In the fiercely competitive beer and beverage industry, Monster (MNST), Anheuser-Busch (BUD), and Coca-Cola (KO) battle relentlessly for market share—quarter after quarter, without pause. With tariffs looming and consumer wallets under pressure, the rivalry has only intensified. Against this backdrop, let’s examine what makes these three stocks stand out as compelling plays in a sector that never stops bubbling with opportunity.
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Monster Beverage (NASDAQ:MNST)
Monster’s latest earnings release was a beast (pun intended). They topped $2.1 billion in net sales, a 11.1% increase from last year, marking the first time they’ve crossed that milestone. On the earnings call, CEO Hilton Schlosberg called it “another quarter of strong financial results,” crediting the core Monster Energy segment for 11.2% growth to $1.94 billion.
International sales reached $864 million, accounting for 41% of total revenue, up from 39% a year ago, with EMEA leading the way at 26.8% in dollar terms. Notably, Nielsen data showed the energy category accelerating in the U.S., and Monster’s retail sales followed suit into July, so I would expect a strong Q3 as well.
To be fair, on the not-so-bright side, its alcohol brands’ sales fell 8.6% to $38 million, and Schlosberg indeed admitted they’re “exploring opportunities” internationally while addressing impairments. Still, gross margins came in at an excellent 55.7%, thanks to pricing and supply chain adjustments, which drove EPS up 21.1% to $0.50 per share.
Looking ahead, innovation like new flavors and McLaren F1 tie-ins has Monster pumped, with no formal guidance but clear confidence in household penetration growth. Therefore, if you’re eyeing energy plays, Monster’s global push makes it a strong contender, especially with $500 million remaining for buybacks and a solid track record of capital returns, even if shares are indeed somewhat pricy at 33x this year’s expected earnings.
Is MNST Stock a Buy, Hold, or Sell?
Currently, analyst sentiment is fairly positive on Monster. The stock has a Moderate Buy consensus rating, based on 10 Buy, seven Hold, and one Sell ratings assigned over the past three months. Meanwhile, MNST’s average stock price target of $68.35 implies ~10.5% upside over the next twelve months.
Anheuser-Busch InBev (NYSE:BUD)
Shifting gears to BUD, their Q2 felt like a mixed bag at a backyard barbecue. There were some hits, some misses, but the grill’s still hot. Net revenue dipped 2.1% to $15 billion, missing estimates, while volumes were down 1.9% worse than the expected 0.3% drop.
CEO Michel Doukeris emphasized on the call that “beer is a passion point,” and EBITDA increased 6.5% nonetheless, thanks to a 3% growth in revenue per hectoliter driven by premiumization. No-alcohol beers surged 33%, and megabrands like Corona (up 5.6% outside Mexico) and Budweiser held strong, with Corona named the world’s most valuable beer brand.
Risks to the bullish thesis do linger, though. China volumes declined 7.4%, underperforming the industry, and Brazil fell 6.5% due to weather and tough comparisons. Doukeris noted “soft consumer confidence” dragging, but highlighted resilience in North America, where Michelob Ultra and Busch Light led share gains.
Free cash flow increased by $5 billion year-over-year, and they’re targeting 4-8% EBITDA growth for 2025, with FIFA 2026 serving as a catalyst. Shares have been relatively flat over the past year, but at under 17 times this year’s expected EPS, this appears to be a value opportunity.
Is BUD Stock a Good Buy?
On Wall Street, BUD stock features a Strong Buy consensus rating based on six unanimous Buy ratings. No analyst rates the stock as a Hold or a Sell. BUD’s average stock price target of $81.80 implies almost 31% upside potential over the next 12 months.
Coca-Cola (NYSE:KO)
Coca-Cola, the dependable staple, delivered a steady Q2 performance. Net revenue rose 1% to $12.5 billion, with organic growth up 5% driven by 6% price/mix gains, offset by a 1% volume decline from weather disruptions. Despite Chairman James Quincey’s comments on a “shifting external landscape,” results were strong: comparable operating income climbed 15%, margins expanded to 34.7%, and EPS jumped 58% to $0.88, edging past consensus estimates of $0.87—even with an 11-point FX headwind.
Growth was fueled by North America (+12% revenue) on slim cans and Fairlife’s double-digit expansion, while EMEA volumes rose 3% led by sparkling flavors and water. Headwinds persisted in Asia Pacific (-4%) and Latin America (volumes down, organic revenue up), though easing inflation in Argentina offered relief. Looking ahead, innovations like Cane Sugar Coke, set to launch this fall, and the “Share a Coke” campaign spanning 120 countries continue to drive engagement.
Coke narrowed full-year EPS growth guidance to ~3% at the top end. At roughly 23x earnings, KO trades near historical averages.
Is KO a Buy, Hold, or Sell?
The Coca-Cola Company is currently covered by 16 Wall Street analysts, and sentiment is unanimously bullish. The stock carries a Strong Buy consensus while KO’s average stock price target of $79.87 indicates ~16% upside potential over the next twelve months.
MNST, BUD, and KO: Three Different Ways to Play the Beverage Market
The beer and beverage space has something for every kind of investor right now. Monster continues to power the energy drink category with strong momentum, while BUD navigates volume headwinds by leaning on its premium portfolio, and Coke remains the unshakable classic.
Each name plays a distinct role in today’s tariff-tangled, unpredictable market. Monster is the growth play (+11% sales), BUD is the recovery story (6.5% EBITDA despite volume dips), and Coke delivers consistency (+5% organic growth even in harsh conditions).
In short, if you’re looking for upside excitement, Monster fits the bill. For a rebound opportunity, BUD offers intrigue. And if stability is your priority, KO is hard to beat.