Celsius Holdings Inc (NASDAQ:CELH) shares are trading lower Monday afternoon as traders fade the recent earnings-driven optimism around its PepsiCo-backed distribution push. Here’s what investors need to know.

CELH Stock Drops Despite Bullish Analyst Ratings

Monday’s downward movement comes despite continued support from major Wall Street firms, although with conflicting views on valuation. Morgan Stanley maintained its Overweight rating but reduced its price target to $55, suggesting a more conservative outlook on near-term growth.

Conversely, JP Morgan also kept its Overweight rating but boosted its target to $70, signaling high confidence in the company's long-term trajectory.

Celsius Q1 Earnings: Revenue, EPS Beat Estimates

Celsius' latest quarterly update showed first-quarter adjusted EPS of 41 cents (beating a 30-cent consensus) and revenue of $782.6 million (above a $766.8 million estimate), helped by stronger demand and continued integration into PepsiCo’s distribution network. Management also pointed to an approximate 20.9% dollar share of the U.S. energy drink category in the first-quarter, while noting gross margin contracted by 400 basis points as lower-margin brands were added.

Celsius also leaned on portfolio breadth to drive the quarter, with Alani Nu posting record first-quarter 2026 sales of about $368.1 million and Rockstar Energy contributing roughly $66.6 million. Those additions help scale revenue, but they also explain why the 400-basis-point gross margin hit is staying front-and-center for traders focused on profitability.

CELH Technical Analysis: Key Levels To Watch

From a trend perspective, CELH is still in a clear longer-term downtrend: it's trading 13.3% below its 20-day SMA ($33.70) and 39.5% below its 200-day SMA ($48.29), which keeps rallies vulnerable to selling. The bearish backdrop is reinforced by the death cross that formed in March (the 50-day SMA below the 200-day SMA).

Momentum is trying to improve at the margin: MACD is above its signal line and the histogram is positive, which suggests downside pressure is easing versus the prior downswing even if price hasn't reclaimed key moving averages yet. Practically, MACD above the signal line often means sellers are losing control, but bulls still need follow-through back above near-term trend levels to change the bigger picture.

  • Key Resistance: $33.70 — aligns with the 20-day SMA, a common "first sell zone" in downtrends
  • Key Support: $31.80 — near the prior 52-week low zone, a level traders often watch for a bounce-or-break reaction

What Is Celsius Holdings and Its Market Position?

Celsius Holdings operates in the energy drink subsegment of the global nonalcoholic beverage market, with 95% of revenue concentrated in North America. It owns three energy drink brands: Celsius, Alani Nu and Rockstar Energy.

The company leans on product innovation and marketing while outsourcing manufacturing/packaging to third-party co-packers and distribution to PepsiCo. That distribution relationship matters because the recent quarter's narrative is largely about scaling availability and execution as the portfolio expands, even as mix shifts can pressure margins.

Celsius Holdings Benzinga Edge Rankings Breakdown

Below is the Benzinga Edge scorecard for Celsius Holdings,, highlighting its strengths and weaknesses compared to the broader market:

  • Momentum: Weak (Score: 6.71) — The stock's recent performance is lagging, which fits with price staying well below key moving averages.
  • Quality: Neutral (Score: 48.78) — Business quality reads as middle-of-the-pack, suggesting fundamentals aren't the main technical tailwind right now.
  • Value: Weak (Score: 25.18) — A premium setup can make the stock less forgiving when growth expectations wobble.
  • Growth: Weak (Score: 14.46) — The score implies the market is currently discounting the growth profile despite the category-share narrative.

The Verdict: Celsius Holdings,’s Benzinga Edge signal reveals a weak, momentum-challenged profile where valuation and growth scores aren't providing much support. For longer-term bulls, the cleaner setup likely requires reclaiming key moving averages and holding support levels to show the downtrend is truly breaking.

CELH Stock Price Action Update

CELH Stock Price Activity: Celsius Holdings shares were down 10.53% at $28.89 at the time of publication on Monday, according to Benzinga Pro data.

Read Also: The Trade Desk Stock Is Sliding Monday: What's Driving The Move?

Image: Shutterstock