Monster Beverage Corp (MNST): Today's Featured Food & Beverage Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Monster Beverage (MNST) pushed the Food & Beverage industry lower today making it today's featured Food & Beverage laggard. The industry as a whole closed the day down 0.2%. By the end of trading, Monster Beverage fell $1 (-1.7%) to $57.22 on light volume. Throughout the day, 2.3 million shares of Monster Beverage exchanged hands as compared to its average daily volume of 3.2 million shares. The stock ranged in price between $56.64-$58.80 after having opened the day at $58.80 as compared to the previous trading day's close of $58.22. Other companies within the Food & Beverage industry that declined today were: Farmer Bros (FARM), down 8.3%, Le Gaga Holdings (GAGA), down 5.8%, Primo Water (PRMW), down 5.1%, and John B. Sanfilippo & Son (JBSS), down 4.8%.

• ACTIVE STOCK TRADERS: Check out TheStreet's special offer for Real Money, headlined by Jim Cramer, now!

Monster Beverage Corporation, through its subsidiaries, develops, markets, sells, and distributes alternative beverage category beverages in the United States and internationally. Monster Beverage has a market cap of $10.25 billion and is part of the consumer goods sector. The company has a P/E ratio of 32.4, equal to the average food & beverage industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 26.4% year to date as of the close of trading on Friday. Currently there are four analysts that rate Monster Beverage a buy, one analyst rates it a sell, and two rate it a hold.

TheStreet Ratings rates Monster Beverage as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, impressive record of earnings per share growth and compelling growth in net income. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

• You can view the full Monster Beverage Ratings Report.

On the positive front, Green Mountain Coffee Roasters (GMCR), up 9.1%, Tofutti Brands (TOF), up 8.5%, American Lorain (ALN), up 5.7%, and SodaStream International (SODA), up 4.9%, were all gainers within the food & beverage industry with Smithfield Foods (SFD) being today's featured food & beverage industry leader.

• Use our food & beverage section to find industry-relevant news.
• Or find some new ideas from our top rated stocks lists.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the food & beverage industry could consider PowerShares Dynamic Food & Beverage (PBJ) while those bearish on the food & beverage industry could consider PowerShares DB Agriculture Sht ETN (ADZ).

• Find other investment ideas from our top rated ETFs lists.

FREE from Real Money's Jim Cramer: Winners and Losers Election 2012 - Steps to take NOW so you can profit no matter who is in charge! Free download now.

 

For more information on Monster Beverage Corp click any of the following:

• Monster Beverage Corp Stock Price

• Monster Beverage Corp Analyst Ratings

• Monster Beverage Corp Key Stats & Profile

• Monster Beverage Corp Earnings

• Monster Beverage Corp Ratio Comparison

• Monster Beverage Corp Growth Rates

• Monster Beverage Corp Balance Sheet

• Monster Beverage Corp Cash Flow

• Monster Beverage Corp Income Statement