Celsius Down 36% in 2026, but a 50/50 Split of Coca-Cola and PepsiCo Is the Better Second-Half Bet

The Motley Fool··Read original
2▲2 ▼1Impact / 5
Summary · why it matters

Celsius Holdings stock has fallen roughly 36% so far in 2026, prompting a debate over whether to buy the dip or split an investment evenly between Coca-Cola and PepsiCo. The article argues for the 50/50 split, noting that Celsius is now a portfolio of energy drink brands including Alani Nu and Rockstar, but its flagship Celsius brand has lost momentum. Meanwhile, Coca-Cola and PepsiCo are adapting to health trends with products like Simply Pop prebiotic soda and the acquisition of Poppi, reducing the competitive edge of smaller disruptors. A combined investment in the two giants offers diversification across beverages and snacks, reliable dividends with decades of annual increases, and indirect exposure to energy drink growth through PepsiCo's stake in Celsius.

Impact on assets 4

Consumer Staples± Mixed · 4 stocks
Celsius Holdings Inc
CELH
▼ NegativeDemandrelevance

Celsius flagship brand has lost momentum, leading to a 36% stock decline.

The Coca-Cola Company
KO
▲ PositiveDemandrelevance

Coca-Cola is adapting to health trends with Simply Pop and Poppi acquisition, reducing competitive edge of disruptors.

PepsiCo Inc
PEP
▲ PositiveDemandrelevance

PepsiCo benefits from diversification and indirect exposure to energy drink growth via Celsius stake.

Off-coverage companies 1

Alani Nutrition LLCPrivate± Mixed
relevance

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