MNST
Monster Beverage Corporation
Consumer Defensive · Beverages - Non-Alcoholic · United States · Stock
Score Breakdown
Scored for Aggressive Growth profile
Sub-scores are 0–20 each; Model Score is weighted by your selected investment goal. How it works →
Why Ranked Here
- The composite score of 61.0/100 reflects genuinely strong fundamentals: double-digit revenue growth, faster-growing net income, near-maximum profitability scores, and positive quarterly momentum all contribute positively [growth.revenue.yoy, growth.net_income.yoy, profitability.operating_margin_pct, momentum.revenue_quarterly].
- The Low risk rating and Core Holding Candidate label reflect a business with durable margins and a large asset base of $9,988,945,000, suggesting financial stability even amid quarterly fluctuations [financial_health.total_assets, profitability.roa_pct].
- The absence of a dividend and no macro theme assignment both scored zero, which weighed on the composite and prevented a higher overall ranking despite the company's operational excellence [dividend.none, theme.none].
Why Not Higher
- The confirmed absence of any dividend means the model's income-distribution component contributes nothing to the score, a structural drag that cannot be offset by operational performance alone [dividend.none].
- With no assignment to any of the 24 tracked macro themes, Monster Beverage misses the theme-based credit that could otherwise elevate the composite score, and double-digit revenue growth—while healthy—did not reach the highest tier rewarded by the model [theme.none, growth.revenue.yoy].
Data Confidence
7 / 10
High — most data fields present
Why This Score
Grounded in figures from this company's SEC EDGAR filings — not a restatement of the score itself.
Revenue grew from FY2024's $7,492,709,000 to FY2025's $8,294,343,000, a gain of 10.7%. Net income expanded even more sharply, rising 26.3% from FY2024's $1,509,048,000 to FY2025's $1,905,432,000.
The model rewarded both the solid top-line expansion and the notably faster bottom-line growth, which signals improving operational leverage. The score stops short of the maximum, likely reflecting that double-digit revenue growth, while healthy, is not exceptional at the highest tier.
In FY2025, Monster Beverage posted an operating margin of 29.2%, a net margin of 23.0%, and a return on assets of 19.1%.
These figures collectively indicate that the company converts a large share of each revenue dollar into operating and net profit while generating substantial returns on its asset base, all of which the model rewards with a near-maximum score.
Filing evidence currently available does not support a more specific explanation for this factor.
Over the last four reported quarters, revenue moved from 2025Q2's $2,111,593,000 through 2025Q3's $2,197,139,000 and 2025Q4's $2,131,053,000 before accelerating to 2026Q1's $2,353,291,000. Net income followed a similar pattern—$488,794,000 in 2025Q2, $524,455,000 in 2025Q3, a dip to $449,190,000 in 2025Q4, then a rebound to $569,485,000 in 2026Q1—mirrored by operating income rising to $729,958,000 in 2026Q1 after a trough of $542,635,000 in 2025Q4.
The model observed a mid-sequence dip in 2025Q4 followed by a strong recovery in 2026Q1 across revenue, net income, and operating income, suggesting renewed acceleration that the model partially rewarded while the mid-period softness tempered the score.
Monster Beverage Corporation does not currently pay a dividend; this is a genuine characteristic of the company, not a data gap.
Because the model's dividend component rewards income distributions to shareholders, a confirmed non-payer receives a score of zero on this factor by design.
Monster Beverage Corporation is not currently assigned to any of the 24 tracked macro themes in the model.
The absence of a theme assignment is a neutral classification outcome; it simply means the security does not map to a tracked macro theme at this time, and the zero sub-score reflects that no theme-based credit was applied under the current methodology.
Research Summary
AI-generated analysis reflects data and conditions as of the report date shown above. Verify any specific figures through primary sources before acting on this analysis.
