I Might Sell it all for a MONSTER PROFIT

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Well today’s video i think is gonna be very very valuable to you guys out there today i’m going to take you through a position i am thinking about selling and i’m gonna take you through an exercise that i love to do when going to sell a position i kind of do like i’m air versus bull debate i’m kind of like the the bearish points on this stock the bullish points in

This stock and whatnot it’s a stock you have some pretty monster profits as you guys heard monster profits some of you guys might have figured that out it’s a company name monster beverage where i look at my cost faces on this one how much money i’ve made so far also toward the end of the video i want to take you through kind of like the companies i am thinking

About buying with this money if i do decide to sell out and i would love to hear from you guys in the comment section if you think i should sell these shares if you think i should hold them after we got to go through the bull and bear debate i would love to hear from you guys also like if i do sell it like what company do you think i should put the money in i

Would love to hear from you guys so monsters so this is in my public accountant public accountant is available in my stock market membership group by the way that group if you want to join in there it’s half off right now enter code half off and check out today and you can get half off the price not only this month but every month going forward you have like over

A hundred private videos in there i post videos monday friday so much value it’s insane there’s something that interests you get in there there’s over a hundred thousand dollars in that account and one of my positions in that account is monster beverage okay this is stock i bought probably a month or two ago a month or two ago and it’s already up over twenty four

Percent okay up over two thousand dollars and this was on an investment that was only eight thousand dollar investment so i wasn’t like this with some huge investment so it already be up over two thousand in such a short amount of time over twenty four percent is pretty awesome alright so our car space is on those shares is forty nine dollars and thirty cents and so

You know being up that much in that quick amount of time it kind of makes me at least contemplate maybe i should sell out of these shares okay so let’s start going through the bull vs. bear debate and then i’ll kind of tell you guys like what i’m thinking about buying if i do this i to buy some shares alright so the bull debate all right the bull debate well the

First thing is international expansion this is a company that is expanding all over the world right now all over the world any country you could possibly imagine they are either expanding more products in that country or they expect are expanding into that of those countries for the first time so this is a huge international growth story all right monster if you

If you don’t know anything about the company this would be this little juice company these guys took it over in the 90s and basically they start the monster energy brand in 2002 and ever since then this company has been an absolute growth beast one of the top performing stocks literally in the entire world over the past 15 years literally one of the top performing

Stocks in the entire world the past 15 years like if you just put a couple thousand dollars in this stock back in the day in 2002 2003 like you would be a multi-millionaire now it’s it’s absolutely insane what they’ve done but they’re they’ve been in america since 2002 alright so there might not be nearly as much growth in north america but internationally some

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Of these markets they’ve just entered within the past five years some of them within the past three years some of them are just within the past year – okay so they have a lot of international expansion ahead of themselves that’s one of the bullish points in this talk all right the number two thing is product expansion what do i mean by product expansion it’s one

Thing to just expand the monster brand in other countries but also there’s a company that is expanding other types of products other than just basic energy drinks all right they’re coming into coffee product they’re coming into water products pretty much anything across support they’re starting to slap a monster name on it monster soda products in expanding the

Monster brandon’s people see it on the shelf and they already know the monster brand and they see it and they’re like oh i feel like a soda maybe i feel like a monster soda oh there’s a flavored water oh it’s made by monster brand maybe i wants that so they’re expanding products in a huge way okay that’s another big thing the third thing is price expansion okay

Price expansion so now actually this was announced shortly after i got into stock so it was good fortune and me getting in the stock and then this ended up coming out but basically the ceo came out and said we’re probably gonna be raising prices especially in north america starting the end of this year maybe beginning of next year price expansion guess what that

Means that means more profits any any amount of money the i excuse me any amount of you know increase in price as far as a monster goes that goes straight to profit okay if monster goes up 20 cents a can it’s all straight profit okay if they go up 50 cents can’t it’s all just going straight profit because there has already baked in regardless if they sell they can

For a dollar until they can for two dollars alright so that’s a huge thing and that could you know make eps go up and in a great deal number four is they are taking market share from every single energy drink maker they’re now in the number one energy drink brand in the united states of america okay number one they overtook red bull red bull used to have a dominant

Market share in every single market out there and monsters slowly has been chewing away at that market share for the last decade and now they are at a point where now they have almost half the market share in the united states of america and they are eating into the red bulls market share all over the world right now it’s pretty unbelievable what the company has

Been able to do so it’s not just all their products are probably to get more expensive means they’re probably gonna make more eps not only are they expanding into other countries and whatnot but they’re also taking market share from red bull that’s a really big thing there guys alright number five a great management team like like oh my gosh that is good at the

Management team as you can get they built this brand from nothing okay a couple of like you know a 50 million dollar apple juice business and they’ve built it into a company that’s worth 30 plus billion dollars alright you know a 50 50 million dollar apple juice business and you know 15 20 years later they got a 30 plus billion dollar energy drink jayant on their

Hands okay that type of management team either to you know kind of co-ceos and whatnot they’ve done such an amazing job with this company is nothing to but good things to say about it okay number six brand strength i mean monster i would put monster right there with coca-cola brand pepsi brand red bull you know monsters right in with all those i couldn’t necessarily

