Celsius Holdings Faces Sales Slowdown Pressure
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 48 minutes ago
0mins
Should l Buy CELH?
Source: stocktwits
- Sales Momentum Weakening: Morgan Stanley analyst Eric Serotta lowered Celsius Holdings' price target to $55 from $64 while maintaining an ‘Overweight’ rating, expressing concerns over slowing sales momentum from the Alani brand, which could impact future revenue growth.
- Price Target Adjustments: JP Morgan raised Celsius' price target by 4.7% to $70, while Roth Capital cut its target to $65, indicating a divergence in market sentiment regarding Celsius' future profitability, potentially shaking investor confidence.
- Revenue Growth Reliant on Acquisitions: Celsius reported a record quarterly revenue of $782.6 million for Q1 2026, representing a 138% year-over-year increase; however, most of this growth stemmed from the acquisitions of Alani Nu and Rockstar, with core Celsius sales only growing by 6%, raising sustainability concerns among investors.
- Declining Gross Margins: Celsius reported a consolidated gross margin of 48.3%, approximately 400 basis points lower than the same quarter last year, primarily due to the lower margin profiles of Alani Nu and Rockstar, indicating challenges in maintaining profitability.
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Analyst Views on CELH
Wall Street analysts forecast CELH stock price to rise
17 Analyst Rating
14 Buy
2 Hold
1 Sell
Strong Buy
Current: 32.290
Low
45.00
Averages
62.85
High
80.00
Current: 32.290
Low
45.00
Averages
62.85
High
80.00
About CELH
Celsius Holdings, Inc. is engaged in the development, processing, marketing, sale, and distribution of functional energy drinks to a range of consumers. The Company's flagship asset, CELSIUS, is marketed as a lifestyle and energy drink. This product line comes in two versions: a ready-to-drink form and an on-the-go powder form. It also offers a new CELSIUS Essentials line, available in 16-ounce cans and a Hydration line of zero-sugar powders that are infused with electrolytes and are available in a variety of fruit-forward flavors. Celsius products are offered in retail channels across the United States, including conventional grocery, natural, convenience, fitness, mass market, vitamin specialty and e-commerce platforms. Its product's formulation includes ingredients and supplements such as green tea (EGCG), ginger (from the root), calcium, chromium, B vitamins and vitamin C. The Company's product portfolio also includes the health and wellness brand Alani Nu.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Celsius Energy Drink Sees Strong Growth Despite Stock Struggles
- Significant Sales Growth: Celsius's overall sales surged 138% to $782.6 million, with the Alani Nu brand's revenue jumping 60% to $368 million, demonstrating the success of the acquisition and strong market demand.
- International Market Expansion: Sales in North America soared 144% to $747.3 million, while international sales climbed 55% to $35.3 million, indicating that the company's global expansion strategy is yielding positive results.
- Shelf Space Gains: Celsius gained approximately 17% more shelf space, while Alani Nu doubled its shelf space, reflecting enhanced competitiveness in retail channels that will support future sales growth.
- Improved Profitability: Adjusted earnings per share (EPS) rose 128% to $0.41, and adjusted EBITDA jumped 181% to $195.5 million, despite gross margins falling 400 basis points to 48.3%, with expectations for recovery to the low 50% range as commodity prices ease.
See More
Celsius Holdings Faces Sales Slowdown Pressure
- Sales Momentum Weakening: Morgan Stanley analyst Eric Serotta lowered Celsius Holdings' price target to $55 from $64 while maintaining an ‘Overweight’ rating, expressing concerns over slowing sales momentum from the Alani brand, which could impact future revenue growth.
- Price Target Adjustments: JP Morgan raised Celsius' price target by 4.7% to $70, while Roth Capital cut its target to $65, indicating a divergence in market sentiment regarding Celsius' future profitability, potentially shaking investor confidence.
- Revenue Growth Reliant on Acquisitions: Celsius reported a record quarterly revenue of $782.6 million for Q1 2026, representing a 138% year-over-year increase; however, most of this growth stemmed from the acquisitions of Alani Nu and Rockstar, with core Celsius sales only growing by 6%, raising sustainability concerns among investors.
- Declining Gross Margins: Celsius reported a consolidated gross margin of 48.3%, approximately 400 basis points lower than the same quarter last year, primarily due to the lower margin profiles of Alani Nu and Rockstar, indicating challenges in maintaining profitability.
See More
Celsius Sees Growth from Alani Nu Acquisition Amid Stock Struggles
- Significant Sales Growth: Celsius's overall sales surged 138% to $782.6 million, with Alani Nu's revenue increasing 60% to $368 million, demonstrating the success of the acquisition and strong market demand.
