CELH is now overvalued and could go down -36%

Based on our analysis, Celsius Holdings has received an overvalued rating of 1 out of 5 stars from Cashu, primarily due to several financial metrics that suggest the company may not be a wise investment choice at its current valuation. The Price-to-Earnings (PE) Ratio for Celsius stands at 36.42, significantly higher than the sector average of 19.85. This indicates that investors are paying a premium for each dollar of earnings, which could point to overvaluation. Similarly, the Price-to-Book (PB) Ratio is 11.60, compared to a sector average of 2.19. A high PB ratio implies that the market is assigning a high value to the company's equity compared to its book value, suggesting that the stock price may be inflated relative to its actual worth. Furthermore, Celsius Holdings offers a Dividend Yield of only 0.35, while the sector average is 2.32. A lower dividend yield can indicate that the company is not returning sufficient capital to shareholders compared to its peers, which may be a concern for income-focused investors. Although Celsius has a strong Net Profit Margin of 17.21 and an impressive Return on Assets Ratio of 14.76, these strengths are overshadowed by the high valuation ratios. Investors may want to approach Celsius with caution given these indicators. This is not a comprehensive overview of our valuation, and should not be viewed as financial advice. Always do your own research before considering an investment.