Celestica (NYSE:CLS) Downgraded by Wall Street Zen to Hold

Key Points

• Wall Street Zen downgraded Celestica from “Buy” to “Hold,” but broader analyst sentiment remains positive, with an average “Buy” rating and a $439.81 price target.
• Celestica reported strong quarterly results, earning $2.54 per share versus the $2.29 consensus estimate, while revenue rose 62.4% year over year to $4.68 billion.
• Company insiders sold significant shares recently, including the CEO’s $36.3 million sale; institutional investors own 67.38% of Celestica’s outstanding stock.

Celestica (NYSE:CLS - Get Free Report) TSE: CLS was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued to investors on Sunday, Wall Street Zen reports.

Several other brokerages have also weighed in on CLS. Bank of America reiterated a "buy" rating on shares of Celestica in a research report on Wednesday, July 29th. Barclays dropped their price target on shares of Celestica from $430.00 to $406.00 and set an "overweight" rating for the company in a research report on Friday, August 7th. Wolfe Research raised their price target on shares of Celestica from $425.00 to $475.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 29th. Canadian Imperial Bank of Commerce lifted their price objective on Celestica from $480.00 to $500.00 and gave the company an "outperform" rating in a report on Wednesday, July 29th. Finally, Scotiabank initiated coverage on Celestica in a research note on Tuesday, August 11th. They issued a "sector outperform" rating and a $500.00 price objective on the stock. One equities research analyst has rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Buy" and an average price target of $439.81.

Celestica Trading Up 1.0%

Celestica stock opened at $312.84 on Friday. The stock has a market cap of $35.97 billion, a P/E ratio of 32.52 and a beta of 2.04. 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 has a 12 month low of $227.00 and a 12 month high of $474.02. The company's fifty day simple moving average is $327.47 and its 200-day simple moving average is $335.77.

Celestica (NYSE:CLS - Get Free Report) TSE: CLS last issued its earnings results on Monday, July 27th. The technology company reported $2.54 EPS for the quarter, topping the consensus estimate of $2.29 by $0.25. Celestica had a return on equity of 39.96% and a net margin of 7.16%.The firm had revenue of $4.68 billion during the quarter, compared to analysts' expectations of $4.30 billion. During the same period last year, the business earned $1.39 earnings per share. Celestica's quarterly revenue was up 62.4% compared to the same quarter last year. 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 forecast that Celestica will post 10.71 EPS for the current fiscal year.

Insiders Place Their Bets

In other 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 transaction of $36,328,172.47. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CFO Mandeep Chawla sold 17,000 shares of the stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $399.65, for a total transaction of $6,794,050.00. Following the sale, the chief financial officer directly owned 82,444 shares in the company, valued at $32,948,744.60. This trade represents a 17.10% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 356,553 shares of company stock worth $135,238,444. Insiders own 1.10% of the company's stock.

Institutional Investors Weigh In On Celestica

A number of institutional investors and hedge funds have recently modified their holdings of the business. Parkside Financial Bank & Trust boosted its stake in Celestica by 245.6% in the second quarter. Parkside Financial Bank & Trust now owns 197 shares of the technology company's stock valued at $72,000 after acquiring an additional 140 shares during the last quarter. Corient Private Wealth LP raised its position in shares of Celestica by 30.8% during the 2nd quarter. Corient Private Wealth LP now owns 12,654 shares of the technology company's stock valued at $4,616,000 after acquiring an additional 2,981 shares during the last quarter. Amundi raised its position in shares of Celestica by 49.5% during the 2nd quarter. Amundi now owns 319,304 shares of the technology company's stock valued at $116,501,000 after acquiring an additional 105,752 shares during the last quarter. HighTower Advisors LLC raised its position in shares of Celestica by 10.7% during the 2nd quarter. HighTower Advisors LLC now owns 18,138 shares of the technology company's stock valued at $6,616,000 after acquiring an additional 1,747 shares during the last quarter. Finally, Washington Trust Advisors Inc. acquired a new position in shares of Celestica in the 2nd quarter valued at $28,000. 67.38% of the stock is owned by institutional investors.

About Celestica

Celestica Inc is a multinational electronics manufacturing services (EMS) company that provides design, engineering, manufacturing and supply chain solutions to original equipment manufacturers across a range of industries. Headquartered in Toronto, Ontario, Canada, Celestica works with customers to develop and produce complex electronic and electro-mechanical products, integrating activities from product design and prototyping through high-volume assembly, testing and final system integration.

The company's service offering typically includes product engineering and design support, printed circuit board assembly, box-build and systems assembly, automated test and inspection, aftermarket repair and refurbishment, and end-to-end supply chain and logistics management.

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