Down 50%, Is Celsius Stock a Buy as Alani Nu Shines?

CELH has dropped 50% over the past year even as its revenue grows, a split that now frames the stock's debate: a sharp selloff against an acquisition that is doing the heavy lifting.

The growth engine is Alani Nu. The brand produced $410.1M in Q3 revenue, up 24% year over year, and it now outsells the flagship Celsius brand. That is a notable shift in CELH's revenue mix.

The flagship is the soft spot. The Celsius brand declined 6%, which the source attributes to delayed innovation. In other words, the acquired brand is offsetting weakness in the core one.

Valuation is where the bull case lives. CELH trades at a forward P/E under 18x, and the analyst behind the piece calls the stock attractively valued with solid growth potential. International expansion plans add a further growth leg to that thesis.

Interpretation: a 50% drawdown paired with 24% growth at Alani Nu suggests the market is pricing in the flagship's decline rather than the acquisition's strength. If the Celsius brand stabilizes, the sub-18x multiple leaves room for a rerating.