Hansen Poised to Benefit from New Products, International Expansion

Hansen Natural Corporation (HANS) should be considered for potential purchase based on its #2 position in the fast growing global energy drinks market, its ability to gain market share in the U.S. through the introduction of innovative new products, its opportunity to expand in international markets, its cash-rich balance sheet and its strong cash flow generation.

Hansen’s stock price target is $39 based on applying a 15x multiple to its earnings over the next year and adding its net cash per share of $3.46. A 15x target multiple appears appropriate based on its ability to grow its sales and earnings in the low to mid teens over the next several years.