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Say they’re stronger than those brands or they’re weaker than those brands but it’s unbelievable how strong the monster brand is and how you know well recognize the brand is around the world number seven is scale so basically as your company gets bigger and bigger and bigger you get more scale you get you get even smarter at doing things cuz you’ve experienced

Things you get more pricing power out on some of your suppliers and whatnot for different things okay so as you get bigger and bigger and bigger you just get more and more scale and you get to you know you know compete out there in a big bigger way because you’re able to compete on pricing more and more okay so that’s kind of the bowl that’s kind of the bullish

Stance all right that’s the bullish stance but what’s the bearish stance on this because there ought to be some type of bearish dance otherwise i wouldn’t even contemplate selling these shares okay there are definitely some things so the first one is this a company is trading out a forty one trailing p/e a 31 ford key that’s pretty rich okay it’s an energy drink

Company alright you know we’re talking about this is a high for p we’re talking about this is a similar forward p to a company like into it okay this is a higher weight higher forward p/e than a company like facebook for instance facebook right now straighten out twenty to forty we are monster over here a drink company trading out thirty one so it is definitely

A bit rich does the company have phenomenal growth yes but still a 31 ford p that’s kind of rich there okay second bears point is they’re reliant on coca cola’s distribution so it’s for not they basically coca-cola made investment in them bought about eighteen percent stake since then they’ve really helped monster expand around the world and they’re continuing

To through the coca-cola distribution all right the only problem with that is is they’re relying on coco’s distribution so any problems that happen with that distribution it’s gonna affect monster okay if coca-cola distribution decides they want to go up in a major way monster pretty much just has to pay the price in the end because what else are they gonna do

They’re gonna have to just pay the price okay it’s not only they can just switch very easily to some other distribution company it’s a very very hard thing to do guys it’s a very anybody that’s worked in retail can meaning the store business like i have it’s not just so easy that a new distribution company can come in just take out one like it’s a big process and

Then you gotta fix the coolers it’s so much and never mind around the world it’s a big big it’s a big big undertaking so it’s great that they’re in the coca-cola distribution and expanding around the world but at the same time it does put you know coca-cola distribution in a position of power let’s just put it that way okay the number three thing is executive age

So i talked about how this is a great management team okay unfortunately both these gentlemen now are in their late 60s okay so they’re in their late 60s we don’t know how much longer they’re gonna want to lead this company okay haven’t said anything necessarily about retirement yet but at the same time they’re in their late 60s who knows not everybody’s gonna

Be warren buffett and still running their company at 87 years old or whatever he is okay not everybody wants to do that right some people you know they want to retire in their late 60s and just enjoy the rest of life and enjoy all the wealth they create and whatnot some people want to continue to run the company i don’t know what what their plans are but i can

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Just tell you that at the end of the day they’re getting up there in age maybe it’s possible they’ll want to retire soon there’s such great you know ceos of that company that if they did retire i would take it as a negative okay could they find somebody to probably replace them that does a great job probably but at the same time you know these guys have just

Done such a phenomenal job it would be i would hate to see him go number four is commodity prices are hurting their eps right now their profits commodity prices have been going up and up and up for them all the commodities this company uses they’re all going up so they have been hurt by commodity prices so that’s kind of a bearish thesis there and number five is

Raising prices could have hurt sales volume all right you know there’s nothing we can know definitively about that but let’s say let’s say monster goes up 20 cents a can you know that’s what it equates to at 7-eleven or whatever convenience stores people go to and whatnot or wherever they buy monster the food store or whatever okay let’s say an average monster

Can is 20 cents more expensive does somebody say man monsters 20 cents more expensive i don’t think i’m gonna buy that today i think i’m gonna buy another product that’s always a possibility we don’t know we there’s no you know specific science around if somebody says you know seeds out there you know if you have a lot of money it’s no question you’re gonna still

Buy the product if you want the product however not everybody has a lot of money most people are struggling out there that extra 20 cents they go up maybe if somebody says i know i’m not gonna have a monster today i’m gonna have this other brand that’s cheaper or just not get anything in general so that’s always a possibility so neither to say that’s the bull you

Know debate versus the bear debate now what would i end up putting the money in if i decide to sell out here get the $10,000 like what would i end up probably putting that in i would probably end up putting it in two different stocks okay the first stock i would probably put it in i’d probably put half the money in toll brothers which is a company already have a

Lower-cost basis on that position i think that company is very undervalued right now great home builder so i put probably half the money there the other half of the money i would probably put in fedex shares which basically i’ve been wanting to build a bigger stake in fedex so i can put the other half of money in fedex i own some shares of fedex right now but it’s

A very very small positions a four figure position right now i would like to get that into a five figure position so maybe i would split the money half in half and kind of build those positions bigger that’s kind of what i’m contemplating right now i would love to hear from you guys like what your opinion is on this do you think i should just hold monster keep the

Gains going do you think i should sell do you think i should buy those stocks i talked about do you think i should buy a different stock i would love to hear from you guys once again my public account that is available on my stock market membership group it is half off right now first link down there in the description use code half off at checkout to literally

Receive half off this month and every month moving forward i would love to see you guys in there i love to chat with you in there that would be phenomenal thank you for watching and have a great day

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I Might Sell it all for a MONSTER PROFIT By Financial Education

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