Celestica (NYSE:CLS) Shares Up 3.5% - Should You Buy?

Key Points

• Celestica shares rose 3.5% to $344.27, while trading volume was 23% below the average session volume. The company has a $39.58 billion market capitalization and a beta of 2.04.
• Analysts remain broadly bullish, with a consensus “Buy” rating and an average price target of $440.50; several firms recently issued price targets ranging from $485 to $500.
• Celestica exceeded quarterly expectations, reporting $2.54 in EPS versus $2.29 expected and $4.68 billion in revenue, up 62.4% year over year. However, insiders sold approximately $73.4 million of shares over the past 90 days.

Celestica, Inc. (NYSE:CLS - Get Free Report) TSE: CLS shares traded up 3.5% on Monday . The company traded as high as $348.00 and last traded at $344.27. Approximately 1,866,611 shares changed hands during trading, a decline of 23% from the average session volume of 2,424,750 shares. The stock had previously closed at $332.63.

Analyst Ratings Changes

A number of brokerages have commented on CLS. JPMorgan Chase & Co. boosted their price objective on shares of Celestica from $445.00 to $485.00 and gave the stock an "overweight" rating in a report on Wednesday, July 29th. Bank of America reissued a "buy" rating on shares of Celestica in a report on Wednesday, July 29th. Scotiabank assumed coverage on Celestica in a research note on Tuesday, August 11th. They set a "sector outperform" rating and a $500.00 price objective for the company. TD Cowen restated a "buy" rating on shares of Celestica in a report on Wednesday, September 16th. Finally, Weiss Ratings lowered Celestica from a "buy (b)" rating to a "buy (b-)" rating in a research report on Thursday, August 13th. One research analyst has rated the stock with a Strong Buy rating and twenty-three have assigned a Buy rating to the company's stock. According to MarketBeat.com, Celestica presently has a consensus rating of "Buy" and an average price target of $440.50.

Celestica Trading Up 3.5%

The company has a current ratio of 1.23, a quick ratio of 0.68 and a debt-to-equity ratio of 0.32. The company has a market cap of $39.58 billion, a price-to-earnings ratio of 35.79 and a beta of 2.04. The firm has a 50-day moving average price of $322.52 and a 200 day moving average price of $338.92.

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

Insider Activity

In other news, CEO Robert Mionis sold 98,453 shares of Celestica stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $368.99, for a total value of $36,328,172.47. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Mandeep Chawla sold 16,117 shares of the stock in a transaction dated Tuesday, August 4th. The stock was 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. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 199,553 shares of company stock valued at $73,437,196 over the last ninety days. Company insiders own 1.10% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CLS. Legacy Wealth Managment LLC ID raised its holdings in shares of Celestica by 14.4% during the first quarter. Legacy Wealth Managment LLC ID now owns 223 shares of the technology company's stock valued at $63,000 after buying an additional 28 shares during the last quarter. Capital Planning LLC grew its holdings in Celestica by 3.2% in the 1st quarter. Capital Planning LLC now owns 1,025 shares of the technology company's stock worth $289,000 after buying an additional 32 shares in the last quarter. PCB Capital LLC increased its position in Celestica by 3.5% in the 1st quarter. PCB Capital LLC now owns 995 shares of the technology company's stock valued at $280,000 after acquiring an additional 34 shares during the period. XML Financial LLC increased its position in Celestica by 1.5% in the 2nd quarter. XML Financial LLC now owns 2,640 shares of the technology company's stock valued at $963,000 after acquiring an additional 40 shares during the period. Finally, Sequoia Financial Advisors LLC raised its stake in Celestica by 0.9% during the 2nd quarter. Sequoia Financial Advisors LLC now owns 4,363 shares of the technology company's stock valued at $1,592,000 after acquiring an additional 40 shares in the last quarter. Institutional investors and hedge funds own 67.38% of the company's stock.

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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