Monster Beverage price target lowered to $56 from $59 at Roth MKM

Roth MKM analyst Sean McGowan lowered the firm’s price target on Monster Beverage to $56 from $59 and keeps a Neutral rating on the shares. The firm notes that despite the reduced share count and higher EPS resulting from its recently completed Dutch tender offer, it is reducing its target price from $59 to $56 out of concern for slowing growth in Monster’s core U.S. energy drink sales, the analyst tells investors in a research note. While the company will continue expanding into beverage segments in which it enjoys less dominance, the growing perception that Monster’s best growth days are behind it will continue to weigh on the stock valuation, Roth MKM added.