
Celestica (CLS) Stock Forecast & Price Target
Celestica (CLS) Analyst Ratings
Bulls say
Celestica Inc. has demonstrated significant growth in its hyperscaler business, recording a 66% year-over-year increase to $4.8 billion, representing 50% of the company's revenue in FY24. The favorable performance in both the Connectivity & Cloud Solutions and Advanced Technology Solutions segments has led to upward revisions in revenue estimates, projecting $11.6 billion for FY25, $13.3 billion for FY26, and $15.8 billion for FY27. Additionally, the demand for networking switches has driven HPS revenue to an exceptional 82% year-over-year growth, reaching $1.2 billion in Q2.
Bears say
Celestica Inc. has reported a significant decline in revenue from its Connectivity & Cloud Solutions (CCS) segment, with CCS Enterprise revenue dropping 37% year-over-year to $433 million, despite a minor quarter-over-quarter increase of 5%. The company's net debt has decreased to $832 million, translating to 0.8 times next twelve months (NTM) EBITDA; however, this may not sufficiently offset the challenges reflected in revenue forecasts. Furthermore, guidance for the fourth quarter suggests that revenue will remain sequentially flat, indicating a lack of growth momentum that could negatively impact the stock's performance.
This aggregate rating is based on analysts' research of Celestica and is not a guaranteed prediction by Public.com or investment advice.
Celestica (CLS) Analyst Forecast & Price Prediction
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