Celestica is rated a buy, driven by strong growth in customized solutions across ATS and CCS segments, especially AI-related HPS products. CLS demonstrates accelerating revenue and profit growth, improved leverage, and capital efficiency, though it faces risks from low margins and high customer concentration. The ATS segment's focus on complex, high-margin projects and the CCS/HPS segment's lea...
Celestica (CLS) has transformed into a design-centric platform integrator, occupying key control points in AI data center infrastructure and rack-scale integration. CLS benefits from surging hyperscaler capex, delivering fully integrated, regionally built AI racks that reduce time-to-market and increase customer lock-in. Financial guidance is robust: 2026 targets include $16B revenue, 7.8% adju...
In volatile markets, Steve Cress recommends a barbell strategy: combining high-yield dividend stocks (MRK, PINE, OMF) with top AI growth stocks (MU, CLS, COMM). Seeking Alpha's quant system outperforms Wall Street by leveraging daily data, sector-relative analysis, and robust risk metrics to identify strong buys.
Celestica is seeing robust demand for its high-performance hardware offerings from hyperscalers and digital-native enterprises. The company holds over 50% of the Ethernet switches market share.
With Celestica stock dropping nearly 10% in one day, a recovery seems unlikely. So a bear call spread may be the best option.
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