Why Celsius Holdings Stock Popped This Week
Shares of Celsius Holdings (NASDAQ: CELH) have jumped as much as 25% this week, according to data provided by S&P Global Market Intelligence. The energy drink brand is growing revenue north of 100% year over year with expanding margins and strong profitability. As of this writing, shares of Celsius stock are up 72% this year and up a whopping 3,500% in the last five.
In the second quarter, Celsius' business continued to thrive. Total revenue grew 104% year over year to $325.9 million as the energy drink brand continues to gain market share around the world. Using health-focused marketing, Celsius has been able to appeal to a broader audience and steal customers from legacy brands such as Monster and Red Bull.
With this strong growth has come margin expansion. Celsius' gross margin was 48.8% in Q2 of this year compared to just 38.5% in Q2 2022. This led to net income hitting $41 million -- a 12.6% net margin -- in the quarter. Growing revenue 100% year over year by itself is impressive. To do so while also generating profits for shareholders is an outstanding result for Celsius.
Source Fool.com
