The Cash Ratio measures a company’s ability to meet its short-term obligations with cash and near-cash resources. It is calculated as a company's Cash, Cash Equivalents, Marketable Securities divides by its Total Current Liabilities. Monster Beverage's Cash Ratio for the quarter that ended in Dec. 2023 was 2.80.
Monster Beverage has a Cash Ratio of 2.80. It generally indicates that the company is able to cover all short-term debt and still have cash remaining.
The historical rank and industry rank for Monster Beverage's Cash Ratio or its related term are showing as below:
MNST'
s Cash Ratio Range Over the Past 10 Years
Min: 1.27 Med: 2.71 Max: 7.12
Current: 2.8
During the past 13 years, Monster Beverage's highest Cash Ratio was 7.12. The lowest was 1.27. And the median was 2.71.
MNST's Cash Ratio is ranked better than 90.48% of 105
companies
in the Beverages - Non-Alcoholic industry
Industry Median: 0.58
vs MNST: 2.80
Monster Beverage Cash Ratio Historical Data
The historical data trend for Monster Beverage's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
Monster Beverage Annual Data
Trend
Dec14
Dec15
Dec16
Dec17
Dec18
Dec19
Dec20
Dec21
Dec22
Dec23
Cash Ratio
2.01
2.75
3.19
2.66
2.80
Monster Beverage Quarterly Data
Mar19
Jun19
Sep19
Dec19
Mar20
Jun20
Sep20
Dec20
Mar21
Jun21
Sep21
Dec21
Mar22
Jun22
Sep22
Dec22
Mar23
Jun23
Sep23
Dec23
Cash Ratio
2.66
2.57
2.83
2.55
2.80
Competitive Comparison
For the Beverages - Non-Alcoholic subindustry, Monster Beverage's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Monster Beverage Cash Ratio Distribution
For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Monster Beverage's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Monster Beverage's Cash Ratio falls into.
Monster Beverage Cash Ratio Calculation
The Cash Ratio measures a company's ability to meet its short-term obligations with its cash and near-cash resources.
Monster Beverage's Cash Ratio for the fiscal year that ended in Dec. 2023 is calculated as:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Monster Beverage (NAS:MNST) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Monster Beverage Cash Ratio Related Terms
Thank you for viewing the detailed overview of Monster Beverage's Cash Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Monster Beverage (Monster Beverage) Business Description
Monster Beverage is a leader in the energy drink subsegment of the nonalcoholic beverage market, generating two thirds of revenue in the U.S. and Canada. The well-known Monster trademark includes brands such as Monster Energy, Monster Ultra, Java Monster, and Juice Monster. The firm also owns other energy drink brands, such as Reign, NOS, Burn, and Mother, and brews and distributes beers and flavored malt beverages following the acquisition of a craft brewer in 2022. Monster controls branding and innovation but outsources beverage manufacturing and packaging to copackers and finished goods distribution to bottlers in the global Coca-Cola system (pursuant to a 20-year agreement inked in 2015). Coke is the largest shareholder of Monster with a 19.5% stake.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
MNST has been successfully added to your 