- Market Share Gains: Celsius brand retail sales grew 6%, while Alani Nu's retail sales doubled, and Celsius gained 17% more shelf space, indicating enhanced brand influence and market penetration.
- Improved Profitability: Adjusted earnings per share (EPS) rose 128% to $0.41, and adjusted EBITDA jumped 181% to $195.5 million, reflecting positive progress in cost control and profitability.
- Attractive Valuation: Celsius stock trades at 21 times 2026 analyst earnings estimates and 16.5 times 2027 estimates, making it an appealing investment opportunity given the strong growth outlook.
See More
Celsius Holdings to Participate in Investor Conferences
- Investor Conference Schedule: Celsius Holdings will participate in several investor conferences, including the Goldman Sachs Global Staples Forum on May 12, 2026, with a webcast at 8 a.m. ET, aimed at enhancing the company's visibility among investors.
- Deutsche Bank Conference: The company will also attend the Deutsche Bank Global Consumer Conference on June 2, 2026, with a webcast scheduled for 5:15 p.m. CEST / 11:15 a.m. ET, further showcasing its market strategy.
- Jefferies Conference: Celsius plans to participate in the Jefferies Consumer Conference on June 16-17, 2026, providing live webcasts to enhance interaction with investors and promote company transparency.
- Disclosure Policy: According to the annual report filed on April 14, 2026, Celsius uses its website and webcasts as means to disclose material information to the public, ensuring compliance with SEC's Regulation Fair Disclosure.
See More
Three Unstoppable Dividend Kings to Buy Now
- Strong Dividend Growth: Johnson & Johnson (JNJ) raised its dividend by 3.1% last month, marking 64 consecutive years of increases, with a current yield of 2.3%, significantly higher than the S&P 500's 1.1%, demonstrating its stability and appeal during economic downturns.
- Robust Cash Flow: Johnson & Johnson generated $20 billion in free cash flow last year, more than covering its $12.4 billion dividend payout, and its ultra-low net debt level underscores its financial health and ability to sustain dividends.
- Long-Term Growth Potential: Procter & Gamble (PG) has paid dividends for 136 consecutive years, recently extending its growth streak to 70 years, with expected operating cash flow of $20 billion this year, sufficient to cover its $10 billion dividend and $5 billion in share repurchases, ensuring stable dividend payments.
- Strategic Investments and Returns: PepsiCo (PEP) delivered a 4% dividend increase this year and plans to return about $8.9 billion in cash to shareholders, showcasing its strong cash flow and strategic investment capabilities, which are expected to support long-term revenue growth and dividend increases.
See More
Celsius Holdings Reports Record Q1 2026 Revenue and Strategic Developments
- Record Revenue: Celsius Holdings achieved a record revenue of $783 million in Q1 2026, reflecting strong performance in the energy drink market and further solidifying its market position.
- Successful Brand Integration: The integration of Alani Nu has been completed, capturing approximately $50 million in synergies, while the integration of Rockstar is on track for completion in the first half of 2026, which will enhance overall operational efficiency and profitability.
- International Market Expansion: Celsius launched its brand in Spain through an exclusive sales and distribution agreement with Suntory Beverage & Food Spain, marking further expansion into international markets and expected to drive future growth.
- Margin Outlook: Despite pressures from rising aluminum prices and freight costs, management remains confident in achieving a low 50% gross margin target for 2026, anticipating a “side-step” in Q2 followed by improvements in Q3 and Q4.
See More
Celsius Energy Drink Sees Strong Growth Despite Stock Struggles
- Significant Sales Growth: Celsius's overall sales surged 138% to $782.6 million, with the Alani Nu brand's revenue jumping 60% to $368 million, demonstrating the success of the acquisition and strong market demand.
- International Market Expansion: Sales in North America soared 144% to $747.3 million, while international sales climbed 55% to $35.3 million, indicating that the company's global expansion strategy is yielding positive results.
- Shelf Space Gains: Celsius gained approximately 17% more shelf space, while Alani Nu doubled its shelf space, reflecting enhanced competitiveness in retail channels that will support future sales growth.
- Improved Profitability: Adjusted earnings per share (EPS) rose 128% to $0.41, and adjusted EBITDA jumped 181% to $195.5 million, despite gross margins falling 400 basis points to 48.3%, with expectations for recovery to the low 50% range as commodity prices ease.
See More
Celsius Holdings Faces Sales Slowdown Pressure
- Sales Momentum Weakening: Morgan Stanley analyst Eric Serotta lowered Celsius Holdings' price target to $55 from $64 while maintaining an ‘Overweight’ rating, expressing concerns over slowing sales momentum from the Alani brand, which could impact future revenue growth.
