Celsius Holdings initiated with an Overweight at Stephens

Stephens analyst Jim Salera initiated coverage of Celsius Holdings (CELH) with an Overweight rating and $180 price target. The firm views Celsius as well-positioned to capitalize on several consumer trends, including increased consumption of better-for-you beverages and the transition towards cold beverages as consumers’ preferred breakfast drinks. Celsius’ “unique product offering that combines real energy with clean label ingredients” not only differentiate it from traditional energy drink brands, but allow it to reach beyond traditional energy drink consumers and bring in incremental buyers, while the company’s distribution partnership with PepsiCo (PEP) “dramatically expands the brands reach and visibility,” the analyst tells investors.