Celsius, Monster Shares Slide As Costco Unveils 70-Cent Kirkland Energy Drink

The supplement industry news website Stack3d reports that Costco has expanded its Kirkland Signature brand into energy drinks, a move likely to catch the attention of anyone who consumes these amped-up drinks throughout the day, given the sub-$1-per-can price point. Energy drink stocks are trading lower mid-session on Tuesday, though it is unclear whether this is due to Kirkland's entry into the space.

"Kirkland Signature Sparkling Energy Drink is now showing up in Costco warehouses in a variety pack of 24 cans, with eight cans each of three different flavors: Tropical, Peach, and Orange," Stack3d wrote in a note on Monday afternoon.

Stack3d noted that each of these Kirkland cans includes "some taurine, glucuronolactone, and, of course, caffeine at 200mg, similar to Ghost and Celsius."

A 24-pack of energy drinks retails for $16.99 at Costco. The math works out to about 70 cents per can, a massive savings that will really add up for the daily user who spends roughly $2 to $3, if not more, per can.

Based on current prices, Celsius 12-oz. singles are around $2.49 at Target, Alani Nu 12-oz. singles are about $2.57 at Walmart, and Red Bull 12-oz. cans are approximately $2.99 at Target.

At Walmart, Celsius 12-packs are listed at $17.98, and at Target, they are $18.59, which works out to roughly $1.50 to $1.55 per can. Red Bull Sugarfree 8.4-oz. 12-packs at Walmart are listed at $19.48, or about $1.62 per can. Costco is unmatched, offering its Kirkland energy drink at just 70 cents per can in bulk.

Google Search trends show that searches for Kirkland energy drink began to rise over the weekend. We suspect this trend is early in the cycle and will surge. 

Around noon in New York, Celsius shares are trading down about 6.5%, while Monster shares are down about 1%.

There is no confirmation yet as to whether the pressure on shares is due to the debut of Kirkland energy drinks.