Core Insights - Celestica, Inc. (CLS) reported strong fourth-quarter 2025 results with adjusted earnings and revenues exceeding Zacks Consensus Estimates, driven by significant growth in the Connectivity & Cloud Solutions (CCS) segment [1][9] Financial Performance - Total revenues in the CCS segment increased by 64% year over year to $2.86 billion, with the Enterprise business revenues rising by 33% and the Communications end market achieving 79% growth [2] - Celestica generated $250.6 million in cash from operations, up from $143.4 million in the previous year, and free cash flow increased by 62.7% year over year to $155.9 million, indicating strong capital management [4] - The company's inventory balance rose to $2.19 billion, an increase of $427 million compared to the prior year, while cash cycle days improved by 8 days to 61 days, reflecting efficient inventory management [5] Strategic Partnerships and Market Position - Celestica is collaborating closely with Google on complex data center hardware, serving as the preferred manufacturing partner for Google's Tensor Processing Unit (TPU), and is expanding its capacity to support the adoption of these systems [3] - The company has outperformed its peers, with its stock increasing by 125.4% over the past year, compared to 74.4% growth in the Electronics - Manufacturing Services industry [10][11] Challenges and Risks - Growth is heavily reliant on AI data center spending by hyperscalers, with significant customer concentration risk as the top three customers account for approximately 63% of total revenues [6] - The Advanced Technology Solutions segment experienced a 1% decline in revenues year over year, and the company faces challenges from foreign exchange fluctuations and geopolitical volatility [7][6] Valuation Metrics - Celestica's shares are currently trading at a premium with a price/earnings ratio of 34.42 for forward 12-month earnings, compared to 23.59 for the industry [13]

Market Overview - The market has experienced significant volatility, with geopolitical events and economic uncertainties contributing to fluctuations. January saw a rotation between safe haven stocks and technology stocks, with commodities initially rising before pulling back [8][9][12]. - The AI sector is facing challenges, with fears of overvaluation leading to sell-offs, particularly among major technology stocks. The Nasdaq index was down nearly 2% at one point, driven by concerns surrounding NVIDIA and other AI-related investments [10][24]. AI Market Insights - The global AI market is projected to reach $3 trillion by 2033, driven by the demand for AI infrastructure and the rapid adoption of AI technologies. ChatGPT has seen a surge in active users, growing from 200 million to over 1 billion in just two years [16][17]. - AI stocks have outperformed traditional sectors, with chipmakers and technology firms leading the way. The demand for AI infrastructure has outpaced supply, particularly for memory chips [22][37]. Top AI Stocks for 2026 - The top 10 AI stocks identified have a forward revenue growth rate of 38% and a forward EPS growth rate of 99%, significantly outperforming the S&P 500's growth rates of 6% and 10.6% respectively [39]. - The stocks were selected from major AI-focused ETFs and analyzed using a quantitative model to identify strong performers based on various metrics [36][37]. Individual Stock Highlights - **Lumentum Holdings (LITE)**: Market cap of $27 billion, ranked 1st in its sector. The stock has increased by 402% over the past year, with strong growth metrics [41][43]. - **Micron Technology (MU)**: Market cap of $466 billion, ranked 1st in the semiconductor industry. The stock is up 387% over the past year, with a forward EPS growth rate of 222% [46][52]. - **Ciena (CIEN)**: Market cap of $35 billion, ranked 2nd in communications equipment. The company has a long-term growth rate of 44% [54][55]. - **General Motors (GM)**: Market cap of $1.46 trillion, recognized for its integration of AI in automotive technology. The stock is up 76% over the past year [57][59]. - **Taiwan Semiconductor (TSM)**: Market cap of $1.46 trillion, ranked 2nd in semiconductors. The company has a long-term EPS growth rate of 30% [60][61]. - **Hut 8 Corp (HUT)**: Market cap of $6 billion, ranked 1st in application software. The stock has returned 160% over the past year [62][63]. - **Celestica (CLS)**: Market cap of $32 billion, ranked 2nd in electronic manufacturing services. The stock is up 136% over the past year [64][66]. - **Credo Technology Holding (CRDO)**: Ranked 4th in semiconductors, with a long-term EPS growth rate of 69% [70][71]. - **AppLovin Corporation (APP)**: Despite a rocky year, the stock is up 31% and has strong growth metrics [72][74]. - **Globus Medical (GMED)**: Market cap of $12 billion, focused on AI and robotics in healthcare. The stock is up 68% over the past six months [78][80].

