Shares of Monster (MNST) Slump as the Buzz Wears Off
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Price: $55.91 -1.48%
Revenue Growth %: +6.5%
Financial Fact:
Total operating expenses: 211.14M
Today's EPS Names:
ANF, DXLG, FL, More
Revenue Growth %: +6.5%
Financial Fact:
Total operating expenses: 211.14M
Today's EPS Names:
ANF, DXLG, FL, More
Trade MNST Now!
Shares of Monster Beverage (Nasdaq: MNST) are getting slammed in after-hours trading on Wednesday. The company missed second quarter estimates on the top and bottom line. Analysts were calling for revenues of $596 million. However, Monster only brought in $592.46 million. This compares to revenue of $527.52 for the same quarter last year.
Rodney C. Sacks, chairman and chief executive officer, said that both the energy drink category in the United States and Europe and the Monster Energy® brand in particular, continue to experience positive growth, with the Monster Energy® brand increasing in excess of category growth in both the United States and Europe. However, investors are unimpressed.
Year-to-date, shares of Monster are higher by 46.5 percent, but they are significantly off their highs of $83.96, which were stuck in June. They finished the day at $67.77 and are currently lower by 10 percent at $61 in afterhours trading.
Investors appear to be worried that growth for the high flying energy drink company is slowing, and the stock is suffering as a result.
On the earnings front, Monster missed EPS estimates by 2c, another disappointing print.
The question now is: will Monster be able to return the type of growth investors expect, or like the effects of the energy drink they market, will the buzz wearing off?
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Rodney C. Sacks, chairman and chief executive officer, said that both the energy drink category in the United States and Europe and the Monster Energy® brand in particular, continue to experience positive growth, with the Monster Energy® brand increasing in excess of category growth in both the United States and Europe. However, investors are unimpressed.
Year-to-date, shares of Monster are higher by 46.5 percent, but they are significantly off their highs of $83.96, which were stuck in June. They finished the day at $67.77 and are currently lower by 10 percent at $61 in afterhours trading.
Investors appear to be worried that growth for the high flying energy drink company is slowing, and the stock is suffering as a result.
On the earnings front, Monster missed EPS estimates by 2c, another disappointing print.
The question now is: will Monster be able to return the type of growth investors expect, or like the effects of the energy drink they market, will the buzz wearing off?
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