CIBC Investor's Edge
Transfer your investments to CIBC Investor's Edge and get rewarded with an offer of up to $3,000.
- ✓$6.95 flat-rate commissions
- ✓Backed by Big Five bank security
- ✓Transfer bonus offer up to $3,000
Celestica Inc. (TSX: CLS)
🌐 Visit Website | WealthAwesome Stock Page → CLS.TO
This Week's Highlights
Celestica came through with an earnings beat that caught analysts' attention, even as the stock dipped 8.46% to $267.50. Despite the pullback, the long-term picture remains strong. The company is riding high on its Connectivity & Cloud Solutions strength, and investor sentiment is firmly bullish.
Key Highlights:
-
Posted stronger-than-expected earnings for Q2.
-
Analysts revised EPS estimates up 13 times in the last 7 days.
-
Revenue and margin expansion continues across cloud and industrial end markets.
Key Metrics
| Metric | Value |
|---|---|
| Stock Price | $267.50 (↓ 8.46%) |
| Market Cap | $22.4B USD |
| P/E Ratio | 42.4 |
| Forward P/E | 39.8 |
| 52‑Week Range | $55.10 – $301.19 |
| YTD Return | +101.6% |
| Dividend Yield | N/A (no dividend) |
Analyst Insights & Ratings
| Rating Type | Count |
|---|---|
| Strong Buy | 9 |
| Buy | 2 |
| Hold | 2 |
| Sell | 0 |
| Strong Sell | 0 |
-
Consensus Rating: ⭐ Strong Buy
-
Average Target Price: $302.65
-
Upside Potential: 📈 +13.14%
-
Median Target: $309.47
-
Standard Deviation: ±$33.59
-
Latest Update: August 20, 2025
Recent News Highlights
-
Celestica Soars on Q2 Results — Strong revenue and EPS beat expectations, with gains driven by cloud infrastructure and industrial markets.
-
Massive Analyst Upgrades — EPS forecasts have been revised upward significantly, showing renewed confidence in Celestica’s long-term prospects.
-
Long-Term Momentum — With a 5-year return of +2381%, CLS is one of the TSX's most impressive tech stories.
Growth Indicators
| Growth Metric | Value |
|---|---|
| Sales Growth (Next Year) | +16.9% |
| EPS Growth (Next Year) | +20.7% |
| 5-Year EPS Growth Estimate | +31.8% |
| EPS Current Year Growth Est. | +43.5% |
💡 Celestica is riding a robust growth wave, fueled by strong secular demand and operational excellence.
Valuation Snapshot
| Metric | Value |
|---|---|
| P/E | 42.4 |
| Forward P/E | 39.8 |
| PEG (Forward) | 1.5 |
| Price / Sales | 2.2 |
| Price / Free Cash Flow | 58.8 |
Profitability Metrics
| Metric | Value |
|---|---|
| Net Margin | 5.1% |
| Return on Equity | 30.6% |
| Return on Assets | 9.1% |
| Operating Margin | 7.2% |
| ROIC | 22.4% |
Operational Strength & Momentum
-
1-Year Return: +292.3%
-
Pullback from 52-Wk High: ~11%
-
EBITDA Growth (5-Year Avg): 34.7%
-
Relative Strength Index: 52.6 (neutral territory)
Estimates & Revisions
| EPS Forecast | Sep 2025 | Dec 2025 | FY 2025 | FY 2026 |
|---|---|---|---|---|
| Average EPS | $1.46 | $1.49 | $5.57 | $6.72 |
| EPS Revisions (7 Days) | ⬆ 11 | ⬆ 11 | ⬆ 13 | ⬆ 12 |
| Revenue Forecast | Sep 2025 | Dec 2025 | FY 2025 | FY 2026 |
|---|---|---|---|---|
| Avg. Sales ($M) | $3,013 | $3,053 | $11,644 | $13,608 |
Takeaway for Investor
Celestica is proving it's more than just a turnaround story—it’s a tech growth rocket 🚀. With:
-
A Strong Buy rating
-
Over 13% upside
-
Powerful revenue and earnings growth momentum
-
Long-term outperformance (+2381% over 5 years!)
Best next step
Keep exploring this topic
If you want to go deeper, these are the most useful follow-up pages and tools for this topic.
Stocks tool
Check Canadian stock movers
See the latest TSX and TSXV winners and losers before digging deeper into a sector.
Research hub
Browse Canadian stock research
Use the stock section to jump from a theme article into individual company pages.
Diversification
Compare stocks with ETF options
If you want exposure to a theme without single-stock risk, screen matching ETFs instead.
Advertisement
7 stocks to buy and hold forever
Proven winners for income investors — blue-chip dividend stocks to hold for decades.
Get the FREE Report
Qayyum Rajan, CFA
Qayyum is the CEO of Wealth Awesome, a leading Canadian personal finance publication. As a CFA charterholder with extensive experience in fintech, data science, and quantitative finance, he brings a unique analytical perspective to investing and wealth management.
View Full Profile →✅ Reviewed by Certified Financial Professionals
This content has been reviewed by CFA® charterholders and Certified Financial Planners (CFP®) with over a decade of experience in Canadian financial markets. All information is fact-checked against official Canadian sources and regulations.
Why these credentials matter: CFA® charterholders complete 900+ hours of rigorous study in investment analysis and ethics. CFP® professionals are held to the highest standards of financial planning competency and fiduciary duty in Canada.
⚠️ Professional Disclaimer
This content is for educational purposes only and should not be considered personalized financial advice. While our team brings professional expertise, individual circumstances vary. For personalized guidance, consult with a qualified financial advisor, tax professional, or mortgage specialist.
