Celestica (NYSE:CLS) Stock Rating Cut to “Hold” at Zacks Research

Celestica (NYSE:CLS) (TSE:CLS) was downgraded by stock analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report released on Monday, Zacks reports.

Several other equities analysts have also issued reports on CLS. Scotiabank started coverage on Celestica in a report on Tuesday, August 11th. They issued a “sector outperform” rating and a $500.00 target price for the company. TD Cowen reissued a “buy” rating on shares of Celestica in a report on Wednesday, September 16th. Wolfe Research boosted their target price on shares of Celestica from $425.00 to $475.00 and gave the company an “outperform” rating in a report on Wednesday, July 29th. Royal Bank Of Canada set a $450.00 price target on Celestica and gave the company an “outperform” rating in a research report on Wednesday, August 26th. Finally, UBS Group raised shares of Celestica from a “neutral” rating to a “buy” rating and upped their target price for the stock from $410.00 to $430.00 in a report on Monday, August 24th. Twenty-two research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $447.19.

Celestica Stock Up 2.8%

Celestica stock opened at $366.46 on Monday. The company has a market capitalization of $42.14 billion, a PE ratio of 38.09 and a beta of 2.04. Celestica has a 12-month low of $230.24 and a 12-month high of $474.02. The firm’s fifty day moving average is $327.51 and its 200 day moving average is $343.72. The company has a quick ratio of 0.68, a current ratio of 1.23 and a debt-to-equity ratio of 0.32.

Celestica (NYSE:CLS) (TSE:CLS) last announced its quarterly earnings data on Monday, July 27th. The technology company reported $2.54 EPS for the quarter, beating analysts’ consensus estimates of $2.29 by $0.25. The firm had revenue of $4.68 billion during the quarter, compared to analysts’ expectations of $4.30 billion. Celestica had a return on equity of 39.96% and a net margin of 7.16%.The company’s revenue for the quarter was up 62.4% compared to the same quarter last year. During the same quarter last 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. As a group, sell-side analysts predict that Celestica will post 10.71 EPS for the current fiscal year.

Insider Activity

In other news, CFO Mandeep Chawla sold 16,117 shares of the firm’s stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $369.32, for a total transaction of $5,952,330.44. Following the sale, the chief financial officer owned 65,444 shares in the company, valued at approximately $24,169,778.08. This trade represents a 19.76% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, President Todd Cooper sold 20,118 shares of Celestica stock in a transaction dated Wednesday, September 23rd. The stock was sold at an average price of $360.00, for a total value of $7,242,480.00. Following the sale, the president directly owned 73,252 shares of the company’s stock, valued at approximately $26,370,720. This trade represents a 21.55% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 243,067 shares of company stock worth $89,200,967. 1.10% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Celestica

A number of hedge funds and other institutional investors have recently modified their holdings of CLS. JPMorgan Chase & Co. raised its holdings in Celestica by 24.8% during the 4th quarter. JPMorgan Chase & Co. now owns 4,017,623 shares of the technology company’s stock valued at $1,187,650,000 after buying an additional 798,782 shares during the last quarter. Franklin Resources Inc. raised its holdings in shares of Celestica by 18.6% during the fourth quarter. Franklin Resources Inc. now owns 2,278,214 shares of the technology company’s stock valued at $673,471,000 after acquiring an additional 356,797 shares in the last quarter. Cibc World Market Inc. raised its holdings in Celestica by 30.6% in the 4th quarter. Cibc World Market Inc. now owns 2,265,680 shares of the technology company’s stock worth $670,279,000 after purchasing an additional 530,535 shares in the last quarter. Connor Clark & Lunn Investment Management Ltd. purchased a new stake in Celestica in the second quarter worth about $674,199,000. Finally, Goldman Sachs Group Inc. boosted its position in shares of Celestica by 25.5% during the fourth quarter. Goldman Sachs Group Inc. now owns 1,637,367 shares of the technology company’s stock valued at $484,022,000 after purchasing an additional 332,641 shares in the last quarter. Institutional investors own 67.38% of the company’s stock.

Key Stories Impacting Celestica

Here are the key news stories impacting Celestica this week:

• Positive Sentiment: Celestica shares increased relative to the prior session and outperformed the market despite a broader market decline, indicating continued relative strength. Celestica Increases Despite Market Slip
• Positive Sentiment: Brokerage coverage remains favorable, with Celestica receiving a consensus “Buy” rating. That optimism may support demand for the stock, although consensus ratings can be biased toward positive recommendations. Celestica Receives Consensus Buy Rating
• Neutral Sentiment: Celestica has become a frequently searched or “trending” stock on Zacks and Yahoo Finance, which can increase visibility and short-term trading interest but does not necessarily signal a change in business fundamentals. Celestica Is a Trending Stock
• Negative Sentiment: The bullish outlook should be weighed against valuation and volatility risks: CLS trades at a relatively elevated earnings multiple, has a beta above 2, and remains well below its 52-week high. The reports also caution investors not to rely solely on brokerage ratings before investing. Brokers Suggest Investing in Celestica

Celestica Company Profile

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.