C
Monster Beverage Corporation — Earnings Quality Grade C
MNST · Consumer Defensive
Some red flags
Revenue
$8.3B
2025
Net Income
$1.9B
2025
Gross Margin
55.8%
Free Cash Flow
$1.9B
01
Screening Summary
9
Passed
4
Watch
0
Failed
—
M-Score
02
Financial Trends
Revenue & Net Income ($B)
Margins (%)
03
18-Point Screening
01
Revenue Quality
!
A1DSO Change
DSO increased by 12 days
!
A2AR vs Revenue Growth
AR growth 32.5% exceeds revenue growth 10.7%
✓
A3Revenue vs CFFO
Revenue 10.7%, CFFO 8.8%. Cash follows revenue
02
Expense Quality
✓
B1Inventory vs COGS
Inventory 8.5% vs COGS 6.3%. Normal
✓
B2CapEx vs Revenue
CapEx growth -48.6% vs revenue 10.7%. Normal
—
B3SG&A Ratio
Insufficient data
✓
B4Gross Margin
Gross margin 55.8%, change +1.8pp. Stable
03
Cash Flow Quality
✓
C1CFFO vs Net Income
CFFO/NI = 1.10. Profits backed by cash
✓
C2Free Cash Flow
FCF $1.9B, FCF/NI = 1.02
✓
C3Accruals Ratio
Accruals ratio = -1.9%. Low accruals
—
C4Cash vs Debt
Insufficient data
04
Balance Sheet Health
!
D1Goodwill + Intangibles
Goodwill+Intangibles $2.7B = 33% of equity
—
D2Leverage
Insufficient data
!
D3Soft Asset Growth
Other assets grew 58.8% vs revenue 10.7%
—
D4Asset Impairment
No write-off data
05
Acquisition Risk
✓
E1Serial Acquirer FCF
FCF after acquisitions positive
✓
E2Goodwill Surge
Goodwill+Intangibles change -1% YoY. Normal
06
Manipulation Score
—
F1Beneish M-Score
Insufficient data
05
Altman Z-Score
12.25
Safe Zone0 Distress1.102.605.0+ Safe
0.3918
Liquidity
0.9365
Cumulative profit
0.2422
Operating efficiency
4.7579
Leverage
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-08