5 Best Alcohol Stocks to Own According to Hedge Funds

2. Monster Beverage Corporation (NASDAQ:MNST)

Number of Hedge Fund Holders: 44

Monster Beverage Corporation (NASDAQ:MNST) is an American beverage company that manufactures energy drinks including Monster Energy, Relentless, and Burn. It was announced last year that Monster Beverage had acquired the Canarchy Craft Brewery Collective, in a deal worth $330 million. The acquisition gave the company ownership of Canarchy’s craft breweries including Cigar City, Oskar Blues, Deep Ellum, Perrin Brewing, Squatters, and Wasatch. 

The beverage giant spent the early weeks of 2023 rolling out a line of alcoholic beverages. Called ‘The Beast Unleashed’, the drinks are made with malt alcohol and contain 6% alcohol by volume, though no caffeine or energy-inducing ingredients. 

Monster Beverage Corporation (NASDAQ:MNST) met market expectations and reported EPS of $0.39 for Q2 of 2023. Rodney Sacks, co-CEO of Monster Beverage, said the following at the Q2 Earnings Call Transcript: 

“The company achieved record second quarter net sales of $1.85 billion in the 2023 second quarter, 12.1% higher than net sales of $1.66 billion in the 2022 comparable period, and 14.4% higher on a foreign currency adjusted basis. Gross profit as a percentage of net sales for the 2023 second quarter was 52.5% compared with 47.1% in the comparative 2022 second quarter. The increase in gross profit as a percentage of net sales for the 2023 second quarter as compared to the 2022 second quarter was primarily the result of pricing actions, decreased operating costs and increased aluminum can costs.”