Why Celsius Stock Plummeted This Week

Shares of Celsius (NASDAQ: CELH), the third-best-selling energy drink brand in the United States, have plummeted 16% in the past week as of 1:45 p.m. ET Thursday, according to data provided by S&P Global Market Intelligence.Presenting at the Barclays Global Consumer Conference on Wednesday, Celsius admitted that orders from PepsiCo (its largest distributor) would be down by $100 million to $120 million in the third quarter compared to the same period last year. With sales to PepsiCo accounting for 59% of the company's revenue, the market remained worried over Celsius' slowing growth rates, leading to a stock price drop of 67% from its 2024 highs.In the two years before the company's partnership with PepsiCo was finalized in August 2022, Celsius delivered average sales growth of over 100%. Then PepsiCo took over as Celsius's distributor and loaded up on inventory throughout the first year of their partnership to ensure that it could meet consumers' demands.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool