Celestica (NYSE:CLS) Stock Price Down 6.9% - Time to Sell?

Key Points

• Celestica shares fell 6.9% to about $385 (intraday low $375) on roughly 3.12M shares traded — ~24% above average — a pullback attributed to short‑term profit‑taking after a large one‑year run.
• The company is pushing into AI/data‑center networking with commercial availability of its DS6000 1.6TbE switches and a shift toward higher‑margin ODM/HPS work, a move that underpins expectations for margin expansion.
• Celestica beat Q1 EPS ($2.16 vs. $2.08) with revenue up 52.8% year‑over‑year, set FY2026 guidance around 10.15 EPS, and has drawn multiple analyst upgrades with a consensus price target near $427.42.

Celestica, Inc. (NYSE:CLS - Get Free Report) TSE: CLS shares dropped 6.9% during trading on Thursday . The stock traded as low as $375.00 and last traded at $385.1410. Approximately 3,120,987 shares changed hands during trading, an increase of 24% from the average daily volume of 2,513,314 shares. The stock had previously closed at $413.87.

More Celestica News

Here are the key news stories impacting Celestica this week:

• Positive Sentiment: Commercial launch: Celestica has made its DS6000-series 1.6TbE switches commercially available for order, moving from development to market-ready AI/ML networking hardware — a tangible product milestone that supports revenue/market-share upside in data-center networking. Celestica (CLS) Announces Availability of 1.6TbE Switches for GenAI, ML Infrastructure
• Positive Sentiment: Margin expansion thesis: Analysis points to Celestica's shift from low‑margin EMS to higher‑margin ODM/HPS work (HPS mix up to ~42% in Q1), which is driving adjusted operating‑margin improvement and supports a higher valuation if new products (1.6T/3.2T CPO switches) ramp on schedule. Celestica's AI Hardware Boom: Growth, Margins, And Market Mispricing
• Positive Sentiment: Momentum/bullish coverage: Multiple outlets profile CLS as a top momentum/growth pick citing strong revenue growth, AI/data‑center exposure and recent beats — reinforcing investor interest and fresh inflows. Are You Looking for a Top Momentum Pick? Why Celestica (CLS) is a Great Choice
• Neutral Sentiment: Balance‑sheet/coverage note: Celestica is highlighted among names with strong interest‑coverage metrics, a point that supports credit resilience amid geopolitical or cyclical risk. 4 Stocks With Strong Coverage Ratios to Buy Amid Geopolitical Risks
• Neutral Sentiment: Valuation/rotation question: Commentary asks whether the multi‑hundred percent run (1‑year surge) leaves upside limited — useful context for investors weighing fresh buys vs. profit‑taking. Is It Too Late To Consider Celestica TSX: CLS After Its 349% One Year Surge?
• Negative Sentiment: Post‑earnings volatility: Although Celestica beat Q1 EPS and raised FY guidance, shares previously dropped sharply after earnings as investors rotated and took profits — signaling sentiment risk if execution or order flow misses expectations. Celestica: A Bet On AI CapEx Growth
• Negative Sentiment: Short‑term profit taking: Coverage questioning “time to cash out?” after a 52‑week high suggests near‑term downside risk from investors locking gains, contributing to today’s decline and above‑average volume. Celestica, Inc. (CLS) Soars to 52-Week High, Time to Cash Out?

Wall Street Analysts Forecast Growth

CLS has been the subject of several analyst reports. TD Cowen upgraded Celestica from a "hold" rating to a "buy" rating and increased their price objective for the company from $350.00 to $430.00 in a report on Wednesday, April 29th. JPMorgan Chase & Co. increased their price objective on Celestica from $410.00 to $425.00 and gave the company an "overweight" rating in a report on Wednesday, April 29th. Citigroup increased their price objective on Celestica from $338.00 to $415.00 and gave the company a "buy" rating in a report on Wednesday, April 29th. UBS Group increased their price objective on Celestica from $355.00 to $400.00 and gave the company a "neutral" rating in a report on Wednesday, April 29th. Finally, The Goldman Sachs Group reiterated a "buy" rating and set a $475.00 price objective on shares of Celestica in a report on Tuesday, April 28th. One analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat.com, Celestica has an average rating of "Moderate Buy" and a consensus price target of $427.42.

Celestica Price Performance

The company has a market cap of $44.28 billion, a PE ratio of 46.57, a price-to-earnings-growth ratio of 0.97 and a beta of 2.09. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.73 and a current ratio of 1.26. The stock has a 50 day moving average of $318.71 and a 200-day moving average of $311.83.

Celestica (NYSE:CLS - Get Free Report) TSE: CLS last issued its earnings results on Monday, April 27th. The technology company reported $2.16 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.08 by $0.08. The company had revenue of $3.96 billion during the quarter, compared to analyst estimates of $3.97 billion. Celestica had a return on equity of 36.91% and a net margin of 6.95%.The firm's quarterly revenue was up 52.8% on a year-over-year basis. During the same quarter last year, the business posted $1.20 EPS. Celestica has set its FY 2026 guidance at 10.150-10.150 EPS and its Q2 2026 guidance at 2.140-2.340 EPS. Equities analysts predict that Celestica, Inc. will post 9.5 earnings per share for the current year.

Insider Buying and Selling at Celestica

In other Celestica news, President Jason Phillips sold 100,000 shares of Celestica stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $308.92, for a total transaction of $30,892,000.00. Following the completion of the transaction, the president owned 12,584 shares in the company, valued at approximately $3,887,449.28. This trade represents a 88.82% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Insiders own 1.10% of the company's stock.

Hedge Funds Weigh In On Celestica

A number of institutional investors have recently modified their holdings of CLS. Vanguard Group Inc. increased its holdings in shares of Celestica by 1.5% during the 4th quarter. Vanguard Group Inc. now owns 4,811,695 shares of the technology company's stock valued at $1,423,333,000 after purchasing an additional 73,022 shares in the last quarter. JPMorgan Chase & Co. grew its position in Celestica by 24.8% during the fourth 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 period. Northwestern Mutual Wealth Management Co. increased its holdings in Celestica by 5,806,149.2% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 3,657,937 shares of the technology company's stock valued at $1,081,323,000 after buying an additional 3,657,874 shares in the last quarter. Arrowstreet Capital Limited Partnership raised its position in shares of Celestica by 471.5% in the third quarter. Arrowstreet Capital Limited Partnership now owns 3,146,928 shares of the technology company's stock worth $775,133,000 after acquiring an additional 2,596,318 shares during the period. Finally, Franklin Resources Inc. raised its position in shares of Celestica by 18.6% in the fourth quarter. Franklin Resources Inc. now owns 2,278,214 shares of the technology company's stock worth $673,471,000 after acquiring an additional 356,797 shares during the period. Hedge funds and other institutional investors own 67.38% of the company's stock.

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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