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Celsius Holdings (CELH)
NASDAQ:CELH
US Market

Celsius Holdings (CELH) AI Stock Analysis

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Celsius Holdings

(NASDAQ:CELH)

Rating:68Neutral
Price Target:
$40.00
▲(2.09%Upside)
Celsius Holdings demonstrates strong financial performance and strategic growth initiatives, particularly through international expansion and acquisitions. However, high valuation and recent revenue and expense challenges temper enthusiasm.
Positive Factors
Acquisition Impact
The acquisition of Alani Nu is expected to drive incremental category growth and provide access to a fast-growing, wellness-focused consumer demographic.
Financial Stability
CELH has cash of $977M and no debt, providing strong financial stability.
Market Position
Strong position as the number three player in the fast-growing energy category reflects potential for further market share gains.
Negative Factors
Earnings Expectations
The decrease in 2025 and 2026 GAAP EPS estimates is primarily due to higher expected operating expenses.
Long-term Growth Concerns
Challenges in the legacy business of Celsius Holdings are seen as a factor that tempers the view on the company's long-term sales trajectory.
Market Competition
Analyst continues to question the long-term growth runway for both brands amid heightened competition in the sugar-free segment.

Celsius Holdings (CELH) vs. SPDR S&P 500 ETF (SPY)

Celsius Holdings Business Overview & Revenue Model

Company DescriptionCelsius Holdings, Inc. develops, processes, markets, distributes, and sells functional drinks and liquid supplements in North America, Europe, Asia, and internationally. It offers various carbonated and non-carbonated functional energy drinks under the CELSIUS Originals name; dietary supplement in carbonated flavors, including apple jack'd, orangesicle, inferno punch, cherry lime, blueberry pomegranate, strawberry dragon fruit, tangerine grapefruit, and jackfruit under the CELSIUS HEAT name; and branched-chain amino acids functional energy drink that fuels muscle recovery under the CELSIUS BCCA+ENERGY name. The company also provides CELSIUS On-the-Go, a powdered form of the active ingredients in functional energy drinks in individual On-The-Go packets and canisters; and sparkling grapefruit, cucumber lime, and orange pomegranate, as well as pineapple coconut, watermelon berry, and strawberries and cream non-carbonated functional energy drinks under the CELSIUS Sweetened. It distributes its products through direct-to-store delivery distributors and direct to retailers, including supermarkets, convenience stores, drug stores, nutritional stores, and mass merchants, as well as health clubs, spas, gyms, the military, and e-commerce websites. The company was formerly known as Vector Ventures, Inc. and changed its name to Celsius Holdings, Inc. in January 2007. Celsius Holdings, Inc. was founded in 2004 and is headquartered in Boca Raton, Florida.
How the Company Makes MoneyCelsius Holdings makes money primarily through the sale of its energy drinks in various channels, including retail, online, and through distributors. The company leverages a multi-channel distribution strategy, selling its products in grocery stores, convenience stores, fitness centers, and e-commerce platforms. Key revenue streams include direct sales to retailers and distributors, as well as direct-to-consumer sales via their online platforms. Significant partnerships with distribution networks and retailers enhance its market reach and visibility. The company's earnings are also bolstered by strategic marketing initiatives and collaborations that increase brand awareness and consumer engagement.

Celsius Holdings Key Performance Indicators (KPIs)

Any
Any
Revenue by Geography
Revenue by Geography
Breaks down revenue across different regions, revealing where the company is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Chart InsightsCelsius Holdings' North American revenue experienced a sharp decline in Q3 2024, reflecting challenges highlighted in their earnings call, such as slowed velocity and changes in distributor incentives. However, international revenue surged by 41%, driven by strong growth in markets like the UK and Australia. The acquisition of Alani Nu is expected to bolster their market share and drive future growth. Despite a 7% overall revenue decline, the company is focusing on operational excellence and international expansion to sustain growth in 2025.
Data provided by:Main Street Data