- Price Target Adjustments: JP Morgan raised Celsius' price target by 4.7% to $70, while Roth Capital cut its target to $65, indicating a divergence in market sentiment regarding Celsius' future profitability, potentially shaking investor confidence.
- Revenue Growth Reliant on Acquisitions: Celsius reported a record quarterly revenue of $782.6 million for Q1 2026, representing a 138% year-over-year increase; however, most of this growth stemmed from the acquisitions of Alani Nu and Rockstar, with core Celsius sales only growing by 6%, raising sustainability concerns among investors.
- Declining Gross Margins: Celsius reported a consolidated gross margin of 48.3%, approximately 400 basis points lower than the same quarter last year, primarily due to the lower margin profiles of Alani Nu and Rockstar, indicating challenges in maintaining profitability.
See More
Celsius Sees Growth from Alani Nu Acquisition Amid Stock Struggles
- Significant Sales Growth: Celsius's overall sales surged 138% to $782.6 million, with Alani Nu's revenue increasing 60% to $368 million, demonstrating the success of the acquisition and strong market demand.
- Market Share Gains: Celsius brand retail sales grew 6%, while Alani Nu's retail sales doubled, and Celsius gained 17% more shelf space, indicating enhanced brand influence and market penetration.
- Improved Profitability: Adjusted earnings per share (EPS) rose 128% to $0.41, and adjusted EBITDA jumped 181% to $195.5 million, reflecting positive progress in cost control and profitability.
- Attractive Valuation: Celsius stock trades at 21 times 2026 analyst earnings estimates and 16.5 times 2027 estimates, making it an appealing investment opportunity given the strong growth outlook.
See More
Celsius Holdings to Participate in Investor Conferences
- Investor Conference Schedule: Celsius Holdings will participate in several investor conferences, including the Goldman Sachs Global Staples Forum on May 12, 2026, with a webcast at 8 a.m. ET, aimed at enhancing the company's visibility among investors.
- Deutsche Bank Conference: The company will also attend the Deutsche Bank Global Consumer Conference on June 2, 2026, with a webcast scheduled for 5:15 p.m. CEST / 11:15 a.m. ET, further showcasing its market strategy.
- Jefferies Conference: Celsius plans to participate in the Jefferies Consumer Conference on June 16-17, 2026, providing live webcasts to enhance interaction with investors and promote company transparency.
- Disclosure Policy: According to the annual report filed on April 14, 2026, Celsius uses its website and webcasts as means to disclose material information to the public, ensuring compliance with SEC's Regulation Fair Disclosure.
See More
Three Unstoppable Dividend Kings to Buy Now
- Strong Dividend Growth: Johnson & Johnson (JNJ) raised its dividend by 3.1% last month, marking 64 consecutive years of increases, with a current yield of 2.3%, significantly higher than the S&P 500's 1.1%, demonstrating its stability and appeal during economic downturns.
- Robust Cash Flow: Johnson & Johnson generated $20 billion in free cash flow last year, more than covering its $12.4 billion dividend payout, and its ultra-low net debt level underscores its financial health and ability to sustain dividends.
- Long-Term Growth Potential: Procter & Gamble (PG) has paid dividends for 136 consecutive years, recently extending its growth streak to 70 years, with expected operating cash flow of $20 billion this year, sufficient to cover its $10 billion dividend and $5 billion in share repurchases, ensuring stable dividend payments.
- Strategic Investments and Returns: PepsiCo (PEP) delivered a 4% dividend increase this year and plans to return about $8.9 billion in cash to shareholders, showcasing its strong cash flow and strategic investment capabilities, which are expected to support long-term revenue growth and dividend increases.
See More
Celsius Holdings Reports Record Q1 2026 Revenue and Strategic Developments
- Record Revenue: Celsius Holdings achieved a record revenue of $783 million in Q1 2026, reflecting strong performance in the energy drink market and further solidifying its market position.
- Successful Brand Integration: The integration of Alani Nu has been completed, capturing approximately $50 million in synergies, while the integration of Rockstar is on track for completion in the first half of 2026, which will enhance overall operational efficiency and profitability.
- International Market Expansion: Celsius launched its brand in Spain through an exclusive sales and distribution agreement with Suntory Beverage & Food Spain, marking further expansion into international markets and expected to drive future growth.
- Margin Outlook: Despite pressures from rising aluminum prices and freight costs, management remains confident in achieving a low 50% gross margin target for 2026, anticipating a “side-step” in Q2 followed by improvements in Q3 and Q4.
See More
