Jefferies Thinks Monster Looks Fully Valued Following Coca-Cola Deal
Jefferies downgraded Monster Beverage (NASDAQ: MNST) to Hold Monday following, citing the following:
- Strategic potential is now less of a catalyst
- Valuation looks full at 16.5x CY15E EV/EBITDA
- The bar is now higher for the stock and global industry slowing remains a key risk factor
Jefferies still views the deal with Coca-Cola (NYSE: KO) as a win-win, but given the recent 30 percent run up in the shares of Monster, the firm sees significantly less stock upside over the next 12 months. Jefferies' new price target is $95, up from a previous $82.
Shares of Monster were down 2.7 percent recently.
Latest Ratings for MNST
|Jul 2016||Wells Fargo||Downgrades||Outperform||Market Perform|
|Jun 2016||Goldman Sachs||Maintains||Buy|
|Mar 2016||Bank of America||Initiates Coverage on||Neutral|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.