ALTITRADE™ PARTNERS LOOKS FOR CELSIUS HOLDINGS, INC. TO ACHIEVE
PROFITABILITY IN FISCAL YEAR 2015
Firm chooses Celsius Holdings, Inc. as its single best
investment idea for the next 12 months, after registering a 47%
price gain in 2014.
Altitrade™ Partners, located just outside of Denver Colorado, is
forecasting that 2015 will be a breakout year for Celsius Holdings,
Inc. (OTC Pink Sheets: CELH) with an internal projection that the
innovative beverage company will reach profitability in fiscal year
2015.
“We believe, that in 2015, everything will finally start coming
together for Celsius Holdings, Inc. after many years of struggling
to position itself in the very competitive beverage industry.” said
a spokesperson for Altitrade™ Partners, which specializes in
reporting on micro-cap companies that are often overlooked and
undiscovered by Wall Street.
Over the past three years, we have taken the opportunity, during
the rebuilding and rebranding process, to acquire a substantial
stake in the common equity of Celsius Holdings, Inc. We have had
numerous discussions with Celsius management, over the course of
their tenure, and feel that the leadership currently in place has
added tremendous value to the Celsius brand. We are confident that
ultimately this value will be recognized by investors, and
translate into a much higher price for shares of the company. We
continue to monitor the company’s progress, on both the domestic
and international fronts, as Celsius management continues to
successfully execute on their long-term strategic business
plan.
As the beverage industry continues to adapt to changing consumer
preferences, we believe that Celsius Holdings, Inc. is well
positioned to capitalize on the shifting trend towards more
functional beverages, which provide a multitude of benefits to more
health-conscious individuals.
In our view, the biggest single factor that differentiates
Celsius’ functional beverage products, from the competition, is the
fact that they have a total of seven (7) clinical, and scientific
studies, by which they are able to validate and substantiate the
assertions made about the effectiveness of Celsius products.
More importantly, these studies have been reviewed by the National
Advertising Division of the Better Business Bureau, and after an
extensive evaluation process by the NAD, Celsius received approval to use
this information in their advertising and marketing claims.
We know of no other beverage company, besides Celsius, that has
subjected itself to such a rigorous examination of its products in
order to lay claim to the efficacy of its brand.
It is clear to us that the Celsius brand resonates with the
public, and we see clear evidence that more and more
health-conscious consumers are integrating the Celsius brand into
their active lifestyle. The reviews on Amazon are a testament to
the fact that users of Celsius beverages, not only enjoy the taste
across many different flavors, but that the proprietary formula of
all-natural ingredients gives brand enthusiasts the energy and
increased stamina they are looking for without the negative
after-effects of some other beverages. Over 65% of Amazon users
have given the Celsius brand a perfect score of five (5)
stars, while the overall score among all Amazon users is a 4.3
out of a possible 5.0 star rating.
We have also looked at the cadre of users who have posted their
testimonies to the Celsius web site; indicating that the brand has
helped them to achieve many of their personal health and fitness
goals.
It is our belief that the Celsius brand is at the beginning of a
long-awaited renaissance. We further believe that there are a
number of external catalysts that could help propel the brand into
the mainstream beverage marketplace.
Among these catalysts are the diminishing popularity of
traditional soft drinks containing high-fructose corn syrup and
laden with empty calories, the demographic trend of a more active
lifestyle among consumers who are integrating daily exercise into
their lives, the company’s announcement in mid-October that
they had reached a partnership agreement with the National
Association for Fitness Certification (NAFC) and its 27,000 active
fitness trainers to act as ambassadors for the Celsius brand among
its fitness constituents, and, most importantly, the news in
late November 2014 that within the next two years Nestle (OTC Pink
Sheets: NSRGY) will attempt to, once again, develop a
calorie-burning beverage after its failed joint venture Enviga product with
Coca-Cola.
This last catalyst is especially important, because it shows
that one of the largest international food & beverage companies
in the world is committing resources to a beverage category that is
seen as the next logical step in the evolution of healthier
beverages. This development represents the initial stages of taking
beverages beyond the limitations of no calories. The beverage
industry is beginning to ask the question “Why stop at zero
calories?”
Celsius is currently the world’s only calorie-burning
(negative-calorie) beverage, and with Nestle’s reemergence into
this exciting new category we foresee additional entries by other
big beverage companies in the not-too-distant future. Such an
occurrence would likely revitalize investor interest in Celsius
Holdings, Inc. and their proprietary MetaPlus® calorie-burning
formula.
Altitrade™ Partners also envisions the possibility that Celsius
Holdings, Inc. could be acquired, at some point, by a larger
beverage company such as Coca-Cola (NYSE: KO), PepsiCo (NYSE: PEP)
or Dr. Pepper-Snapple Group (NYSE: DPS) as a way to quickly and
easily gain entry into the calorie-burning beverage category.
We know, for example, that Coca-Cola’s Venture and Emerging
Brands unit generally looks for small, entrepreneurial companies
with annual revenues of $10 million, or greater, as a prerequisite
for consideration. It should be noted that only three percent (3%) of all
beverage brands ever reach this “proof of concept” phase. We
expect that Celsius Holdings, Inc. will report revenues in the
$14-15 million range for fiscal year 2014. That would represent a
significant increase over fiscal year 2013 revenues of $10.6
million.
While we were pleased that Celsius Holdings, Inc. stock rose 47%
in 2014, we believe that much greater gains in the stock price are
achievable in 2015. As a result, we continue to rank the stock as
our #1 investment idea for the next 12 months and the year
2015.
The principals of Altitrade™ Partners are long shares of
Celsius Holdings, Inc. (CELH). The information contained herein
expresses only the opinions of individuals who are affiliated with
Altitrade™ Partners. Altitrade™ Partners has not received any form
of compensation from Celsius Holdings, Inc., or any other third
party in exchange for their opinions. No promotional fees, of any
kind, have been paid to Altitrade™ Partners. We are an independent
provider of small-cap and microcap research. For more information
about Altitrade™ Partners, including our disclaimer, please visit
www.altitradepartners.com
Altitrade™ Partners has previously written extensively about
Celsius Holdings, Inc. through various reports found on its
web site, Google blog, and on the Seeking Alpha web site. The
information contained within these reports may include or
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The information contained herein contains forward-looking
information within the meaning of Section 27A of the Securities Act
of 1993 and Section 21E of the Securities Exchange Act of 1934
including statements regarding expected continual growth of the
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safe harbor provisions of the Private Securities Litigation Reform
Act of 1995 it is hereby noted that statements contained herein
that look forward in time which include everything other than
historical information, involve risk and uncertainties that may
affect the company's actual results of operation. Factors that
could cause actual results to differ include the size and growth of
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