From a technical perspective, Celestica (CLS) is looking like an interesting pick, as it just reached a key level of support. CLS recently overtook the 50-day moving average, and this suggests a short-term bullish trend.
Celestica gains from AI networking demand, hyperscaler spending and strategic partnerships as earnings estimates rise despite trading at a premium.
It's finally time to upgrade Celestica to Buy as the stock finds a firm footing at the $280 level, driven by re-energized bullish sentiments in the AI value chain. CLS benefits from deepened co-design partnerships with AMD and OpenAI, lowering revenue concentration risks and expanding beyond traditional hyperscaler workloads. Q2 results were clearly strong, with revenue up 62%, adjusted operating margins at 8.2% (above guidance), and management guided Q3 margin even higher.
The mean of analysts' price targets for Celestica (CLS) points to a 31% 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.
Celestica (CLS) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
Celestica delivered another quarter of revenue and EPS beats, raising the full-year outlook for the third time in six months. CLS forecasts 2027 revenue growth accelerating beyond 65% guided for 2026, with adjusted EPS growth outpacing revenue. Two new multi-billion-dollar programs—OpenAI's custom accelerator and AMD's Helios switch—support the 2027 growth acceleration.
Celestica once again delivered strong Q2 2026 results, with its enterprise segment growing 162% YoY and projecting a 190% YoY increase for Q3. CLS's results, like those of other AI hardware stocks, continue to support a bullish long-term view. That said, the sector is taking a breather after such a strong run. CLS shows greater relative strength, but it isn't immune to pullbacks driven by the broader trend.
CLS and JBL are riding AI infrastructure demand, raising outlooks and offering notable brokerage price upside after sharp pullbacks.
Celestica Inc. CLS has rallied sharply as investors reward its accelerating exposure to artificial intelligence infrastructure. That raises a natural question of whether the stock still offers attractive upside after another quarter of better-than-expected results.
Celestica is capitalizing on AI infrastructure demand as cloud networking, storage and compute growth expand higher-value technology solutions and production.
CLS raises 2026 outlook as AI infrastructure demand, networking programs and stronger customer visibility fuel expectations for faster 2027 growth and margin gains.
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?