Celestica (NYSE:CLS) Shares Down 1.2% – What’s Next?

Celestica, Inc. (NYSE:CLS) (TSE:CLS) was down 1.2% during mid-day trading on Wednesday. The company traded as low as $353.52 and last traded at $361.89. 2,090,711 shares traded hands during trading, a decline of 14% from the average daily volume of 2,427,313 shares. The stock had previously closed at $366.47.

Key Stories Impacting Celestica

Here are the key news stories impacting Celestica this week:

• Positive Sentiment: Sanford C. Bernstein initiated coverage with an “outperform” rating and a $520 price target, implying substantial upside from recent trading levels. The new coverage adds a bullish institutional view and supports the investment case for Celestica’s growth prospects.
• Positive Sentiment: Brokerage sentiment remains broadly favorable, with Celestica carrying a consensus “Buy” rating and an average recommendation that suggests investors consider purchasing the shares. However, analyst ratings can have an optimistic bias. Celestica Receives Consensus Rating of Buy from Brokerages
• Positive Sentiment: CLS recently advanced during a market decline, indicating some relative strength and continued investor interest in the company. Celestica Increases Despite Market Slip
• Neutral Sentiment: The bullish consensus is tempered by warnings that Wall Street recommendations alone may not be reliable investment signals. Investors may want to weigh the ratings against Celestica’s valuation, execution, and earnings outlook. Brokers Suggest Investing in Celestica
• Negative Sentiment: Zacks Research downgraded Celestica from “strong buy” to “hold,” introducing a more cautious view and likely offsetting some of the optimism generated by Bernstein’s bullish initiation.

Wall Street Analysts Forecast Growth

CLS has been the subject of several analyst reports. Bank of America reissued a “buy” rating on shares of Celestica in a report on Wednesday, July 29th. Canadian Imperial Bank of Commerce raised their price objective on shares of Celestica from $480.00 to $500.00 and gave the stock an “outperform” rating in a report on Wednesday, July 29th. BWS Financial restated a “buy” rating on shares of Celestica in a research report on Tuesday, July 28th. JPMorgan Chase & Co. lifted their price objective on Celestica from $445.00 to $485.00 and gave the company an “overweight” rating in a research report on Wednesday, July 29th. Finally, Zacks Research lowered Celestica from a “strong-buy” rating to a “hold” rating in a research note on Monday. Twenty-three research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat, Celestica currently has an average rating of “Moderate Buy” and an average target price of $450.50.

Celestica Price Performance

The stock has a 50-day simple moving average of $327.51 and a 200 day simple moving average of $343.72. The stock has a market capitalization of $41.61 billion, a P/E ratio of 37.62 and a beta of 2.04. The company has a debt-to-equity ratio of 0.32, a quick ratio of 0.68 and a current ratio of 1.23.

Celestica (NYSE:CLS) (TSE:CLS) last issued its quarterly earnings results on Monday, July 27th. The technology company reported $2.54 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.29 by $0.25. The business had revenue of $4.68 billion for the quarter, compared to analyst estimates of $4.30 billion. Celestica had a return on equity of 39.96% and a net margin of 7.16%.The firm’s revenue for the quarter was up 62.4% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.39 earnings per share. Celestica has set its FY 2026 guidance at 11.300-11.300 EPS and its Q3 2026 guidance at 2.880-3.080 EPS. On average, equities analysts forecast that Celestica, Inc. will post 10.71 earnings per share for the current fiscal year.

Insider Activity

In related news, CEO Robert Mionis sold 98,453 shares of the stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $368.99, for a total value of $36,328,172.47. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, President Todd C. Cooper sold 20,118 shares of the firm’s stock in a transaction that occurred on Wednesday, September 23rd. The shares were sold at an average price of $360.00, for a total transaction of $7,242,480.00. Following the completion of the transaction, the president directly owned 73,252 shares in the company, valued at approximately $26,370,720. The trade was a 21.55% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 243,067 shares of company stock valued at $89,200,967. 1.10% of the stock is currently owned by insiders.

Institutional Trading of Celestica

Several institutional investors and hedge funds have recently made changes to their positions in the business. Cibc World Market Inc. acquired a new position in shares of Celestica in the 2nd quarter valued at $757,811,000. Connor Clark & Lunn Investment Management Ltd. bought a new stake in shares of Celestica in the 2nd quarter valued at about $674,199,000. Norges Bank bought a new stake in shares of Celestica in the 4th quarter valued at about $456,511,000. Bank of America Corp DE acquired a new stake in shares of Celestica in the 2nd quarter valued at approximately $444,899,000. Finally, The Manufacturers Life Insurance Company bought a new position in Celestica during the 2nd quarter worth approximately $351,717,000. Institutional investors own 67.38% of the company’s stock.

About Celestica

Celestica Inc (NYSE: CLS) is a global provider of design, manufacturing, and supply-chain services for original equipment manufacturers and other technology companies. The company helps customers develop, produce, deploy, and support complex hardware and electronic systems, serving industries such as communications, enterprise technology, aerospace and defense, industrial technology, health care, and semiconductor equipment.

Its services include product design and engineering, printed circuit board and systems assembly, manufacturing, testing, logistics, aftermarket support, and supply-chain management.