Celsius Holdings shares are down about 3% in Monday trading, with the market still reacting to competitive and channel-risk concerns sparked by Costco’s rollout of a Kirkland Signature sparkling energy drink. The new private-label product is priced aggressively and is being viewed as a potential volume and pricing headwind for branded energy-drink suppliers in Costco’s aisles.

Costco is viewed as an important retailer for Celsius, so a competing Kirkland-branded energy drink raises the risk of trade-down behavior and reduced Celsius velocity within that channel. Even if the impact is contained to Costco, the move has amplified broader worries around category competition, promotional intensity, and how much pricing power Celsius can defend while it works through integration and distribution transitions.

Traders will focus on any new datapoints on Costco sell-through, shelf space changes, and whether Celsius can sustain share in the warehouse channel. Investors will also watch for incremental analyst note flow and for updates on distribution execution as the company continues integrating Alani Nu and Rockstar into the PepsiCo system, which could help diversify volume away from any single retailer.