Monster Beverage Corporation delivered strong annual results, with revenue rising 10.7% to $8,294,343,000 in FY2025 and net income expanding even faster at 26.3% to $1,905,432,000, signaling meaningful operational leverage [growth.revenue.yoy, growth.net_income.yoy]. The company's profitability profile is exceptional, with a 29.2% operating margin, 23.0% net margin, and 19.1% return on assets in FY2025 [profitability.operating_margin_pct, profitability.net_margin_pct, profitability.roa_pct]. Quarterly momentum showed a mid-period dip in 2025Q4 followed by a strong rebound in 2026Q1 across revenue, net income, and operating income [momentum.revenue_quarterly, momentum.net_income_quarterly, momentum.operating_income_quarterly]. The composite score of 61.0/100 reflects these strengths alongside structural gaps—no dividend and no macro theme assignment—that weighed on the overall rating, resulting in a Low risk, Core Holding Candidate classification [dividend.none, theme.none].
Plain English
Monster Beverage is a highly profitable company that grew its revenue and profits strongly in FY2025, keeps a lot of what it earns as profit, and showed renewed momentum heading into 2026Q1—but it doesn't pay dividends and isn't tied to any tracked macro trend, which holds its overall score to 61 out of 100 [growth.revenue.yoy, growth.net_income.yoy, profitability.net_margin_pct, dividend.none, theme.none].
Bull Case vs. Bear Case
Bull Case
- Net income grew 26.3% in FY2025—outpacing the already solid 10.7% revenue growth—demonstrating that the business is becoming more efficient and converting a larger share of sales into profit [growth.net_income.yoy, growth.revenue.yoy].
- With a 29.2% operating margin and a 19.1% return on assets in FY2025, Monster Beverage shows it can generate substantial returns on both its operations and its asset base, a hallmark of a competitively durable business [profitability.operating_margin_pct, profitability.roa_pct].
- After a soft 2025Q4, revenue surged to $2,353,291,000 and operating income reached $729,958,000 in 2026Q1, suggesting the business re-accelerated meaningfully entering the new fiscal year [momentum.revenue_quarterly, momentum.operating_income_quarterly].
Bear Case
- Monster Beverage pays no dividend, meaning shareholders receive no current income from holding the stock, and the model assigns a zero score on this factor by design [dividend.none].
- The company is not assigned to any of the 24 tracked macro themes, so it receives no theme-based credit in the composite score, which structurally limits how high the overall rating can reach [theme.none].
- A notable dip in 2025Q4—with net income falling to $449,190,000 and operating income dropping to $542,635,000—introduces some concern about quarter-to-quarter consistency, even if the subsequent 2026Q1 rebound was strong [momentum.net_income_quarterly, momentum.operating_income_quarterly].
What Could Change the Picture
Bullish Triggers
- If Monster Beverage were to initiate a dividend or return capital to shareholders in a structured way, it would address the single largest structural gap in the current composite score [dividend.none].
- Assignment to one or more of the model's 24 tracked macro themes would add theme-based credit currently absent from the score, potentially lifting the composite meaningfully [theme.none].
Bearish Triggers
- A sustained deceleration in revenue or net income growth beyond the 2025Q4 dip—rather than the recovery seen in 2026Q1—would undermine the momentum and growth pillars that currently support the score [momentum.revenue_quarterly, momentum.net_income_quarterly, growth.revenue.yoy].
- Any meaningful compression in the company's operating or net margins from their current elevated levels of 29.2% and 23.0% respectively would erode the profitability advantage that anchors the bull case [profitability.operating_margin_pct, profitability.net_margin_pct].
Risk Profile
Low RiskThe company's total assets stood at $9,988,945,000 in FY2025, providing a substantial financial base, and quarterly results showed a clear recovery in 2026Q1 after a 2025Q4 dip in both net income and operating income, suggesting the business can absorb short-term softness [financial_health.total_assets, momentum.net_income_quarterly, momentum.operating_income_quarterly].
Key Catalysts to Watch
The strong rebound in revenue to $2,353,291,000 and operating income to $729,958,000 in 2026Q1 after a 2025Q4 trough could signal renewed business acceleration heading into the remainder of the fiscal year [momentum.revenue_quarterly, momentum.operating_income_quarterly].
This report is for educational and research purposes only. It does not constitute financial, investment, legal, or tax advice — always conduct your own due diligence before making investment decisions.