Opinions Jamie Murray 
Celestica IncCLS.TOPARTIAL SELLJan 07, 2026
Jamie Murray Stock price when the opinion was issued
As of Nov 06, 2026. Market Open.
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It remains Canada's best way to play the data centre build out, though it's volatile. Revenue last quarter was up 83% and they raised their 2026 outlook. They supply network and hardware platforms to the hyperscalers and Frontiers AI Labs and that demand remains strong. She sees more upside, though shares have dipped.
Brianne Gardner
Broadening out customer base. Broad exposure to the increasing AI trade. Likes it at this price.
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Premium contentOn the clip side, hyperscaler demand is on steroids, driving up Celestica's growth rate to 76% and triggering a C$3 billion equity raise recently. After ditching the stock last spring, the market has returned like hungry hyenas to propel share prices by 26% in the past month alone, or up 33% so far in 2026. This is a momentum stock again. The company boasts 38% annual revenue growth and profit margins near 6.4%. The market believes the good times will continue. If not a long-term hold, Celestica is at least a trade.
AI buildout expected to last until 2028-29, when we'll probably also see a replacement cycle begin. And CLS is right there to capitalize on that. Continues to have amazing numbers in the 20-30% range. Multiple's not cheap, but growth rate has been fairly good. No dividend.
(Analysts’ price target is $641.95)
Bruce Campbell (2)
Bottomed out. He just wrote a put on this recently. One of the cheapest on PEG that you're going to get in the space. Growing ~76%, trading at a much lower multiple than that. Highly cyclical play. Trades at 16x PE for 2027. Strong, visible growth out to 2029.
Put it in a non-registered account, where you don't mind taking some risk.
Competes with CSCO and ANET. Very solid balance sheet liquidity. High capital returns to support growth. Elevated valuation of ~31x PE. Bit expensive for this section of the AI ecosystem (the enablers). Once it gets above $455-460, he'll be selling some calls.
(Analysts’ price target is $488.00)
Kim BoltonThink of it as a Canadian DELL. Largely tied to GOOG's capex, the TPU program, and networking. Benefiting from the super-cycle. Not sure inside the AI trade is the best place to park capital. As supply starts catching up with demand, chances to earn outsized margins start compressing.
Not expensive today. Don't sell. Keep an open mind to ASML or TSM (for more stability).
Peak in June around $600. Starting to slowly move below the 200-day MA, which is one of the key lines in the sand for him. Definitely trim a bit here. Long-term price momentum stalled, RSI has come off.
Moves in tandem with the semiconductor space. Have to see what happens with NVDA tonight.
Very much aligned with the entire platform being built out, not just individual components. Direct exposure and concentration to the hyperscalers as customers. He thinks those capex numbers are going up, so there's still upside in this name. But with any narrative shift, this will get sold off first.
Nick Mersch, CFA
Instead, they own AVGO in their global fund. CLS is sort of riding the coattails of AVGO by packaging components to sell to the end consumer. Benefiting from growth in TPUs that AVGO and GOOG have been delivering. Thinks that trend will continue.
Two years ago, traded at 10x PE. Now trades at 30-35x. Lots of other companies out there do this type of work. In an eventual slowdown, may see margin and volume pressure. Could be quite volatile from here, and he'd take profits so you're just left with the house's money.