Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MONSTER BEVERAGE CORPORATION

(MNST)
  Report
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector news

PepsiCo aims for energy boost with $3.85 billion Rockstar deal

03/11/2020 | 09:51am EDT
FILE PHOTO: Bottles of Pepsi at a grocery store in Pasadena

PepsiCo Inc on Wednesday made its biggest bet in the energy drinks market with a $3.85 billion deal to buy Rockstar Energy Beverages, opening a new front in its long-running battle with Coca-Cola Co.

The deal is also the latest move by PepsiCo's new chief executive officer, Ramon Laguarta, to reduce the company's dependence on its core sugary drinks and salty snacks, which have been increasingly shunned by health-conscious consumers.

Pepsi last July announced the acquisition of South African maker of cereal and fruit juice Pioneer Food Group, a few months after closing its $3.2 billion buyout of carbonated drink-machine maker SodaStream.

The Rockstar deal comes about two months after Coca-Cola, which owns a stake in Monster Beverage Co, rolled out Coke-branded energy drinks in the United States, after launching in European markets last year.

PepsiCo, which already distributes Rockstar products in some markets, has a smaller presence in the energy space with its Mountain Dew Kickstart and Mountain Dew Game Fuel brands.

"With Rockstar underneath their wings, they'll have a family of energy drinks... they can coordinate the activity of an entire family of brands to meet a variety of needs of people," Edward Jones analyst John Boylan said.

Laguarta has previously said the company was looking to expand its presence in the caffeinated beverages market, as longer working hours in the United States was helping increase demand for a quick energy fix.

Spending by consumers globally on energy drinks rose 9.9% to $12.72 billion for the year ended February 2020, compared with a 2.6% increase in sales of soft drinks to $26.96 billion, according to market research firm Nielsen.

Credit Suisse analyst Kaumil Gajrawala said PepsiCo's previous distribution deal with Rockstar limited its ability to participate more meaningfully in the energy drink category.

Founded in 2001, Las Vegas-based Rockstar initially aimed straight for major player Red Bull, by having a wider variety of flavors and selling cans twice as big for the same price.

However, the brand, whose bright yellow logo can be seen on extreme sports teams and at music festivals, still remains far behind the Austrian giant, as well as Monster.

Monster and Red Bull, together accounted for over a third of the global energy drink market in 2019, according to data from Euromonitor International.

Pepsi said the deal is not expected to impact its revenue or earnings per share in 2020.

The company's shares fell 2.9% in early trading in a weak New York market.

(Reporting by Uday Sampath and Nivedita Balu in Bengaluru; Editing by Sriraj Kalluvila,)

By Uday Sampath Kumar

Stocks treated in this article : Monster Beverage Corporation, PepsiCo, Inc.

ę Reuters 2020
Stocks mentioned in the article
ChangeLast1st jan.
AMP LIMITED 0.00% 1.16 End-of-day quote.-25.64%
AT HOME GROUP INC. 0.19% 36.84 Delayed Quote.138.29%
BYD COMPANY LIMITED -0.96% 227.6 End-of-day quote.12.01%
DEERE & COMPANY 0.83% 350.62 Delayed Quote.29.25%
EXTREME CO.,LTD. -0.09% 1060 End-of-day quote.-8.46%
MONSTER BEVERAGE CORPORATION -0.19% 90.14 Delayed Quote.-2.53%
PEPSICO, INC. 0.57% 145.67 Delayed Quote.-1.77%
SPACE CO.,LTD. 1.34% 905 End-of-day quote.14.70%
All news about MONSTER BEVERAGE CORPORATION
06/17MONSTER BEVERAGE CORPá : Submission of Matters to a Vote of Security Holders (fo..
AQ
06/08Monster Beverage Announces Webcast Details for Annual Meeting of Stockholders
GL
06/03INSIDER TRENDS : Insider at Monster Beverage Acquires Stock Via Option/Derivativ..
MT
06/03INSIDER TRENDS : Insider at Monster Beverage Converts/Exercises Derivative Secur..
MT
05/14Consumer Cos Up After Mixed Retail Sales Data -- Consumer Roundup
DJ
05/14Coke to Discontinue Coca-Cola Energy in U.S.
DJ
05/07MONSTER BEVERAGEá : MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION ..
AQ
05/07CLOSE UPDATE : US Stocks Rally to New Highs as Weak Jobs Growth Secures Fed's Pa..
MT
05/07US Stocks Rally to New Highs as Weak Jobs Growth Secures Fed's Patience
MT
05/07WALL STREET STOCK EXCHANGE : Stocks Climb as S&P 500, Dow Hit Records -- Update
DJ
More news
Financials (USD)
Sales 2021 5 363 M - -
Net income 2021 1 384 M - -
Net cash 2021 1 894 M - -
P/E ratio 2021 34,4x
Yield 2021 -
Capitalization 47 644 M 47 644 M -
EV / Sales 2021 8,53x
EV / Sales 2022 7,66x
Nbr of Employees 3 340
Free-Float 58,9%
Chart MONSTER BEVERAGE CORPORATION
Duration : Period :
Monster Beverage Corporation Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends MONSTER BEVERAGE CORPORATION
Short TermMid-TermLong Term
TrendsNeutralNeutralBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 22
Last Close Price 90,14 $
Average target price 102,71 $
Spread / Average Target 13,9%
EPS Revisions
Managers and Directors
Rodney Cyril Sacks Chairman & Co-Chief Executive Officer
Hilton Hiller Schlosberg Vice Chairman & Co-Chief Executive Officer
Thomas J. Kelly CFO & Principal Accounting Officer
Gary P. Fayard Independent Director
Benjamin M. Polk Independent Director
Sector and Competitors
1st jan.Capitalization (M$)
MONSTER BEVERAGE CORPORATION-2.53%47 644
THE COCA-COLA COMPANY-1.31%233 348
PEPSICO, INC.-1.77%201 262
NONGFU SPRING CO., LTD.-26.96%58 093
KEURIG DR PEPPER INC.8.09%49 029
COCA-COLA EUROPACIFIC PARTNERS PLC30.42%27 974