Investing.com -- Monster Beverage Corp's recent investor meeting in New York underscored the company's optimistic growth outlook, driven by innovation, favorable market trends, and international expansion opportunities, analysts noted.
Stifel, BofA maintained a "Buy" rating with a $59 and $57 price target respectively on Monster’s strong market position and continued innovation as key growth drivers.
“We also viewed it as a positive to see the depth of MNST’s management team. Many investors perceive Monster as not having a deep bench because its management does not meet with investors, but it showed that this is more perception than reality,” RBC analyst wrote, with a Outperform rating on the stock.
Improving U.S. sales trends and favorable energy drink category performance is expected to lead to significant shelf space gains in 2025, particularly in convenience stores. Monster highlighted the success of its 2024 product launches, including the Ultra Vice Guava flavor, which has contributed about 3% to sales since its October debut.
Monster plans to introduce a range of new products in 2025, including Ultra Blue Hawaiian, Monster Juice Viking Berry, and coffee and Bang energy drink variants. These launches will build on the improved execution strategies that bolstered recent rollouts.
Internationally, Monster sees growth potential in regions like EMEA and APAC. The company plans to complete the rollout of its Predator brand in China and expand its offerings in Japan with new flavors and brand families.
Additionally, Monster highlighted its leadership team’s depth, with Co-CEO Rodney Sacks reiterating plans to transition to a non-executive role by 2025, while remaining involved in strategic initiatives.