Monster Beverage Corp (MNST): Today's Featured Consumer Goods Loser

Monster Beverage ( MNST) pushed the Consumer Goods sector lower today making it today's featured Consumer Goods loser. The sector as a whole closed the day down 0.9%. By the end of trading, Monster Beverage fell $1.22 (-1.6%) to $72.51 on light volume. Throughout the day, 1.2 million shares of Monster Beverage exchanged hands as compared to its average daily volume of 2.7 million shares. The stock ranged in price between $72.35-$73.89 after having opened the day at $73.51 as compared to the previous trading day's close of $73.73. Other company's within the Consumer Goods sector that declined today were: China Xiniya Fashion ( XNY), down 10.1%, Coldwater Creek ( CWTR), down 10%, Orbital ( OBT), down 9.8%, and Green Mountain Coffee Roasters ( GMCR), down 9.6%.

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 $12.66 billion and is part of the food & beverage industry. The company has a P/E ratio of 43.5, below the average food & beverage industry P/E ratio of 43.7 and above the S&P 500 P/E ratio of 17.7. Shares are up 55.9% 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 three 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.

On the positive front, Tofutti Brands ( TOF), up 11.1%, Frederick's of Hollywood Group ( FOH), up 8.3%, Standard Register Company ( SR), up 5.1%, and CTI Industries Corporation ( CTIB), up 5%, were all gainers within the consumer goods sector with Nu Skin ( NUS) being today's featured consumer goods sector winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer goods sector could consider iShares Dow Jones US Cons Goods ( IYK) while those bearish on the consumer goods sector could consider ProShares Ultra Sht Consumer Goods ( SZK).
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