CORONA, Calif. -- Fast-growing Monster Beverage Corp. will be added to the Standard & Poor (S&P) 500 stock index next week, replacing Sara Lee, said a report by Forbes.
Monster Beverage has experienced strong sales and profit growth since going public in 1995, as Americans drank its namesake energy drink, a blend of sugar and Vitamin B packaged in tall-boy cans streaked with claw marks.
Meanwhile, Sara Lee sales fell from $17.6 billion in 2002 to $8.7 billion last year, according to the report. Next week, Sara Lee will spin off its coffee-and-tea business into a new company called D.E. Master Blenders, hoping the separation will improve prospects for both entities. The North American food business will become Hillshire Brands, and appear on the S&P MidCap 400 index.
The new listings will be effective June 28.
Shares of Monster rose by as much as 4%, later settling up 3.1% at $77.05, said Forbes.
Monster joins rivals PepsiCo, Coca-Cola and Dr Pepper Snapple on the large cap index.
And S&P has not been the only one to take notice of Monster's performance, the report said. Coca-Cola earlier this year was reportedly interested in buying Monster, the second largest energy-drink company behind privately held Red Bull. Both companies denied the rumors.
Based in Corona, California, Monster Beverage is a marketer and distributor of energy drinks and alternative beverages. The company markets and distributes Monster Energy brand energy drinks, Monster Energy Extra Strength Nitrous Technology brand energy drinks, Java Monster brand noncarbonated coffee and energy drinks, X-Presso Monster brand noncarbonated espresso energy drinks, M-3 superconcentrated energy drinks, Monster Rehab noncarbonated rehydration energy drinks, Ubermonster energy drinks, Worx Energy shots and Peace Tea iced teas, as well as Hansen's natural sodas, apple juice and juice blends, multi-vitamin juices, Junior Juice beverages, Blue Sky beverages, Hubert's Lemonades, Vidration vitamin enhanced waters and PRE Probiotic drinks.
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