Celestica Inc (CLS.TO) Buy, Sell or Hold

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Celestica Inc (CLS.TO)

472.51

+39.79 (9.20%)

as of Aug 12, 2026, 8:00:00 pm Market Open.

209 watching

Investor Insights

Aug 12, 2026, 12:00 am

This summary was created by AI, based on 33 opinions in the last 12 months.

Celestica Inc (CLS-T) has experienced significant momentum in the last few years, primarily attributed to its role in the data center buildout and increased demand driven by AI technologies. The stock has shown impressive growth of over 1,000% in three years, yet it currently trades at high price-to-earnings (PE) multiples, around 35-44x, resulting in high expectations from the market. Experts have expressed caution, suggesting that while the company has positive revenue growth and strong operational performance, its valuation may be stretched given the cyclical nature of its business and dependencies on hyperscaler revenues. Analysts recommend careful buying strategies, indicating that potential price corrections could create advantageous entry points, yet many foresee the risks associated with future AI spending and market volatility. Overall, the sentiment is mixed with some experts advising to take profits and others suggesting a long-term perspective with the caveat of high valuations.

Consensus

Mixed

Valuation

Overvalued

Similar

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COMMENT

Thinks of it as a manufacturer rather than a text company. Doesn’t have a lot of R & D and there are a lot of players. Margins are very thin. Well run and global but is going to be cyclical. Big risk if they lose a client. Stock should perform with technology where you are seeing a bottoming of some of the semi-conductor stocks.

DON'T BUY

Not a company at this point in time that he is interested in. Feels people there are overpaid. Seems to have difficulty gaining traction. There are a lot of companies that are of greater interest to him.

DON'T BUY

Low value added component assembly with relentless pressure to lower prices.

BUY

Good business but earnings stream is a bit volatile. One risk is that RIM orders (20% of business) go down.

BUY

Likes this at this point. Part of their decline was due to the Japanese situation in and the view of supply chain issues, etc. All of their plants are now in Asia. Has about $4 a share in cash so there is opportunity for big dividend increases and maybe acquisitions.

BUY ON WEAKNESS

Fairly cheap but worries about how much value they can extract, as they don’t sell the end product. Financial multiples are attractive. Not sure this is the best time after their run up. In the wrong place of the value chain as they don’t get to keep any of the economic value themselves. Seem to be doing a better job of late.

DON'T BUY

Never really made anyone money unless you get it at the right stage in the cycle. Put stuff in boxes at very small margins for electronic and computer companies. When margins are squeezed, they squeeze Celestica’s margins.

BUY ON WEAKNESS

One of the stronger competitors in a very tough industry, contract manufacturing. Outsource manufacturing for the telecom industry. Historically marches have been very slim which is the reason for concern but they have come through the downturn with a very strong balance sheet. Trades at 10X earnings.

TOP PICK

Never liked it because of 1) low margins and 2) tied into long-term contracts where customer could walk away. Management has done a great job by getting rid of low margin businesses and increase their good businesses. RIM (RIM-T) is about 20% of their revenues. Good diversification in their products.

DON'T BUY

It’s a manufacturing company, not a tech company. Compare it to Magna and steel stocks. It’s doesn’t stack up well.

SELL

Has been executing well and the earnings are coming through. Thinks they are ramping up revenues as they are assisting Research in Motion (RIM-T) roll out some of their new products. Fully valued.

WATCH

(Market Call Minute.) Not a lot of stocks have returned to their October levels. Likes it a lot. The pullback worries him a bit. Has to break through $8 before you buy.

PAST TOP PICK

(Top Pick Apr 8/08 Down 0.42%) Had taken a down turn before being picked and has rebounded to here. Assuming economy is turning around, it is a hold.

PAST TOP PICK

(A Top Pick April 8/08. Down 47.3%.) Down 27% at Jan 28 sell point. Ranks neutral. New management is doing a good job.

DON'T BUY

(Market Call Minute.) Had reasonable earnings lately and thinks the company is turning around but you never see the margin growth that you want.

Showing 196 to 210 of 570 entries

Most Recent Experts

Chris Blumas

at Raymond James Investment Counsel Ltd.

Shannon Saccocia, CIO, Boston Private

Boston Private

Joe Terranova

Virtus Investment Partners

Bryn Talkington

Requisite Capital Management

Brian Belski

BMO Capital Markets

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Celestica Inc (CLS.TO)