CLS is seeing strong AI infrastructure demand, with AI compute, networking and custom rack systems poised to drive revenue growth.
The mean of analysts' price targets for Celestica (CLS) points to a 38.3% upside in the stock. While this highly sought-after metric has not proven reasonably effective, strong agreement among analysts in raising earnings estimates does indicate an upside in the stock.
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?
CLS and ANET are expanding their AI infrastructure roles as demand grows across networking, computing and data centers.
Electronics manufacturing services (EMS) providers are benefiting from a powerful combination of secular technology investment, rising product complexity, and increased outsourcing by original equipment manufacturers (OEMs).
Shares of Lumentum Holdings (NASDAQ:LITE | LITE Price Prediction) surged 14% to $932 on Wednesday afternoon after a blowout fiscal Q4 report the prior evening.
CLS Holdings plc (CLIHF) Q2 2026 Earnings Call Transcript
MU, STX, FIX, VRT and CLS are growth stocks for August, with AI-driven demand highlighting opportunities in the ongoing market rally.
Celestica Inc. delivered a strong Q2 CY26, with accelerating AI networking switch revenues and significant gross margin expansion. CLS is capitalizing on hyperscaler demand by investing $1B in capex, securing raw materials to support unprecedented growth and margin resilience. The recent $3B equity offering, while dilutive short-term (~8.4–10%), strategically funds capex and positions CLS for sustained high growth and margin expansion.
Celestica is positioned as a key AI infrastructure supplier, benefiting from hyperscaler investments in data centers, cloud, and high-speed networking. CLS's Connectivity and Cloud Solutions segment drives rapid growth, with an 84% YOY revenue increase and a major catalyst in the 1.6T networking platform ramp through 2027. My base case values CLS at $434/share (31% upside), assuming $34.24B revenue, 9% margin, and $20.66 EPS in 2027, supported by accelerating earnings and margin expansion.
Celestica (CLS) could produce exceptional returns because of its solid growth attributes.
Whether you're a value, growth, or momentum investor, finding strong stocks becomes easier with the Zacks Style Scores, a top feature of the Zacks Premium research service.