Celsius Holdings, Inc. (NASDAQ:CELH) shares are slightly lower on Tuesday. Bank of America, in a note, maintained its estimate for Celsius’ 2024 fiscal year third quarter sales at $289 million, citing inventory issues.
The Details: The firm’s lower sales estimate reflects “too much inventory,” resulting in a $110 million hit to sales. Additionally, Bank of America noted that Celsius is currently working to reduce excess inventory that it has accumulated due to slower growth.
The bank also lowered its EBIDTA and EPS estimates due to these inventory concerns. Specifically, the bank lowered its EBIDTA estimate from $45 million to $25.5 million and EPS from 12 cents to 7 cents.
Bank of America also raised its estimates for Celsius’ quarterly Selling and Marketing expenses to $90 million. The bank expects Celsius to continue to, “spend against its advertising budget” in order to build further demand for the company’s products.
How To Buy Celsius Stock
By now you're likely curious about how to participate in the market for Celsius Holdings (NASDAQ:CELH) – be it to purchase shares, or even attempt to bet against the company.
Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy ‘fractional shares,' which allows you to own portions of stock without buying an entire share. For example, some stock, like Berkshire Hathaway, or Amazon.com, can cost thousands of dollars to own just one share. However, if you only want to invest a fraction of that, brokerages will allow you to do so.
In the the case of Celsius Holdings (NASDAQ:CELH), which is trading at $34.15 as of publishing time, $100 would buy you 2.93 shares of stock.
If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to ‘go short' a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.
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CELH Price Action: At the time of publication, Celsius stock is trading 0.99% lower at $34.48, according to data from Benzinga Pro.
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