's and IHOP patrons will now be able to enjoy a variety of PepsiCo beverages with their meals, including Pepsi, Diet Pepsi, Mountain Dew, Sierra Mist, Mug Root Beer and Tropicana lemonade.
  • On April 26, 2012, PepsiCo Inc. announced that consistent with its previous guidance for fiscal 2012, the Company expects a decline in core constant currency EPS of approximately 5% from its fiscal 2011 core EPS of $4.40. Based on the current forex market consensus, foreign exchange translation would have an unfavorable impact of approximately 2% points on the Company's full year core EPS performance in fiscal 2012.
  • On April 25, 2012, Dr Pepper Snapple Group Inc announced that it continues to expect fiscal 2012 reported net sales growth near the low end of its long-term 3% to 5% range and Core EPS to be in the $2.90 to $2.98 range.
  • On April 18, 2012, SeeNews - The Corporate Wire reported that the shares of Apple Inc, Visa Inc, Intel Corp, The Coca-Cola Company and Bank of America Corp can be traded on the Bucharest bourse as of April 18, 2012.
  • On April 18, 2012, The Coca-Cola Company and Spotify announced a multifaceted strategic partnership that combines the global scale and reach of Coca-Cola with Spotify's music technology platform to give consumers around the world unprecedented access to the music they love.
  • On April 16, 2012, Family Dollar Stores, Inc. announced it has agreed in terms to a multi-year partnership with PepsiCo, Inc., to sell its beverages in its 7,100 stores across 45 states.
  • On April 11, 2012, Bucharest Stock Exchange announced that Apple Inc, Bank of America Corp, Intel Corp, The Coca-Cola Company and Visa Inc will start trading on the alternative trading system of the Bucharest Stock Exchange on April 18, 2012.
  • On April 2, 2012, Dunkin' Brands Group Inc, the parent company of Dunkin' Donuts and Baskin-Robbins, the National DCP, the exclusive supply chain partner for Dunkin' Brands, and The Coca-Cola Company announced a multi-year product and marketing agreement.
  • On March 31, 2012, Tingyi (Cayman Islands) Holding Corp. and PepsiCo Inc. announced they have completed their transaction to create a strategic beverage alliance in China.
  • On March 12, 2012, PepsiCo Inc. announced that current PepsiCo Americas Foods Chief Executive Officer John Compton has been named to a new position President, PepsiCo.
  • On February 21, 2012, Coca-Cola FEMSA SAB de CV. announced that it has entered into a 12 month exclusivity agreement with The Coca-Cola Company to evaluate the potential acquisition of a controlling ownership stake in the bottling operations owned by The Coca-Cola Company in the Philippines.
  • On February 16, 2012, The Coca-Cola Company announced that the Board of Directors has approved the Company's annual dividend increase, raising the quarterly dividend 8.5% from $0.47 to $0.51 per common share.
  • On February 15, 2012, Dr Pepper Snapple Group Inc announced that for fiscal 2012, it expects reported net sales growth near the low end of its long-term 3% to 5% range and diluted earnings per share (EPS) to be in the $2.90 to $2.98 range, excluding the impact of commodity mark to market gains and losses.
  • On February 9, 2012, PepsiCo Inc. announced it will implement a three-year productivity program that is expected to generate over $500 million in incremental cost savings in 2012, further incremental reductions in the cost base of about $500 million in 2013, and an additional $500 million in 2014.
  • On February 9, 2012, PepsiCo Inc. announced that it targets high-single-digit core constant currency EPS growth for fiscal 2013 and beyond after a transition year in fiscal 2012, in which it expects core constant currency EPS to decrease by 5%. PepsiCo provided its long-term target of mid-single-digit constant currency net revenue growth.
  • On February 8, 2012, Dr Pepper Snapple Group Inc announced that its Board of Directors declared a quarterly dividend of $0.34 per share on the Company's common stock a 6.3% increase in the dividend rate.
  • On February 8, 2012, Reuters reported that Greece's competition watchdog imposed a EUR16.17 million ($21.4 million) fine on PepsiCo Inc. on February 8, 2012 for abusing its dominant market position in the country.

Technical Overview


The stock has a market capitalization of $11.77B and is currently trading at $66.78 with a 52-week range of $34.43-$83.96. The stock's year-to-date performance has been 44.95%. It is currently trading above 200 SMA, but below 20 and 50 SMA.

Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.

Source: Earnings Preview: Monster Beverage