Stifel raises Celsius Holdings stock price target to $56 on Alani Nu integration

Published 08/08/2025, 15:36
Stifel raises Celsius Holdings stock price target to $56 on Alani Nu integration

Investing.com - Stifel has raised its price target on Celsius Holdings (NASDAQ:CELH) to $56.00 from $50.00 while maintaining a Buy rating following the company’s second-quarter results. The stock has shown remarkable momentum, delivering a 123% return over the past six months, with InvestingPro data showing the company maintains strong financial health with a current ratio of 3.38.

The energy drink maker reported second-quarter sales and adjusted EBITDA that exceeded expectations, primarily driven by its Alani Nu acquisition, with the core Celsius brand returning to growth. According to Stifel, the integration of Alani Nu is progressing ahead of company expectations, with Celsius on track to achieve $50 million in synergies. Trading at high valuation multiples across various metrics, InvestingPro analysis indicates the stock is currently fairly valued, with 15+ additional ProTips available for subscribers.

Celsius Holdings expects gross margin to remain in the low 50s for the remainder of the year, with tariffs beginning to impact costs in the second half of 2025. The company is positioned to benefit from an approximately $110 million impact in the third quarter as PepsiCo (NASDAQ:PEP) inventory destocking appears to be complete. The company’s last twelve months gross profit margin stands at 50.43%, aligning with management’s guidance.

Stifel has raised its estimates for Celsius, citing accelerating portfolio sales growth with easier comparisons in the second half of 2025, a strong innovation pipeline, and margin expansion that could exceed expectations.

The research firm views U.S. scanner data showing sales and market share trends as the most important metrics for the stock’s performance going forward.

In other recent news, Celsius Holdings reported impressive financial results for the second quarter of 2025, significantly surpassing analyst expectations. The company’s earnings per share (EPS) were $0.47, nearly doubling the forecast of $0.24, which marks a 95.83% surprise. Revenue for the quarter reached $739.3 million, exceeding the anticipated $654.3 million. Following these strong results, several analyst firms adjusted their price targets for Celsius Holdings. TD Cowen raised its price target to $60 from $55, while UBS increased its target to $64 from $57, both maintaining a Buy rating. Jefferies also lifted its price target to $64 from $54, citing the strong momentum from the recently acquired Alani Nu brand. The company’s performance, particularly in top-line growth, gross margin, and operating profit margin, contributed to these positive assessments. These developments reflect the company’s successful marketing strategies and product positioning.

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