Monster Beverage Corp (MNST)
Monster Beverage Corporation is an American beverage company that manufactures energy drinks including Monster Energy, Relentless and Burn.
Stock Price Trends
Stock price trends estimated using linear regression.
Key facts
- The primary trend is decreasing.
- The decline rate of the primary trend is 7.77% per annum.
- MNST price at the close of April 29, 2025 was $59.25 and was higher than the top border of the primary price channel by $4.69 (8.59%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 145.56% per annum.
- MNST price at the close of April 29, 2025 was inside the secondary price channel.
- The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.
Linear Regression Model
Model equation:
Yi = α + β × Xi + εi
Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)
Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)
where:
i - observation number
Yi - natural logarithm of MNST price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e
Primary Trend
Start date: April 24, 2023
End date: February 27, 2025
a = 4.3015
b = -0.0002
s = 0.0511
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0002) – 1
= -7.77%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0511) – 1
= 22.67%
April 24, 2023 calculations
Top border of price channel:
Exp(Y750)
= Exp(a + b × X750 + 2 × s)
= Exp(a + b × 1,089 + 2 × s)
= Exp(4.3015 + -0.0002 × 1,089 + 2 × 0.0511)
= Exp(4.1624)
= $64.23
Bottom border of price channel:
Exp(Y750)
= Exp(a + b × X750 – 2 × s)
= Exp(a + b × 1,089 – 2 × s)
= Exp(4.3015 + -0.0002 × 1,089 – 2 × 0.0511)
= Exp(3.9581)
= $52.36
February 27, 2025 calculations
Top border of price channel:
Exp(Y1,213)
= Exp(a + b × X1,213 + 2 × s)
= Exp(a + b × 1,764 + 2 × s)
= Exp(4.3015 + -0.0002 × 1,764 + 2 × 0.0511)
= Exp(4.0129)
= $55.30
Bottom border of price channel:
Exp(Y1,213)
= Exp(a + b × X1,213 – 2 × s)
= Exp(a + b × 1,764 – 2 × s)
= Exp(4.3015 + -0.0002 × 1,764 – 2 × 0.0511)
= Exp(3.8085)
= $45.08
Description
- The primary trend is decreasing.
- The decline rate of the primary trend is 7.77% per annum.
- MNST price at the close of April 29, 2025 was $59.25 and was higher than the top border of the primary price channel by $4.69 (8.59%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: January 15, 2025
End date: April 29, 2025
a = -0.3796
b = 0.0025
s = 0.0323
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0025) – 1
= 145.56%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0323) – 1
= 13.78%
January 15, 2025 calculations
Top border of price channel:
Exp(Y1,184)
= Exp(a + b × X1,184 + 2 × s)
= Exp(a + b × 1,721 + 2 × s)
= Exp(-0.3796 + 0.0025 × 1,721 + 2 × 0.0323)
= Exp(3.9209)
= $50.45
Bottom border of price channel:
Exp(Y1,184)
= Exp(a + b × X1,184 – 2 × s)
= Exp(a + b × 1,721 – 2 × s)
= Exp(-0.3796 + 0.0025 × 1,721 – 2 × 0.0323)
= Exp(3.7919)
= $44.34
April 29, 2025 calculations
Top border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(-0.3796 + 0.0025 × 1,825 + 2 × 0.0323)
= Exp(4.1769)
= $65.16
Bottom border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(-0.3796 + 0.0025 × 1,825 – 2 × 0.0323)
= Exp(4.0478)
= $57.27
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 145.56% per annum.
- MNST price at the close of April 29, 2025 was inside the secondary price channel.