Celestica: Riding The Wave Of Unstoppable AI Momentum
Celestica's share price surged 40% since my first call, driven by strong AI-related revenue and EBITDA growth. CLS is set to report Q3 earnings on October 23. AI tailwinds and robust data center investments by major tech firms and asset managers bolster Celestica's growth prospects. Readers should keep in mind that buying before earnings is risky due to unpredictable market reactions, as seen with previous earnings-induced stock pullbacks.
Will Celestica's Latest Portfolio Expansion Buoy CLS Stock?
CLS appears to be treading in the middle of the road and new investors could be better off if they trade with caution.
Why Celestica Stock Is A Strong Buy Into Q3 Earnings
Celestica is expected to beat both revenue and earnings, driven by strong AI demand and favorable market conditions. Management's guidance and analysts' expectations suggest significant growth, with my estimates being even higher, particularly in the AI-driven CCS segment. The company is expanding capacity in Thailand and Malaysia, positioning itself well for future growth amid increasing AI CapEx spending.
Why Celestica Stock Is A Solid 'Buy' Before Q3 Earnings Release
I still believe that Celestica is one of the most undervalued and underlooked opportunities in the AI market today. The company's Q2 FY2024 results showed impressive year-on-year growth, with sales up 23% and EPS up 65.45%, indicating effective operating leverage. Celestica's financial health is robust, with a healthy balance sheet, improved inventory management, and strategic use of free cash flow for deleveraging and share buybacks.
Celestica: Still A Value Buy Despite The Recent Recovery
CLS' overly expensive valuations have finally been brought closer to earth, thanks to the recent market rotation in July/ August 2024. With the two main players in AI still reporting robust performance metrics, we believe that CLS remains a compelling value buy, attributed to its cheap PEG non-GAAP ratio of 0.51x. Combined with the hyperscalers' intensified capex guidance in the near/ intermediate term, it is unsurprising that CLS is expected to generate robust top/ bottom line growth through FY2026.
Wall Street Analysts See Celestica (CLS) as a Buy: Should You Invest?
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Celestica (CLS) Shares Surge with Strong Institutional Support
Celestica Inc. (CLS, Financial) saw a significant stock price increase of 5.01%. The stock is currently trading at $58.50 per share with a trading volume of 1.23 million shares, a turnover rate of 1.04%, and a price fluctuation of 4.58%.
This Growth Stock Is Powering Toward A Buy Point As Its Relative Strength Rises
Celestica stock is working on a five-day winning streak as it approaches its all-time high, which is also its buy point.
Celestica, Inc. (CLS) is Attracting Investor Attention: Here is What You Should Know
Recently, Zacks.com users have been paying close attention to Celestica (CLS). This makes it worthwhile to examine what the stock has in store.
Celestica: Dirt Cheap AI Stock
Celestica stock has underperformed the market since it peaked in July 2024, as the market reallocated toward other sectors. CLS is exposed to secular AI growth tailwinds. AI investors should remain focused on these opportunities. CLS stock is dirt cheap and valued well below its sector median, even as investors possibly worry about its profitability margins.
Celestica: Institutional Investors Are Buying, So Am I
Celestica's recent 6.4% stock decline is unrelated to fundamentals; strong revenue growth and operating leverage indicate solid financial performance. AI and data center tailwinds remain robust, with Celestica rolling out new products to capitalize on these trends, enhancing its market position. Institutional investors and Wall Street analysts are bullish, with my DCF model suggesting a 29% upside, making CLS a Strong Buy.
Is It Worth Investing in Celestica (CLS) Based on Wall Street's Bullish Views?
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