Celsius Holdings Earnings Call Summary

Earnings Call Date:May 06, 2025
(Q1-2025)
|
% Change Since: 15.61%|
Next Earnings Date:Aug 12, 2025
Earnings Call Sentiment Neutral
The earnings call reflects a mixed sentiment. While the acquisition of Alani Nu and international expansion are significant achievements, the overall decline in revenue, increased expenses, and lower adjusted EBITDA highlight challenges. The gross margin improvement and strong cash position provide some positive outlook.
Q1-2025 Updates
Positive Updates
Alani Nu Acquisition and Growth
Celsius Holdings successfully closed the acquisition of Alani Nu, adding a second $1 billion brand to its portfolio. Alani Nu's retail sales increased 88% year-over-year, reaching a 5.3% share, up 221 basis points.
International Expansion Success
International revenue grew 41% to $22.8 million, demonstrating strong organic growth in legacy and new markets including the UK, Ireland, France, Australia, and New Zealand.
Gross Margin Improvement
Gross margin expanded 110 basis points to 52.3%, supported by sourcing efficiencies for raw and packaging materials.
Strong Cash Position
As of March 31, 2025, Celsius Holdings had $977 million in cash and no outstanding debt.
Negative Updates
Revenue Decline
First quarter revenue totaled $329.3 million, a 7% decline compared to the prior year quarter, due to slowed velocity, timing and structure of US distributor incentive program, and increased retail promotional programs.
Increased SG&A Expenses
Selling, general, and administrative expenses increased to $120.3 million from $99 million in the prior year, reflecting transaction-related expenses for the Alani Nu acquisition and continued investment in global sales, marketing, and organizational infrastructure.
Decline in Adjusted EBITDA
Non-GAAP adjusted EBITDA was $69.7 million for the quarter, representing a 21.2% margin, compared to $88 million and a 24.7% margin in Q1 2024.
Company Guidance
During the call, Celsius Holdings provided several key metrics and insights into their first quarter of 2025 performance and guidance for the future. The company reported a total revenue of $329.3 million, marking a 7% decline from the previous year, largely due to slowed velocity, changes in their US distributor incentive program, and increased retail promotions. Despite this decline, Celsius achieved a gross margin expansion of 110 basis points to 52.3%, driven by sourcing efficiencies. Adjusted EBITDA was reported at $69.7 million with a margin of 21.2%. International revenue grew by 41% to $22.8 million, reflecting strong organic growth. In the US market, Celsius held a 10.9% dollar share, and combined with Alani Nu, they captured a 16.2% dollar share for the quarter. With the acquisition of Alani Nu, which recently surpassed $1 billion in trailing retail sales, Celsius Holdings plans to leverage this growth and continue to expand their presence in the energy drink category, driven by new product innovations and increased retail shelf space. Additionally, they emphasized a commitment to operational excellence, international expansion, and strong retail partnerships to drive sustained growth in 2025 and beyond.

Celsius Holdings Financial Statement Overview

Summary
Celsius Holdings shows strong financial performance with robust revenue growth and profitability. The balance sheet is solid with low leverage, and cash flow is positive and growing. However, the recent decrease in net profit margin and ROE requires attention.
Income Statement
85
Very Positive
Celsius Holdings demonstrates impressive revenue growth with a notable increase from 2021 to 2025. The company has achieved strong gross profit and net profit margins, indicating efficient cost management and profitability. The consistent increase in EBITDA and EBIT margins further emphasizes operational efficiency. However, the net profit margin has slightly decreased in the latest TTM period, which requires monitoring.
Balance Sheet
78
Positive
The company maintains a solid equity ratio, reflecting a strong financial position with a significant proportion of equity in its asset base. The debt-to-equity ratio remains low, indicating prudent financial leverage. However, the return on equity has decreased slightly due to lower net income, which could impact future investment returns.
Cash Flow
80
Positive
Celsius Holdings shows robust operating cash flow, with a favorable operating cash flow to net income ratio. The free cash flow is positive and growing, reflecting effective cash management. Despite the positive cash flow trends, the free cash flow growth rate has slowed in the latest TTM period, warranting attention to ensure continued cash flow strength.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
1.33B1.36B1.32B653.60M314.27M130.73M
Gross Profit
670.37M680.21M633.14M270.87M128.17M60.97M
EBIT
124.57M155.73M266.37M-157.80M-4.09M7.91M
EBITDA
133.22M163.00M269.59M-155.88M-2.79M11.73M
Net Income Common Stockholders
144.83M145.07M226.80M-187.28M3.94M8.52M
Balance SheetCash, Cash Equivalents and Short-Term Investments
977.28M890.19M755.98M614.16M16.25M43.25M
Total Assets
1.86B1.77B1.54B1.22B314.02M131.29M
Total Debt
19.70M20.25M2.19M1.22M1.37M1.12M
Net Debt
-957.58M-869.94M-753.79M-612.94M-14.88M-42.12M
Total Liabilities
591.92M542.46M447.87M357.49M96.97M26.96M
Stockholders Equity
443.11M1.22B1.09B864.58M217.05M104.33M
Cash FlowFree Cash Flow
205.81M239.51M123.78M99.92M-99.74M2.82M
Operating Cash Flow
231.62M262.90M141.22M108.18M-96.59M3.40M
Investing Cash Flow
-104.14M-101.73M-14.20M-5.67M-1.26M757.26K
Financing Cash Flow
-30.67M-25.97M-25.22M534.11M71.40M15.57M

Celsius Holdings Technical Analysis

Technical Analysis Sentiment
Positive
Last Price39.18
Price Trends
50DMA
36.51
Positive
100DMA
31.43
Positive
200DMA
31.40
Positive
Market Momentum
MACD
0.72
Negative
RSI
62.73
Neutral
STOCH
88.86
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CELH, the sentiment is Positive. The current price of 39.18 is above the 20-day moving average (MA) of 37.40, above the 50-day MA of 36.51, and above the 200-day MA of 31.40, indicating a bullish trend. The MACD of 0.72 indicates Negative momentum. The RSI at 62.73 is Neutral, neither overbought nor oversold. The STOCH value of 88.86 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CELH.

