Is Celsius Stock a Buy After Falling 49% From Its 52-Week High?

Shares of energy drink maker Celsius Holdings (NASDAQ: CELH) have taken a severe hit recently. Down a staggering 49% from its 52-week high of $66.74, the stock is currently trading at about $34 per share as of this writing. Much of the recent pressure on the stock stems from news that wholesale giant Costco recently launched a private-label Kirkland Signature energy drink. The new product is priced significantly lower than Celsius, sparking fears of intensifying competition and prompting a sharp sell-off in the stock over the past week.The Costco news highlights the competitive environment of the beverage space. But it's not the primary reason I'm cautious. The real issue keeping me on the sidelines today is valuation. Even after the stock has been nearly cut in half, its valuation may still reflect too much optimism.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool