Celsius Is a Magnificent Growth Stock, But There's 1 Warning for Investors

I'm sure that it would take a long time to find a stock out there that has outperformed Celsius Holdings (NASDAQ: CELH) in the last five years. Its shares have skyrocketed almost 4,000% in that span. Surely, this company is doing something right. After all, it has rewarded investors even more than  has in that same period of time. 

This beverage business has made for a truly magnificent stock thanks to those eye-popping returns. Naturally, investors might be ready to hop on the energy drink maker's bandwagon in the hopes that the good times continue. Before doing that, though, there's a potential red flag to keep in mind. 

I think it's a good idea to first understand what has made Celsius a fantastic stock. Anyone who is even remotely familiar with the company can quickly point to its outstanding growth. During the three-year period from 2019 to 2022, revenue increased at a compound annual rate of 106%. And through the first six months of 2023, sales were up 104% year over year. That momentum has not slowed down one bit. 

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Source Fool.com