The first company has solidified its market presence with impressive revenue gains in the retail and merchandise sectors. A recent legal victory enhancing financial stability further bolsters its fundamental solidity. On the other hand, the second company has capitalized on the rising demand for AI and networking solutions. It is driving substantial revenue growth and margin expansion. Finally, the third company has recordbreaking sales and profitability improvements. This points to its leadership in innova ...

Core Insights - Celestica is not expected to beat earnings estimates for the second quarter, with an Earnings ESP of 0.00% and a Zacks Rank of 3 (Hold) [2][3] - The company has signed an agreement to acquire NCS Global Services LLC for $36 million, which will enhance its Connectivity and Cloud Solutions segment [4] - The CCS segment is experiencing strong momentum due to healthy demand for AI/ML, while the ATS segment faces challenges from a slowdown in the electric vehicle market [5][6] Financial Performance - Celestica is scheduled to report second-quarter 2024 earnings on July 24, with revenue estimates at $2.25 billion, reflecting a 15.78% year-over-year growth, and earnings per share estimated at 81 cents, indicating a 47.27% increase year-over-year [13] - The company has achieved a four-quarter earnings surprise of 13.09%, with the last quarter showing a 19.44% surprise [14] Product Development - The company launched a series of enterprise access networking switches, which are expected to contribute to incremental revenues [16] - The 800G platform for high bandwidth AI applications is gaining traction, alongside strong demand for 400G switches [17] Competitive Landscape - Despite strong demand for AI-powered products, competition from Flex Ltd. and Jabil Inc. is exerting pressure on margins [18] - Over the past year, Celestica's stock has increased by 250.9%, outperforming the industry growth of 25.3% and competitors like Flex and Jabil [19] Valuation Metrics - Celestica's shares are trading at a premium valuation, with a price/earnings ratio of 16.12 compared to the industry average of 14.38 [20] - The company has a diversified product portfolio that capitalizes on the growth of AI applications, supported by strong demand across various end markets [21]

Company Overview - Celestica's shares have decreased by 3.81% over the past month, underperforming the Computer and Technology sector's loss of 3.17% and the S&P 500's gain of 2.14% [1] - The most recent trading session closed with Celestica at $56.32, reflecting a decline of 0.91% from the previous day's closing, which is worse than the S&P 500's daily loss of 0.78% [2] Earnings Forecast - Celestica's upcoming earnings report is anticipated on July 24, 2024, with an expected EPS of $0.81, indicating a 47.27% increase from the same quarter last year [3] - Revenue is projected to be $2.25 billion, representing a 15.78% increase compared to the year-ago quarter [3] - For the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.32 per share and revenue of $9.12 billion, reflecting changes of +36.63% and +14.59% from the prior year, respectively [7] Industry Context - The Electronics - Manufacturing Services industry is part of the Computer and Technology sector, currently holding a Zacks Industry Rank of 227, placing it in the bottom 10% of over 250 industries [5] - The Zacks Rank system indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [5] Analyst Insights - Recent changes to analyst estimates for Celestica suggest a favorable outlook on the company's business health and profitability [8] - The Zacks Rank, which incorporates estimate changes, provides a quantitative model for assessing stock performance [9] Valuation Metrics - Celestica's Forward P/E ratio is currently 17.15, which is a premium compared to the industry's average Forward P/E of 15.4 [10]

Group 1 - Celestica's stock closed at $59.40, reflecting a -0.13% change from the previous day, underperforming compared to the S&P 500's gain of 0.55% [1] - Over the past month, Celestica's shares increased by 4.77%, which is lower than the Computer and Technology sector's gain of 5.73% but higher than the S&P 500's gain of 4.28% [1] Group 2 - Celestica currently holds a Zacks Rank of 3 (Hold), with no changes in the Zacks Consensus EPS estimate over the past month [2] - The Forward P/E ratio for Celestica is 17.94, which is above the industry average of 15.77, indicating that Celestica is trading at a premium [3] Group 3 - The Electronics - Manufacturing Services industry, to which Celestica belongs, has a Zacks Industry Rank of 226, placing it in the bottom 11% of over 250 industries [3] Group 4 - Celestica's upcoming earnings report is scheduled for July 24, 2024, with projected EPS of $0.81, representing a 47.27% increase year-over-year, and expected revenue of $2.25 billion, reflecting a 15.78% rise from the same quarter last year [6] - For the full year, analysts expect earnings of $3.32 per share and revenue of $9.12 billion, indicating changes of +36.63% and +14.59% respectively from the previous year [7] Group 5 - Recent changes to analyst estimates for Celestica are important as they often indicate shifts in near-term business trends, with positive changes suggesting analyst optimism regarding the company's performance [8]

With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near -term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision. It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Celestica. Brokerage Recommendation Trend ...

Buoyed by solid AI traction, Celestica Inc. (CLS) has gained a stellar 274.1% over the past year compared with the industry's growth of 23%. It has also outperformed its peers like Flex Ltd. (FLEX) and Jabil Inc. (JBL) over this period. Image Source: Zacks Investment Research Celestia had largely been a beneficiary of the ongoing generative AI boom, thanks to the solid demand trends for AI/ML compute and networking products from hyperscale customers. In addition to the high-performance 800G family of networ ...

TORONTO, July 08, 2024 (GLOBE NEWSWIRE) -- Celestica's (TSX: CLS) (NYSE: CLS) second quarter financial results and conference call will take place on Thursday, July 25. The conference call start time is 8:00 a.m. ET. Financial results will be released after market close on Wednesday, July 24. Celestica Investor Relations clsir@celestica.com For those unable to participate, a recorded webcast will be available approximately two hours after completion of the call. To access the recorded webcast visit www.cele ...

https://onlinexperiences.com/Launch/QReg/ShowUUID=408CCB11-9839- 4E12-8BEC-59BEA61D589A&LangLocaleID=1033 TORONTO, July 08, 2024 (GLOBE NEWSWIRE) -- Celestica's (TSX: CLS) (NYSE: CLS) second quarter financial results and conference call will take place on Thursday, July 25. The conference call start time is 8:00 a.m. ET. Financial results will be released after market close on Wednesday, July 24. For those unable to participate, a recorded webcast will be available approximately two hours after completion o ...

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sellside) analysts often affect a stock's price, do they really matter? Celestica currently has an average brokerage recommendation (ABR) of 1.86, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by seven brokerage firms. An ABR ...

Shares of this electronics manufacturing services company have returned -9.2% over the past month versus the Zacks S&P 500 composite's +2.8% change. The Zacks Electronics - Manufacturing Services industry, to which Celestica belongs, has lost 6.7% over this period. Now the key question is: Where could the stock be headed in the near term? Rather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its s ...