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    Can Monster Energy Produce Monster Returns?

    Mon, 03/19/2012 - 03:12 EDT - Seeking Alpha
    • Benjamin Goldman
    • DPS
    • KO
    • MNST
    • PEP

    By Benjamin Goldman:When it comes to the soft drink industry, there are essentially two major players: Coca-Cola (KO) and PepsiCo (PEP) with Dr. Pepper/Snapple Group (DPS) acting as a distant third. Recently, Monster Beverage Corporation (MNST), also known as Hansen's Natural, has experienced high growth and with a $10.4 billion market cap, has surpassed Dr. Pepper/Snapple in value. In this article, I explain why Monster Beverage shares are doing so well and what it means for the company and the soft drink industry going forward. The soft drink industry is extremely concentrated (no pun intended) because of distribution. Supermarkets want to deal with only a handful of suppliers for a limited number of stock keeping units, and restaurants generally only sell one company's beverages. To have a larger retail footprint and more negotiating leverage, brands tend to buy each other up. Pretty much anybody can make and bottle a beverage, but gettingComplete Story »

    • Original article
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    Related

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      ByChristopher F. Davis:In two recent articles, I outlined reasons why I believe Monster Beverage (MNST) is a strong buy.

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    • Dr Pepper's Dividend Increase Makes It A Great Stock For Dividend Growth Investors

      ByHere To Learn:Dr Pepper Snapple Group Inc. (DPS) recently announced a dividend increase to $0.38 per quarter (up 12% from the previous $0.34 dividend). At the current $46.95/share price, this gives it a dividend yield of 3.24%. In this article, I will be looking into the sustainability of this dividend.

    • Earnings Analysis: Coca-Cola Co.

      By AnalytixInsight: Coca-Cola Co. (KO) reports preliminary financial results for the quarter ended 2012-09-30.

    • Monster Beverage: Profit With Options While Waiting For This Beast To Be Unleashed

      ByNick Chiu:Monster Beverage (MNST), formerly Hansen Natural Corporation, has successfully emerged as the world's second largest energy drink company behind privately held Red Bull. The company operates in two segments: Direct Store Delivery (DSD), whose main products consist of energy drinks, and Warehouse with primary products of juice-based and soda beverages.

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      By Jim Pyke:It has been a while since I last looked at The Coca-Cola Company (KO) and PepsiCo, Inc (PEP). Both companies are very popular with dividend investors and have delivered strong returns over the years. For comparison, I am also including Dr. Pepper Snapple Group, Inc.

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      By Takeover Analyst:No list of top corporate brands is complete without Coca-Cola (KO). Even though it is rated a "strong buy" on the Street, I find better risk/reward - however limited - at its rivals. Coca-Cola has a lower dividend yield than both PepsiCo (PEP) and Dr.

    • The Dr. Pepper Debate

      A reader of Lonely Value was kind enough to pass along a recent Morningstar update regarding Dr Pepper Snapple Group (DPS). The research note is critical of the company's valuation and recent capital allocation decisions.

    • Coca-Cola Innovates With Personalized Drinks to Recoup Declining Sales

      Trefis submits: The Coca-Cola Company (KO), which primarily competes with PepsiCo (PEP) and Dr Pepper Snapple Group (DPS), is the largest manufacturer and distributor of soft drinks worldwide.

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