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. Several key financial ratios indicate that the company may be priced excessively relative to its actual performance and industry standards. One significant metric is the Price to Earnings (PE) Ratio, which stands at 87.12 compared to the sector average of 19.43. A high PE ratio suggests that investors are paying much more for each dollar of earnings, indicating overvaluation. Additionally, the Price to Book (PB) Ratio of 5.06 is substantially higher than the sector average of 2.17. This ratio measures the market's valuation of a company's equity relative to its book value. A higher PB ratio can indicate that the stock is overvalued, as investors may be paying a premium for assets. Moreover, the Dividend Yield for Celsius is only 0.28, while the sector average is 2.25. A low dividend yield can imply that the company is not returning much value to shareholders through dividends, which may deter income-focused investors. Although Celsius Holdings boasts a net profit margin of 10.70 and a return on equity (ROE) of 11.85, these positive metrics are overshadowed by its high valuation ratios. The company also shows a return on assets ratio of 8.21, further indicating operational efficiency, but these strengths may not justify the high valuation in the face of its other ratios. 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.