Monster Beverage Has Been A Beast

Who’s the biggest winner in the stock market this century? Amazon maybe? Or perhaps Apple? Up 2,300 percent and 5,300 since January 2000, respectively, they’re both good guesses.

It turns out, though, that they’re not even close to the actual No. 1 stock in that period — Monster Beverage. That’s right, the energy-drink company with the black and neon green label has dominated all other stocks in the S&P 500 index, returning almost 60,000 percent over the period.

But now it’s running into serious headwinds — the stock dropped about 18 percent in the past few weeks — as new competitors enter the $50 billion energy-drink market. Amazon.com is selling a private-label energy drink and Coca-Cola is launching Coca-Cola Energy in Europe.

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Before we get into Monster’s future, we have to visualize there performance against Apple, Amazon and the SPY over the last 10-15 years.

NOTE: the SPY in red you can’t even see.

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Now we can talk about Monster’s future.

Monster Beverage’s 2018 fourth-quarter sales grew 14.1% to $924.2 million vs. expectations of $901.2 million.  Monster Beverage’s net sales increased 13.0% to $3.81 billion in 2018 and EPS grew 23.9% to $1.76.  Monster Beverage is also planning on launching new products in 2019 like Monster Energy Ultra Paradise, Java Monster Swiss Chocolate, Reign Total Body Fuel and Monster Dragon Tea line.

Monster Beverage’s 2018 fourth-quarter sales grew 14.1% to $924.2 million vs. expectations of $901.2 million.  Monster Beverage’s net sales increased 13.0% to $3.81 billion in 2018 and EPS grew 23.9% to $1.76.  Monster Beverage is also planning on launching new products in 2019 like Monster Energy Ultra Paradise, Java Monster Swiss Chocolate, Reign Total Body Fuel and Monster Dragon Tea line.

So where is price heading next, lets go to the charts?

Monthly Chart (Curve Timeframe) – monthly supply is at $67 monthly demand is at $45.50.

Weekly Chart (Trend Timeframe) – the trend is sideways.

Daily Chart (Entry) – the chart suggests there are no entries at the moment and the best potential set-up is to play the extremes near at the dotted white lines.

This post is my personal opinion. I’m not a financial advisor, this isn’t financial advise. Do your own research before making investment decisions.