Why Celsius Holdings Stock Slipped (Again) This Week

Celsius is reeling from an inventory build-up and a report from the "Wall Street Journal." It just put out a comprehensive report on how young women with eating disorders are drinking energy beverages such as Celsius. While Celsius is probably in the clear, as it does not directly tell young people they can lose weight by drinking its product, having a report like this come out from a renowned newspaper is never a good thing.

Investors have sold the stock down 50% this year. Even with this drawdown, the stock trades at a premium earnings multiple. The price-to-earnings ratio (P/E) over the last 12 months is 54, which is around double the average for the S&P 500. Expectations for growth are still high for this brand, although not as high as earlier this year.

Supports are around 45 and 40-41.