TD Cowen Upgrades Celestica (NYSE:CLS) to "Buy"

Key Points

• TD Cowen upgraded Celestica to a Buy and lifted its price target to $430 (from $350), implying roughly a 15% upside, and other analysts have similarly raised targets leaving a consensus price target near $424.78.
• Celestica beat Q1 EPS ($2.16 vs. $2.08), reported revenue up about 53% year‑over‑year and raised FY‑2026 EPS guidance (to 10.15), though Q1 revenue slightly missed estimates.
• Despite the positive results and an AI networking product launch (DS6000 switches), the stock suffered a sharp post‑earnings sell‑off that erased nearly $10B of market value, and insiders sold significant shares (including the president's 100,000‑share sale).

Celestica (NYSE:CLS - Get Free Report) TSE: CLS was upgraded by equities research analysts at TD Cowen from a "hold" rating to a "buy" rating in a report issued on Wednesday,Benzinga reports. The brokerage currently has a $430.00 price target on the technology company's stock, up from their previous price target of $350.00. TD Cowen's price objective would indicate a potential upside of 15.16% from the company's previous close.

Several other equities research analysts also recently weighed in on CLS. BMO Capital Markets raised their price target on Celestica from $370.00 to $450.00 and gave the stock an "outperform" rating in a report on Friday, April 24th. Wolfe Research raised Celestica to a "strong-buy" rating in a report on Tuesday, February 17th. The Goldman Sachs Group reissued a "buy" rating and issued a $475.00 price target on shares of Celestica in a report on Tuesday. JPMorgan Chase & Co. raised their price target on Celestica from $360.00 to $410.00 and gave the stock an "overweight" rating in a report on Thursday, April 16th. Finally, Citigroup raised their price target on Celestica from $338.00 to $415.00 and gave the stock a "buy" rating in a report on Wednesday. One analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $424.78.

Celestica Stock Up 3.3%

CLS traded up $11.85 on Wednesday, hitting $373.39. The company had a trading volume of 2,407,083 shares, compared to its average volume of 2,507,298. The stock has a fifty day moving average price of $309.83 and a 200-day moving average price of $307.90. Celestica has a 12-month low of $81.88 and a 12-month high of $423.25. The company has a debt-to-equity ratio of 0.34, a quick ratio of 0.88 and a current ratio of 1.44. The stock has a market capitalization of $42.93 billion, a price-to-earnings ratio of 45.16, a P/E/G ratio of 1.26 and a beta of 1.88.

Celestica (NYSE:CLS - Get Free Report) TSE: CLS last posted its earnings results on Monday, April 27th. The technology company reported $2.16 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.08 by $0.08. Celestica had a return on equity of 37.35% and a net margin of 6.95%.The company had revenue of $3.96 billion for the quarter, compared to analyst estimates of $4.06 billion. During the same quarter in the previous year, the firm earned $1.20 earnings per share. The firm's quarterly revenue was up 52.8% compared to the same quarter last year. Celestica has set its FY 2026 guidance at 10.150-10.150 EPS and its Q2 2026 guidance at 2.140-2.340 EPS. Analysts predict that Celestica will post 8.5 EPS for the current fiscal year.

Insider Buying and Selling

In related 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 sale, the president owned 12,584 shares of the company's stock, valued at $3,887,449.28. The trade was a 88.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Yann L. Etienvre sold 1,145 shares of Celestica stock in a transaction dated Wednesday, February 4th. The stock was sold at an average price of $283.51, for a total value of $324,618.95. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 297,923 shares of company stock valued at $88,027,459 over the last quarter. 1.10% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the stock. Pinney & Scofield Inc. raised its position in Celestica by 20.0% during the third quarter. Pinney & Scofield Inc. now owns 180 shares of the technology company's stock valued at $44,000 after acquiring an additional 30 shares in the last quarter. LeConte Wealth Management LLC raised its position in Celestica by 3.5% during the fourth quarter. LeConte Wealth Management LLC now owns 1,001 shares of the technology company's stock valued at $296,000 after acquiring an additional 34 shares in the last quarter. MassMutual Private Wealth & Trust FSB increased its position in shares of Celestica by 42.5% in the third quarter. MassMutual Private Wealth & Trust FSB now owns 124 shares of the technology company's stock valued at $31,000 after buying an additional 37 shares in the last quarter. World Equity Group Inc. increased its position in shares of Celestica by 1.7% in the third quarter. World Equity Group Inc. now owns 2,263 shares of the technology company's stock valued at $558,000 after buying an additional 38 shares in the last quarter. Finally, Terra Nova Asset Management LLC increased its position in shares of Celestica by 2.3% in the fourth quarter. Terra Nova Asset Management LLC now owns 1,686 shares of the technology company's stock valued at $498,000 after buying an additional 38 shares in the last quarter. 67.38% of the stock is currently owned by hedge funds and other institutional investors.

Celestica News Summary

Here are the key news stories impacting Celestica this week:

• Positive Sentiment: Beat and raise: Celestica topped Q1 EPS expectations and raised FY‑2026 revenue and EPS guidance materially, giving investors clearer high‑growth visibility. Celestica Announces First Quarter 2026 Financial Results
• Positive Sentiment: AI product momentum: Celestica launched the DS6000 1.6TbE switches (now available to order), supporting its positioning in AI/networking infrastructure and reinforcing revenue backlog prospects. Celestica Accelerates AI-Scale Networking: DS6000-Series 1.6TbE Switches Now Available to Order
• Positive Sentiment: Strong top‑line and margin trends: Q1 revenue rose ~53% YoY with CCS revenue and margins expanding—supporting the upgraded outlook. Celestica Surpasses Q1 Earnings Estimates on Solid CCS Demand
• Neutral Sentiment: Momentum metrics: Some outlets flag Celestica as a high‑momentum stock—useful for tactical traders but not a substitute for valuation assessment. Celestica (CLS) is a Top-Ranked Momentum Stock: Should You Buy?
• Neutral Sentiment: Read the slides/transcript for detail: The earnings deck and call provide backlog, customer and capex color that investors should review to judge execution risk. Celestica Q1 2026 Earnings Transcript / Slides
• Negative Sentiment: Sharp post‑earnings sell‑off: Despite the beat and raise, Celestica erased nearly $10B of market value in a single day as the market sold into the rally—indicating profit‑taking and short‑term re‑rating. Celestica craters by $10B after earnings
• Negative Sentiment: Analyst caution and execution risks: Some analysts downgraded or flagged that elevated valuations, supply‑chain bottlenecks, high planned capex and only modest near‑term margin improvement increase execution risk beyond 2026. Celestica: It's Now Much Harder To Excite The Market (Downgrade)

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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