Celsius Shares Set for 30% Upside Amid Renewed Growth Momentum
The energy drink maker Celsius is showing promising signs of a comeback. TD Cowen analyst Robert Moskow upgraded Celsius stock from hold to buy, boosting the price target from $37 to $55. This new target suggests a potential upside of more than 30% from its recent close at $41.16.
Following the announcement, Celsius shares climbed over 3% in extended trading. The analyst pointed to sales improvements and a fresh strategic vision under management as catalysts reigniting confidence in the brand.
Revitalized Brand and Expansion Goals
Moskow highlighted Celsius’ strengthening position in the women’s energy drink segment and the smooth integration of its recent acquisition, Alani Nu, a health and wellness brand. Together, they bolster Celsius' spot as the third largest U.S. energy drink brand, according to the analyst.
"We believe the stock will continue to trend higher throughout the year as the Celsius brand experiences renewed growth, accompanied by ongoing distribution expansion planned for 2026 and beyond," Moskow commented. He also acknowledged some uncertainty around Alani Nu’s long-term prospects but noted that the favorable acquisition price mitigates much of this risk.
Strong Sales and Innovative Product Line
Celsius has bounced back from a tough 2024, when shares plunged over 50%, and momentum worries mounted among investors. This year, the stock has already surged more than 56%.
Driving this turnaround is robust sales growth expected to persist through the summer, alongside innovative product launches within the Celsius lineup. New flavors like Retro Vibe, Playa Vibe, and Strawberry Passionfruit, as well as expanded availability of exclusives such as Watermelon Lemonade and Cherry Cola, are broadening the brand’s appeal.
Marketing campaigns like the recent "Live.Fit.Go" initiative aim to attract audiences beyond traditional fitness enthusiasts, further fueling Celsius’ growth potential.
Growing Confidence Across Analysts
TD Cowen is not alone in its bullish outlook. Earlier in the year, Truist analyst Bill Chappell also upgraded Celsius to buy, highlighting the Alani Nu acquisition’s potential to help the company capture a larger share of the women’s market.
The stock experienced a notable 25% rally on February 21 following strong quarterly earnings and the acquisition announcement.
Looking Ahead
The combined effect of innovative product development, strategic acquisitions, and expanding distribution points to a promising period ahead for Celsius. Investors are keeping close watch as the energy drink brand heats up its growth trajectory and as new market opportunities unfold.
