Celestica (NYSE:CLS) Shares Down 2.3% Following Analyst Downgrade

Celestica, Inc. (NYSE:CLS) (TSE:CLS)’s share price dropped 2.3% on Monday after Zacks Research downgraded the stock from a strong-buy rating to a hold rating. The stock traded as low as $349.52 and last traded at $357.1070. 2,406,162 shares changed hands during mid-day trading, a decline of 1% from the average daily volume of 2,428,769 shares. The stock had previously closed at $365.44.

A number of other equities analysts have also recently commented on CLS. TD Cowen restated a “buy” rating on shares of Celestica in a report on Wednesday, September 16th. FBN Securities initiated coverage on shares of Celestica in a report on Tuesday, September 15th. They set an “outperform” rating and a $375.00 target price on the stock. UBS Group upgraded shares of Celestica from a “neutral” rating to a “buy” rating and boosted their price target for the stock from $410.00 to $430.00 in a research note on Monday, August 24th. Canadian Imperial Bank of Commerce increased their price objective on Celestica from $480.00 to $500.00 and gave the company an “outperform” rating in a research note on Wednesday, July 29th. Finally, Barclays cut their price target on Celestica from $430.00 to $406.00 and set an “overweight” rating on the stock in a report on Friday, August 7th. Twenty-three analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat.com, Celestica presently has a consensus rating of “Moderate Buy” and an average target price of $450.50.

Insider Buying and Selling

In other Celestica news, CFO Mandeep Chawla sold 16,117 shares of the company’s stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $369.32, for a total value 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. This represents a 19.76% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Robert Mionis sold 23,396 shares of the company’s stock in a transaction dated Wednesday, September 23rd. The shares were sold at an average price of $364.22, for a total value of $8,521,291.12. The disclosure for this sale is available in the SEC filing. Insiders have sold 243,067 shares of company stock worth $89,200,967 in the last ninety days. 1.10% of the stock is owned by corporate insiders.

Celestica News Roundup

Here are the key news stories impacting Celestica this week:

• Positive Sentiment: Sanford C. Bernstein initiated coverage of Celestica with an “Outperform” rating and a $520 price target—approximately 42% above the reference price. The new coverage reinforces the bullish view that Celestica can benefit from strong demand for technology infrastructure and related manufacturing services.
• Positive Sentiment: Celestica continues to attract favorable analyst attention. Its consensus brokerage rating remains “Buy,” and recent coverage has highlighted the company as a closely watched stock. However, consensus ratings can be overly optimistic and should be weighed against valuation and execution risks. Celestica Receives Consensus Buy Rating
• Neutral Sentiment: Celestica shares increased despite a weaker broader market, indicating continued relative strength and investor demand. The move may reflect optimism surrounding the company’s growth outlook rather than a new fundamental announcement. Celestica Increases Despite Market Slip
• Negative Sentiment: Zacks Research downgraded Celestica from “Strong Buy” to “Hold,” which could limit near-term upside and encourage some investors to take profits after the stock’s substantial advance. The downgrade contrasts with Bernstein’s more bullish initiation.

Institutional Inflows and Outflows

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

Celestica Trading Up 2.8%

The company has a market cap of $42.14 billion, a price-to-earnings ratio of 38.09 and a beta of 2.04. The company has a debt-to-equity ratio of 0.32, a current ratio of 1.23 and a quick ratio of 0.68. The business’s 50-day simple moving average is $327.51 and its 200-day simple moving average is $343.72.

Celestica (NYSE:CLS) (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 net margin of 7.16% and a return on equity of 39.96%. The business had revenue of $4.68 billion during the quarter, compared to analysts’ expectations of $4.30 billion. During the same period last year, the company posted $1.39 EPS. The company’s 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. Research analysts predict that Celestica, Inc. will post 10.71 earnings per share for the current fiscal year.

Celestica Company Profile

Celestica Inc (NYSE: CLS) is a global provider of design, manufacturing, and supply-chain services for original equipment manufacturers and other technology companies. The company helps customers develop, produce, deploy, and support complex hardware and electronic systems, serving industries such as communications, enterprise technology, aerospace and defense, industrial technology, health care, and semiconductor equipment.

Its services include product design and engineering, printed circuit board and systems assembly, manufacturing, testing, logistics, aftermarket support, and supply-chain management.