Celsius Holdings Inc. (CELH) declined 5.2% in pre-market trading on Thursday after Deutsche Bank downgraded the stock to Hold from Buy, citing a less compelling risk-reward profile at current levels.
The downgrade followed the company’s second-quarter earnings report, which showed revenue from its core Celsius brand fell approximately 11.7% year-over-year to $245 million. Adjusted earnings per share totaled $0.36, missing analyst estimates and reflecting compressed operating margins. Growth was primarily driven by the Rockstar brand acquisition rather than organic performance, Deutsche Bank noted.
Deutsche Bank also adjusted its price target to $35 from $30, while maintaining a Hold rating. The firm had upgraded Celsius to Buy in March 2026 following a prior selloff. The stock was trading well below its 52-week high of $66.74 and closer to its annual low of $23.56.
Broader equity markets showed mixed signals, with the S&P 500 up 0.5% and the Nasdaq gaining 1.0% in pre-market trading. Peers in the energy drink and functional beverage sector did not report additional negative catalysts on the day.
