Wells Fargo Raises Celsius (CELH) PT to $45, Maintains Overweight Rating

On June 4, Wells Fargo increased its price target for Celsius Holdings Inc. (NASDAQ:CELH) to $45 from $44, while maintaining an Overweight rating. The firm remains optimistic about Celsius Holdings and highlighted the stabilization of trends for its core and legacy Celsius brand, and the strong retail sales growth of Alani Nu.

A hand pouring a cool can of a carbonated non-alcoholic beverage with a smiley face on it.

In Q1, Celsius completed the acquisition of Alani Nu, adding a second billion-dollar brand to its portfolio. Although gross margins at the company have experienced a short-term dip due to inventory adjustments following the Alani Nu deal, the overall gross margin momentum remains positive. Alani Nu is a health and wellness brand that offers a range of low-calorie products.

Celsius Holdings’ revenue for Q1 2025 was $329.3 million, which was a 7% decline year-over-year. Despite this, the gross margin expanded by 1.1% to 52.3%. International revenue in particular increased by 41% to $22.8 million.  Alani Nu’s retail sales increased by 88% year-over-year and reached a 5.3% market share. The combined portfolio dollar share for Celsius and Alani Nu was 16.2% for Q1.

Celsius Holdings Inc. (NASDAQ:CELH) develops, processes, manufactures, markets, sells, and distributes functional energy drinks in the US, North America, Europe, the Asia Pacific, and internationally.

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Disclosure: None. This article is originally published at Insider Monkey.