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  "documentTitle": "Monster Beverage Corp. (MNST)",
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      "text": "If Monster were valued in a range of 4x – 5x sales and 15x – 18x EBITDA consistent with its peers and closer to recent industry M&A transactions of faster growing companies such Celsius acquiring Alani Nu and Keurig Dr. Pepper acquiring GHOST Energy, we could see 25% - 40% long-term downside risk.",
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      "text": "We believe Monster's stock trades at an irrational premium to Coke, which it is highly dependent on for its distribution, at 6.9x and 23x 2025E sales and Adj. EBITDA, respectively.",
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      "text": "Analysts also assume that Monster's international growth will offset domestic weakness and margins will expand. These assumptions should be challenged especially in Europe where changing laws and regulatory scrutiny could increase.",
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      "text": "As the highest stock-based compensation issuers among large cap food and beverage peers (as a % of revenues and per employee), Monster is dependent on perpetuating a growth narrative to keep the perceived value of its equity high to motivate employees.",
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      "text": "We believe Monster is fully valued and a poor risk / reward given it is valued at the average sell-side consensus target of $57 per share given that 50% of the analysts don't even have a \"Buy\" recommendation.",
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