Group 1 - Pomerantz LLP is investigating claims on behalf of investors of Celestica Inc. regarding potential securities fraud or unlawful business practices by the company and its officers or directors [1] - On January 22, 2026, news from Digitimes indicated that Alphabet Inc.'s Google may shift assembly work for its tensor processing units to other suppliers, which could reduce Celestica's role in assembling Google's AI servers [3] - Following the news about Google's potential shift, Celestica's stock price dropped by $18.83 per share, or 6.08%, closing at $290.92 per share on January 22, 2026 [3]

Core Viewpoint - The article emphasizes the importance of building a balanced investment portfolio that includes both technology stocks and defensive options, highlighting the intrinsic value of companies as a key focus for investment decisions [1] Group 1: Investment Strategy - The company specializes in equities and diversified portfolios, aiming to ensure clients benefit from technology stock growth while maintaining investments in defensive options [1] - There is a strong preference for established technology companies and those in consumer staples and discretionary goods, prioritizing company value over market circumstances [1] Group 2: Experience and Expertise - The company has been an active investor for seven years, managing third-party portfolios and focusing on macroeconomic trends, stock valuation, and the interplay between politics and markets [1] - A Master's degree in Economics and experience as a consultant for public and private organizations contribute to the company's analytical capabilities, particularly in financial and economic aspects [1] Group 3: Challenges and Insights - The company acknowledges the difficulty of the investment principle "buying low and selling high," drawing parallels between the pressures of public tenders and market crises experienced in 2020 and 2022 [1] - The company actively promotes financial inclusion programs for women in finance, recognizing the ongoing challenges in this area and expressing a commitment to contribute positively [1]

Key Takeaways CLS posted Q4 EPS of $1.89 and revenues of $3.65B, beating estimates as CCS delivered 78.3% of sales.AI investments boosted CLS networking demand, with solid traction in 800G and 400G switches for hyperscalers.CLS raised 2026 outlook, targeting about $17B revenues, $8.75 non-GAAP EPS and a 7.8% operating margin.Celestica Inc. (CLS) — one of the largest AI-powered EMS (electronics manufacturing services) companies in the world — reported excellent fourth-quarter 2025 earnings results. Adjusted ...

分组1 - The article discusses Celestica Inc. (NYSE: CLS) and its strong performance in the AI sector, highlighting its double beat and raise performances [1] - The management of Celestica provided an outsized preliminary guidance for FY2026, indicating confidence in future growth [1] 分组2 - The analyst expresses a beneficial long position in shares of major tech companies, including GOOG, AMZN, CRWV, and META, suggesting a positive outlook on these stocks [2] - The article emphasizes the importance of conducting personal in-depth research before making investment decisions, acknowledging the inherent risks involved [3]

Two Defensive 5-Day Cash-Secured Put Trades Start-to-Finish: Laddering Strikes click ↑ 4 FeaturedI favor cash-secured put trades in volatile, bearish and volatile market conditions. I also use puts to enter covered call trades (PCP, Put-Call-Put or “wheel” strategy). In this article, real-life examples with Celestica Inc. (NYSE: CLS) will be analyzed to demonstrate how to enter such trades with initial and final calculations.Real-life example 5-day trades with CLS from 9/8/2025 – 9/12/20259/8/2025: CLS tra ...

业绩简评 2026 年 1 月 29 日，公司公布 25Q4 业绩。25Q4 营收 36.55 亿美元， 同比+43.6%，环比+14.4%。25Q4 公司 GAAP 毛利率为 11.8%，GAAP 净利润为 2.67 亿美元，同比+76%，其中有 6140 万美元来自收益 互换的衍生品。25Q4 公司 Non-GAAP 毛利率为 11.3%，Non-GAAP 净利润为 2.19 亿美元，同比+68%。 公司指引 26Q1 营收为 3.85~4.15 亿美元，Non-GAAP 营业利润率为 7.8%，Non-GAAP EPS 为 1.95~2.15 美元。公司上调全年营收至 170 亿美元（之前为 160 亿美元），26 年 Non-GAAP EPS 为 8.75 美元（之 前预期 8.2 美元），公司预计全年资本开支约 10 亿美元。 经营分析 公司数据中心快速增长，25Q4 公司云与连接解决方案收入 28.6 亿美元，同比+64%，其中交换机相关的通信终端市场收入 21.1 亿 美元，同比+79%。随着主要 ASIC 客户新一代产品的顺利量产爬坡， 公司服务器相关的企业终端市场收入 25Q4 为 7.45 ...

Core Insights - Celestica Inc. is a manufacturer of Data Center components that is heavily reliant on hyperscaler demand, particularly due to the surge in capital expenditures driven by advancements in artificial intelligence [1] Industry Overview - The industry is experiencing a significant increase in demand for Data Center components as companies invest heavily in AI technologies, leading to a massive CapEx splurge [1]

Core Insights - Celestica Inc. (NYSE:CLS) experienced a significant decline of 13.10% in stock price, closing at $300, following a four-day winning streak, as strong earnings expectations were already priced in due to AI demand [1] Financial Performance - For the full year 2025, Celestica's net income increased by 94% to $832.5 million from $428 million in 2024, with the fourth quarter net income reaching $267.5 million, a 76% increase from $151.7 million year-over-year [2] - Revenues for the full year rose by 28% to $12.39 billion from $9.65 billion, while fourth quarter revenues increased by 4.4% to $3.65 billion from $2.54 billion [3] Future Outlook - Celestica raised its revenue outlook for 2026 to $17 billion and adjusted earnings per share to $8.75, driven by growing demand for AI-related data center technologies [3] - The company plans to increase capital investments to $1 billion this year, expecting to fund this expansion organically through operating cash flow, aligning with customers' long-term AI infrastructure investments [4]