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 financial ratios indicate that the company may not be a sound investment compared to its sector peers. The Price-to-Earnings (PE) ratio of Celsius Holdings stands at 110.34, significantly higher than the sector average of 19.23. A high PE ratio suggests that investors are paying a premium for each dollar of earnings, which may indicate overvaluation if earnings growth does not keep pace. Additionally, the Price-to-Book (PB) ratio is 5.06, compared to the sector average of 2.04. This ratio reflects how much investors are willing to pay for each dollar of net assets. A high PB ratio can signal that the stock is overpriced relative to its asset value. While Celsius Holdings shows a net profit margin of 10.70, outperforming the sector's -8.45, the company does not provide significant dividends, with a yield of only 0.22 compared to the sector yield of 2.64. This lack of return on investment through dividends can deter income-focused investors. Lastly, the Return on Assets (ROA) ratio of 8.21, while better than the sector's -8.37, does not compensate for the other overvalued metrics. The company’s ability to generate profit from its assets is a critical factor that investors consider. 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.