Celsius Holdings Inc (CELH)

[Toxic Avenger]

It's a logical flaw to make up "assumptions" about growth rate.

I prefer to go with known facts, like the price appreciation, which is a known quantity. I don't believe one can "safely assume".

You're also way off the mark in suggesting that a 25% increase in the value of a company on average for 17 years, suggests anything other than stellar performance.

And guessing that Tazo's value is tied to high margins and low growth is just absurd. Could be that, or the reverse, but at 25% a year, it's likely both. Companies don't enjoy that sort of appreciation with stagnant growth rates.

It's pretty obvious that Tazo performed amazingly well for Starbucks, but their recent poor ER forced them to sell it at a nice profit.

All of which bodes poorly for CELH which is selling at a (now even more obvious) ridiculous P/S ratio (not to mention a negative P/E).