In our last Number Cruncher, we discussed how Arista Networks (ANET:NYSE), Monster Beverage Corporation (MNST:NASDAQ), & Alphabet Inc. (GOOG:NASDAQ) are high quality companies adapting to the changing interest landscape.
Arista Networks Inc currently has an SP Score of 69, which has increased by 1 in the past 90 days. The score encompasses a performance score of 77.2 and a risk score of 34.0. Arista’s strongest factors compared to its peers are growth and quality with respective scores of 87 and 78. The company has consistently increased sales, averaging 26.4% growth in the past 5 years. Additionally, earnings per share have increased 52.9% in the past year.
The factor details page provides a compelling breakdown of key considerations for Arista Networks. Notably, the analysis highlights two dominant factors—growth and quality—where most metrics rank within the top percentiles relative to both the sector and the broader market. However, the value metrics present a different picture, indicating that Arista Networks is currently priced at a premium compared to many of its industry peers. This contrast is pivotal, especially for investors evaluating large, established companies that are expected to thrive in uncertain market conditions but typically command higher valuations. Understanding this dynamic is crucial for informed investment decision-making.
Monster Beverage Corporation currently has an SP Score of 68 which has not changed in the past 90 days. The SP Score is based on a performance score of 72.2 and a risk score of 33.3. The company’s strongest factor is quality with a score of 84 followed by volatility at 71. The beverage company has demonstrated resilience and consistency with sales growth averaging 14.2% in the past 5 years.
In addition to demonstrating stability and consistency in recent years, Monster Beverage Corporation stands out favorably against its peers on the Performance vs Risk chart. Notably, it ranks second in terms of risk among its peers while also achieving strong performance metrics. Moreover, Monster’s economic performance index (EPI) is the highest within its peer group. This robust performance profile makes Monster Beverage an attractive option for investors seeking companies with a proven track record of strength and resilience, particularly during uncertain market conditions.
Alphabet Inc’s current SP Score is 69, which has not moved in over 90 days. Their performance score is 74.0 and their risk score is 32.0. The internet giant’s strongest factors compared to its peers are quality and growth with respective scores of 81 and 75. Despite their size, Alphabet has averaged 29.9% growth in earnings per share in the past 5 years.
Google’s parent company, Alphabet, has emerged as one of the top-performing stocks over the past decade, achieving a remarkable multi-trillion-dollar valuation. This impressive growth trajectory is reflected in the substantial increase of their net operating profit after taxes (NOPAT), which nearly doubled from $43.2 billion in 2020 to $84.8 billion in 2023. Despite trading at relatively high valuations, companies like Alphabet remain resilient due to their consistent growth and exceptional quality. This resilience is particularly valuable during challenging economic environments, highlighting Alphabet’s capacity to navigate uncertainty and sustain long-term value creation for investors.
if you have any questions about the article, feel free to contact Anthony:
amenard@inovestor.com
