Motley Fool favors Monster Beverage over PepsiCo for 2026, citing Monster’s latest-quarter revenue topping $2.5 billion for the first time and double-digit growth across regions. The article also notes Monster’s premium valuation and reliance on Coca-Cola for distribution.
In FY 2025, Monster reported nearly $8.3 billion in revenue, up about 10.7%, and net income near $1.9 billion. PepsiCo reported $93.9 billion in revenue, up roughly 2.3%, and net income near $8.2 billion. The comparison lists forward price-to-earnings multiples of 37.1x for Monster and 15.0x for PepsiCo, and price-to-sales multiples of 9.1x and 1.8x, respectively. The valuation data are from Financial Modeling Prep and may differ from other providers. Monster generated nearly $2.0 billion in free cash flow that year, compared with PepsiCo’s nearly $7.7 billion.
Monster relies heavily on Coca-Cola for global distribution, and Coca-Cola owns about 20.9% of Monster. Walmart, PepsiCo’s largest customer, accounted for approximately 14% of its 2025 revenue. The article cites competition, supply-chain and regulatory risks for Monster, and changing consumer preferences, commodity volatility and legal risks for PepsiCo. It says North American consumers are pulling back on discretionary snack spending and PepsiCo signaled full-year earnings may come in toward the low end of guidance. The author notes PepsiCo may appeal to investors prioritizing its dividend and steady cash flows.
