Celestica (NYSE:CLS) Shares Climb 3.2% - What's Next?

Key Points

• Celestica shares rose 3.2% to approximately $373.26, with trading volume 21% above the average daily level.
• Analysts remain bullish: Celestica has a consensus “Buy” rating and an average price target of $440.50, including JPMorgan’s target increase to $485.
• The company exceeded quarterly expectations, reporting $2.54 EPS versus $2.29 expected and $4.68 billion in revenue, up 62.4% year over year; however, insiders sold roughly $73.4 million of shares over the past 90 days.

Celestica, Inc. (NYSE:CLS - Get Free Report) TSE: CLS shares traded up 3.2% during mid-day trading on Thursday. The company traded as high as $379.00 and last traded at $373.2640. Approximately 2,936,477 shares changed hands during trading, an increase of 21% from the average daily volume of 2,429,618 shares. The stock had previously closed at $361.84.

Analysts Set New Price Targets

CLS has been the topic of a number of research reports. Bank of America reaffirmed a "buy" rating on shares of Celestica in a research report on Wednesday, July 29th. JPMorgan Chase & Co. raised their price objective on Celestica from $445.00 to $485.00 and gave the stock an "overweight" rating in a report on Wednesday, July 29th. Zacks Research raised Celestica from a "hold" rating to a "strong-buy" rating in a research report on Friday, June 26th. Royal Bank Of Canada set a $450.00 price target on Celestica and gave the company an "outperform" rating in a research note on Wednesday, August 26th. Finally, BWS Financial reaffirmed a "buy" rating on shares of Celestica in a research note on Tuesday, July 28th. One analyst has rated the stock with a Strong Buy rating and twenty-three have issued a Buy rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Buy" and a consensus target price of $440.50.

Celestica Price Performance

The firm has a 50-day simple moving average of $323.32 and a 200-day simple moving average of $340.83. The firm has a market cap of $42.92 billion, a P/E ratio of 38.80 and a beta of 2.04. The company has a current ratio of 1.23, a quick ratio of 0.68 and a debt-to-equity ratio of 0.32.

Celestica (NYSE:CLS - Get Free Report) TSE: CLS last issued its quarterly earnings data on Monday, July 27th. The technology company reported $2.54 earnings per share for the quarter, topping analysts' consensus estimates 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 in the prior year, the business posted $1.39 EPS. The firm's quarterly revenue was up 62.4% on a year-over-year basis. 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, analysts forecast that Celestica, Inc. will post 10.71 EPS for the current year.

Insider Buying and Selling

In related news, CFO Mandeep Chawla sold 16,117 shares of the business's stock in a transaction that occurred 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 completion of the transaction, the chief financial officer owned 65,444 shares in the company, valued at $24,169,778.08. The trade was a 19.76% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, 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 disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 199,553 shares of company stock worth $73,437,196. Insiders own 1.10% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Renaissance Technologies LLC purchased a new stake in Celestica in the first quarter valued at approximately $68,952,000. CIBC Asset Management Inc lifted its stake in Celestica by 7.7% during the 4th quarter. CIBC Asset Management Inc now owns 436,922 shares of the technology company's stock valued at $129,499,000 after acquiring an additional 31,086 shares during the period. Norges Bank acquired a new stake in Celestica during the 4th quarter valued at approximately $456,511,000. Marietta Investment Partners LLC purchased a new stake in shares of Celestica in the 4th quarter valued at $1,273,000. Finally, BW Gestao de Investimentos Ltda. increased its stake in shares of Celestica by 29.9% in the fourth quarter. BW Gestao de Investimentos Ltda. now owns 31,179 shares of the technology company's stock worth $9,217,000 after acquiring an additional 7,179 shares during the period. 67.38% of the stock is currently owned by hedge funds and other institutional investors.

About Celestica

Celestica Inc NYSE: CLS is a global provider of design, manufacturing, and supply chain solutions for technology companies and other businesses. The company helps customers develop, manufacture, and support complex electronic products and systems, offering services that span product design and engineering, prototyping, printed circuit board assembly, systems integration, testing, supply chain management, and after-market support.

Celestica serves customers across several markets, including communications and cloud infrastructure, aerospace and defense, industrial technology, health technology, and capital equipment.

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