Celsius: Potential to Turn Around or Not?

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The US stock market has grown exceptionally from the beginning of the year to now, but not every stock has kept up with this wave. While giants like NVIDIA and Palantir heat up thanks to the AI frenzy, Celsius Holdings (CELH) stock has had a completely opposite journey. After peaking in May 2024, this stock has dropped up to 70%.

For many investors, Celsius was expected to repeat the legendary success of Monster Beverage (MNST) — one of the best-performing growth stocks over the past 30 years. For them, this was the “second chance” to enjoy the extraordinary returns that Monster brought.

So what caused Celsius to go from explosive expectations to a long slide? Is the stock's decline from the industry or from the company's own issues?

This week's article on Celsius consists of 6 parts:

1. Overview of the energy drink industry

2. Celsius's business model

3. Strengths & Challenges of Celsius

4. Financial situation analysis

5. Future prospects

6. Preliminary valuation of Celsius