Celsius Holdings Shares Rise Despite Absence of Company News

Celsius Holdings Inc. saw its shares rise significantly on Wednesday, even though there was no specific news directly from the company. The stock’s movement followed a remarkable dip to a new 52-week low on Tuesday. This development comes amid growing interest among retail investors, as discussions on social media indicate that the stock may have reached key support levels, prompting a bounce back.

The company’s stock experienced a significant decline from its 52-week high of $99.62 in March, plummeting over 60% in the last six months. The downturn was accelerated in September following an announcement that PepsiCo, a significant distribution partner, plans to scale back orders by around $100 million, impacting the company’s revenue expectations.

On a technical note, Celsius Holdings’ shares are currently trading above their 50-day moving average of $36.23, although they remain only slightly above the recent 52-week low of $28.20. This technical positioning may have contributed to the rebound observed by market participants.

For investors considering long-term positions in Celsius Holdings, several factors must be weighed, such as future earnings expectations and how the company’s forward-looking performance stacks up against market benchmarks. Notably, Celsius Holdings’ revenue has increased at an average rate of 98.52% annually over the past five years. Analysts have projected a one-year price target of $53.64, representing a potential 75.81% growth by 2025.

Despite these optimistic projections, Celsius Holdings’ historical performance indicates an annualized return of -3.06%, which underperforms the S&P 500 index by 12.72%. Comparatively, the stock has not kept pace with the overall Consumer Staples sector, which has grown by 7.79%. Additionally, Celsius Holdings exhibits a beta of 0.92, suggesting moderate volatility relative to the broader market.

In terms of recent market activity, Celsius Holdings shares rose 3.57% after-hours to $31.60, following a 6.16% increase during Wednesday’s regular trading session.