Celestica: Generative AI Boom Is Real - Prospects Remain Bright

We previously covered Celestica Inc. (NYSE:CLS) in March 2024, discussing how it had been a beneficiary of the ongoing generative AI boom, with the increased demand for ML/ AI-related products likely to trigger its accelerated top/ bottom line growth through FY2026. Despite the inherently lower-margin manufacturing business model, we believed that there remained great long-term growth opportunities, attributed to the ramp-up in Thailand/ Malaysia operations, with us initiating a Buy rating then. Since then, ...