Celsius Holdings Inc (CELH)

Celsius Holdings Inc (CELH) stock dropped by 12.74% due to a notable development related to the company, including an analyst's downgrade. Here are the key details of the development:

• Analyst Downgrade: The primary catalyst behind this drop was the decision made by Bank of America analyst Jonathan Keypour to downgrade the stock's rating. He shifted it from a Buy to a Neutral rating.
• Reason for Downgrade: Jonathan Keypour's decision to downgrade CELH stock was motivated by concerns surrounding increased competition. As Celsius strives to expand its product visibility through shelf expansion, the analyst expressed apprehensions about the potential challenges this might pose.
• Outlook: Despite the downgrade, Keypour did acknowledge the company's enduring potential for strong sales and EBITDA. However, he advised caution, suggesting that investors should await stronger velocity in order to signal a resumption of momentum in market share gains. This cautionary approach reflects the delicate balance between Celsius's growth ambitions and the competitive landscape it navigates.

Celsius Holdings Stock (CELH) dropped by 7.40% from $174.00 to $161.12 in the trading on Tuesday October 3, 2023. The reason why CELH stock down is due to a pullback. In Q2, the company reported year-over-year revenue growth of 112%. Strong financial results in recent months have fueled excitement for Celsius from Wall Street and retail investors alike. But once the valuation got a little too high, it pulled back, causing CELH stock down today.