After further reviewing the firm’s model ahead of quarter-end, Morgan Stanley analyst Eric Serotta lowered the firm’s Q3 sales estimate for Celsius Holdings (CELH) by another 8% to reflect promotional accounting related to the previously disclosed PepsiCo (PEP) inventory reduction. The firm, which notes that its Q3 sales estimate of $278M compares to the $322M Visible Alpha consensus forecast, also lowered its Q3 gross margin estimate by 250 basis points to 46.4%, versus the 48.8% consensus. The firm, which doesn’t see a catalyst until Celsius’ trends in scanner data inflect positively, kept an Equal Weight rating and $50 price target on the shares, which are down 65c, or 2%, to $32.15 in Tuesday morning trading.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on CELH:
- Celsius Holdings price target lowered to $47 from $50 at Piper Sandler
- Celsius channel inventories to ‘essentially be nil’ by end of Q3, says Stifel
- Celsius Holdings Board Changes with PepsiCo and New Expert
- Red Bull’s new flavors gaining share from Celsius, Monster, says Jefferies
- Celsius Holdings price target lowered to $72 from $78 at Ladenburg
Looking for a trading platform? Check out TipRanks' Best Online Brokers , and find the ideal broker for your trades.
Report an Issue