Why Celsius Holdings, Inc. (CELH) Crashed on Monday

We recently published an article titled Traders Heavily Dumped These 10 Firms on Monday. In this article, we are going to take a look at where Celsius Holdings, Inc. (NASDAQ:CELH) stands against the other stocks.

A lackluster trading persisted on the stock market on Monday, with Wall Street’s major indices finishing mixed, as investors continued to digest and reposition portfolios ahead of more corporate earnings results.

Among the bellwether indices, only the Nasdaq finished in the red, dropping 0.10 percent. In contrast, the Dow Jones grew by 0.28 percent, and the S&P 500 inched up by 0.06 percent.

Meanwhile, 10 companies defied a predominantly optimistic market.

To come up with the list, we considered only the stocks with a $2-billion market capitalization and $5-million trading volume.

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

Celsius Holdings, Inc. (NASDAQ:CELH)

Celsius Holdings, Inc. (NASDAQ:CELH) extended its losing streak for a fourth straight day on Monday, shedding 2.20 percent to finish at $35.93 apiece as investors continued to dispose of its shares following an investment firm’s pessimistic rating.

Late last week, CFRA downgraded its rating for Celsius Holdings, Inc. (NASDAQ:CELH) to “sell” from “buy” and reduced its price target to $30 from $45 previously. The new price target represented a 16 percent downside from the company’s latest closing price.

According to CFRA, the rating adjustment was based on Celsius Holdings, Inc.’s (NASDAQ:CELH) unfavorable risk-reward profile following the stock’s 41-percent year-to-date gain.

In recent news, Celsius Holdings, Inc.’s (NASDAQ:CELH) newly acquired subsidiary, Alani Nu, broke past the $1-billion sales over the past 52 weeks, representing a whopping 72.4 percent sales jump on a year-on-year basis.

CELH acquired Alani Nu last month for $1.8 billion. In a statement, Alani Nu said the $1-billion sales milestone “has been fueled by accelerated brand growth, strong and unique innovation, and a growing female energy drink consumer segment seeking better-for-you, functional beverages that fit their health and wellness lifestyles.”

Overall CELH ranks 8th on our list of the worst performing stocks on Monday. While we acknowledge the potential of CELH as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than CELH but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

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