Stock Traders Purchase High Volume of Call Options on Celsius (NASDAQ:CELH)

Key Points

• Unusually heavy call option activity hit Celsius Holdings, with traders buying 51,283 call contracts on Wednesday, more than double the typical volume and up 105% from normal levels.
• Analyst sentiment remains broadly positive, with 21 buy ratings and four holds on the stock, giving Celsius a consensus rating of “Moderate Buy” and a target price of $63.55.
• Recent earnings and insider buying were strong: Celsius beat quarterly EPS and revenue estimates, and both the CEO and a director recently bought shares, signaling confidence in the company.

Celsius Holdings Inc. (NASDAQ:CELH - Get Free Report) was the target of unusually large options trading on Wednesday. Traders bought 51,283 call options on the company. This represents an increase of 105% compared to the typical volume of 25,044 call options.

Wall Street Analysts Forecast Growth

Several research firms have recently weighed in on CELH. UBS Group reduced their target price on Celsius from $72.00 to $62.00 and set a "buy" rating for the company in a report on Tuesday, April 7th. Piper Sandler reissued an "overweight" rating and set a $65.00 price target (up from $61.00) on shares of Celsius in a research report on Thursday, January 29th. Bank of America upgraded Celsius from an "underperform" rating to a "buy" rating and set a $65.00 price objective for the company in a research report on Friday, February 27th. Needham & Company LLC lifted their target price on Celsius from $70.00 to $75.00 and gave the company a "buy" rating in a research note on Friday, February 27th. Finally, Roth Mkm reiterated a "buy" rating on shares of Celsius in a report on Friday, May 8th. Twenty-one equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $63.55.

Celsius Price Performance

CELH stock traded up $2.66 during trading hours on Wednesday, hitting $32.33. 5,644,531 shares of the stock traded hands, compared to its average volume of 6,749,004. The company has a current ratio of 1.77, a quick ratio of 1.43 and a debt-to-equity ratio of 0.53. The company has a market cap of $8.26 billion, a P/E ratio of 75.31, a P/E/G ratio of 1.15 and a beta of 0.95. Celsius has a one year low of $27.66 and a one year high of $66.74. The stock has a 50-day simple moving average of $34.12 and a 200 day simple moving average of $42.18.

Celsius (NASDAQ:CELH - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The company reported $0.41 earnings per share for the quarter, topping the consensus estimate of $0.29 by $0.12. Celsius had a net margin of 5.85% and a return on equity of 37.95%. The firm had revenue of $782.62 million for the quarter, compared to analysts' expectations of $763.08 million. During the same period in the previous year, the company posted $0.18 EPS. The company's quarterly revenue was up 137.7% compared to the same quarter last year. Equities analysts forecast that Celsius will post 1.59 earnings per share for the current year.

Insider Transactions at Celsius

In related news, Director Hal Kravitz acquired 8,400 shares of the stock in a transaction that occurred on Friday, May 22nd. The stock was purchased at an average cost of $29.73 per share, for a total transaction of $249,732.00. Following the purchase, the director directly owned 227,158 shares in the company, valued at $6,753,407.34. This represents a 3.84% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO John Fieldly acquired 8,475 shares of the company's stock in a transaction that occurred on Friday, May 22nd. The stock was purchased at an average cost of $29.36 per share, for a total transaction of $248,826.00. Following the acquisition, the chief executive officer owned 937,540 shares in the company, valued at approximately $27,526,174.40. This trade represents a 0.91% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Company insiders own 2.33% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of CELH. SBI Securities Co. Ltd. grew its position in Celsius by 342.2% in the 4th quarter. SBI Securities Co. Ltd. now owns 150,438 shares of the company's stock worth $6,881,000 after purchasing an additional 116,414 shares during the last quarter. Vanguard Group Inc. boosted its stake in Celsius by 4.6% during the fourth quarter. Vanguard Group Inc. now owns 18,074,995 shares of the company's stock worth $826,750,000 after buying an additional 802,743 shares in the last quarter. OFI Invest Asset Management acquired a new position in shares of Celsius in the 4th quarter valued at $22,705,000. Northwestern Mutual Wealth Management Co. increased its stake in Celsius by 2,293.8% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 41,747 shares of the company's stock valued at $1,952,000 after acquiring an additional 40,003 shares during the period. Finally, Massachusetts Financial Services Co. MA acquired a new stake in Celsius during the fourth quarter valued at approximately $115,321,000. 60.95% of the stock is currently owned by institutional investors and hedge funds.

About Celsius

Celsius Holdings, Inc is an American beverage company known for its line of fitness and energy drinks formulated to support active lifestyles. The company's flagship product, the Celsius® brand, features beverages enhanced with ingredients such as green tea extract, guarana seed extract and essential vitamins, positioned as a functional alternative to traditional energy drinks. These products are designed to deliver a blend of ingredients that support metabolism and sustained energy without high sugar content or artificial preservatives.

In addition to its core carbonated drink portfolio, Celsius has expanded its offerings to include powder mixes and non-carbonated ready-to-drink variants, catering to consumer preferences around taste, convenience and nutritional needs.

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