Celestica (NYSE:CLS) Shares Up 9.6% Following Strong Earnings

Celestica, Inc. (NYSE:CLS) (TSE:CLS)’s share price shot up 9.6% on Tuesday following a stronger than expected earnings report. The company traded as high as $350.91 and last traded at $348.6590. 7,725,975 shares traded hands during mid-day trading, an increase of 225% from the average daily volume of 2,379,524 shares. The stock had previously closed at $318.24.

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 36.91% and a net margin of 6.95%.The firm had revenue of $4.68 billion during the quarter, compared to analysts’ expectations of $4.30 billion. During the same quarter last year, the firm earned $1.39 EPS. The business’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.

Celestica News Summary

Here are the key news stories impacting Celestica this week:

• Positive Sentiment: Q2 results significantly exceeded expectations: Revenue increased approximately 62% year over year to about $4.7 billion, while adjusted EPS reached $2.54 versus the $2.29 consensus estimate. Revenue and adjusted earnings also came in above the high end of management’s own guidance. Celestica Announces Second Quarter 2026 Financial Results
• Positive Sentiment: Management sharply raised its 2026 outlook: Celestica now expects approximately $20.5 billion in annual revenue and $11.30 in EPS, above consensus forecasts of roughly $19.2 billion and $10.13, respectively. Third-quarter revenue and EPS guidance also exceeded analyst estimates. CLS Q2 Earnings Beat Estimates on Strong CCS Demand, Outlook Raised
• Positive Sentiment: AI-related demand is supporting future growth: The Connectivity & Cloud Solutions segment grew 84% year over year, with hyperscaler customers expected to enter mass production during 2026. Management also indicated that growth could accelerate beyond 65% in 2027, improving visibility into future results. Celestica Q2: 2 Reasons It’s Worth Watching, But Not Buying Yet
• Neutral Sentiment: Unusually active call-option trading and analyst commentary describing Celestica as underpriced reinforced bullish momentum, but these signals do not directly change the company’s fundamentals. Celestica: Massively Underpriced
• Negative Sentiment: Some investors remain cautious because CLS has already delivered substantial gains and trades at a premium valuation, leaving the stock exposed to profit-taking if AI infrastructure spending or execution slows.

Wall Street Analysts Forecast Growth

A number of analysts recently commented on CLS shares. JPMorgan Chase & Co. lifted their target price on shares of Celestica from $410.00 to $425.00 and gave the stock an “overweight” rating in a research note on Wednesday, April 29th. Weiss Ratings lowered shares of Celestica from a “buy (b)” rating to a “buy (b-)” rating in a research note on Thursday, July 16th. Zacks Research raised shares of Celestica from a “hold” rating to a “strong-buy” rating in a report on Friday, June 26th. The Goldman Sachs Group reiterated a “buy” rating and set a $475.00 price objective on shares of Celestica in a research note on Tuesday, April 28th. Finally, UBS Group boosted their price objective on shares of Celestica from $355.00 to $400.00 and gave the company a “neutral” rating in a report on Wednesday, April 29th. Two investment analysts have rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of “Buy” and a consensus target price of $427.42.

Insiders Place Their Bets

In other Celestica news, CEO Robert Mionis sold 66,056 shares of Celestica stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $400.06, for a total transaction of $26,426,363.36. Following the completion of the sale, the chief executive officer directly owned 134,328 shares in the company, valued at approximately $53,739,259.68. The trade was a 32.96% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CFO Mandeep Chawla sold 17,000 shares of the stock in a transaction on Monday, June 15th. The stock was sold at an average price of $399.65, for a total transaction of $6,794,050.00. Following the completion of the sale, the chief financial officer owned 82,444 shares in the company, valued at $32,948,744.60. The trade was a 17.10% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 161,168 shares of company stock valued at $63,190,485. 1.10% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of CLS. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC purchased a new stake in Celestica in the 4th quarter worth approximately $28,000. Swiss RE Ltd. acquired a new position in shares of Celestica in the 4th quarter valued at $29,000. Cullen Frost Bankers Inc. purchased a new stake in Celestica during the fourth quarter worth $30,000. Sittner & Nelson LLC purchased a new stake in Celestica during the fourth quarter worth $31,000. Finally, Ascentis Independent Advisors acquired a new stake in Celestica during the first quarter valued at $29,000. 67.38% of the stock is owned by institutional investors and hedge funds.

Celestica Trading Up 9.6%

The company has a quick ratio of 0.73, a current ratio of 1.26 and a debt-to-equity ratio of 0.36. The company’s 50-day moving average is $361.64 and its 200 day moving average is $332.61. The company has a market cap of $40.09 billion, a price-to-earnings ratio of 42.16, a price-to-earnings-growth ratio of 0.71 and a beta of 2.05.

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.