Celsius Holdings Risk Analysis

Celsius Holdings disclosed 40 risk factors in its most recent earnings report. Celsius Holdings reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 3 New Risks
1.
We depend upon ourtrademarks and proprietaryrights, and anyfailureto protect ourintellectual propertyrights or anyclaimsthat we areinfringing upon therights of othersmay adversely af ect ourcompetitive position. Q2, 2022
2.
If we do notmaintain an ef ectiveinternal control environment aswell as adequatecontrol procedures over ourfinancial reporting, investorconfidencemay be adversely af ected thereby af ecting thevalue of ourstock price Q2, 2022
3.
Our board of directorshasthe authority, withoutstockholder approval, to issue preferred stock with termsthatmay not be beneficial to common stockholders and with the abilityto af ect adversely stockholdervoting power and perpetuatetheircontrol overus. Q2, 2022

Celsius Holdings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
$1.99B34.3824.86%8.01%11.26%
77
Outperform
$4.26B23.1440.81%0.34%9.48%
76
Outperform
$62.25B42.2520.00%1.47%-4.87%
68
Neutral
$9.82B124.749.19%-5.98%-65.57%
65
Neutral
$8.91B15.034.70%203.30%3.50%-2.63%
54
Neutral
$197.43M-28.87%-6.83%19.09%
51
Neutral
$301.37M-85.68%4.56%57.03%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CELH
Celsius Holdings
39.18
-35.19
-47.32%
MNST
Monster Beverage
63.99
11.99
23.06%
FIZZ
National Beverage
45.90
1.96
4.46%
OTLY
Oatly Group
10.50
-9.50
-47.50%
ZVIA
Zevia PBC
2.66
1.58
146.30%
COCO
Vita Coco Company
34.61
6.05
21.18%

Celsius Holdings Corporate Events

Executive/Board ChangesShareholder Meetings
Celsius Holdings Approves Key Proposals at Annual Meeting
Neutral
May 29, 2025

On May 28, 2025, Celsius Holdings held its Annual Meeting of Stockholders where several key proposals were approved. Notably, the company’s stockholders agreed to amend the Articles of Incorporation to increase the authorized Common Stock from 300 million to 400 million shares. Additionally, the election of nine directors, approval of executive compensation, and the ratification of Ernst & Young LLP as the independent registered public accounting firm for the fiscal year 2025 were confirmed.

The most recent analyst rating on (CELH) stock is a Hold with a $32.00 price target. To see the full list of analyst forecasts on Celsius Holdings stock, see the CELH Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Celsius Holdings Discusses Alani Nu Integration Strategy
Positive
May 28, 2025

On May 28, 2025, Celsius Holdings presented a modeling conference call discussing its strategic plans and financial expectations. The presentation highlighted the integration of Alani Nu, a leading energy drink brand with a strong female consumer base, into Celsius’ operations. This move is expected to enhance Celsius’ market position and expand its product offerings, leveraging Alani Nu’s established distribution network and marketing strategies. The announcement is significant for stakeholders as it outlines Celsius’ growth strategy and potential impact on its financial performance.

The most recent analyst rating on (CELH) stock is a Buy with a $110.00 price target. To see the full list of analyst forecasts on Celsius Holdings stock, see the CELH Stock Forecast page.

M&A TransactionsBusiness Operations and StrategyFinancial Disclosures
Celsius Holdings Completes Acquisition of Alani Nu
Neutral
May 6, 2025

Celsius Holdings reported its first quarter 2025 financial results, highlighting a 7% decline in revenue to $329.3 million compared to the previous year. Despite the revenue drop, the company saw a 41% increase in international revenue and improved gross margins due to sourcing efficiencies. The acquisition of Alani Nu was finalized on April 1, 2025, contributing to a combined 16.2% dollar share in the U.S. energy drink market. The company remains optimistic about its growth strategy, with strong international market performance and continued investment in brand innovation and operational scale.

M&A TransactionsBusiness Operations and Strategy
Celsius Holdings Acquires Alani Nutrition for $1.8 Billion
Positive
Apr 1, 2025

On April 1, 2025, Celsius Holdings completed its acquisition of Alani Nutrition LLC for $1.8 billion. This acquisition strengthens Celsius’ position in the functional beverage market, allowing it to expand its portfolio and reach more consumers seeking healthier, zero-sugar alternatives. The acquisition includes a mix of cash and stock, with Alani Nu operating within Celsius and its key leadership continuing as advisors. This strategic move is expected to enhance Celsius’ growth in the energy drink category and broaden its consumer base.

M&A Transactions
Celsius Holdings Announces Acquisition of Alani Nutrition
Neutral
Mar 12, 2025

On February 20, 2025, Celsius Holdings, Inc. announced its intention to acquire Alani Nutrition LLC by entering into a Membership Interest Purchase Agreement. The transaction is expected to close as early as April 2025, following the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act on March 10, 2025, which was one of the conditions for closing the deal.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.