Celestica stock soars to all-time high of $93.32

Published 06/12/2024, 15:36
Celestica stock soars to all-time high of $93.32

Celestica Inc . (NYSE:CLS) has reached an unprecedented milestone, with its stock price soaring to an all-time high of $93.32, pushing its market capitalization to $10.8 billion. According to InvestingPro data, this remarkable peak reflects a significant surge in the company's market value, marking a 256% increase over the past year. The company maintains a "GREAT" financial health score, though technical indicators suggest the stock is currently in overbought territory. Investors have shown growing confidence in Celestica (TSX:CLS)'s performance and future prospects, with eight analysts recently revising earnings expectations upward. The stock's momentum is reflected in impressive gains across multiple timeframes, including a 75% surge in the past six months. The 52-week data showcases the company's strong momentum in a competitive industry, as Celestica continues to innovate and expand its market presence. Discover 16 additional key insights about CLS and access comprehensive analysis through the Pro Research Report, available exclusively on InvestingPro.

In other recent news, Celestica has been the focus of several analysts' notes with mixed perspectives. UBS initiated coverage on Celestica with a Neutral rating, citing a balanced outlook due to strong AI investments and valuation concerns. The firm expects a recovery in the Advanced Technology Solutions sector and solid growth in HealthTech, contributing to Celestica's growth. However, UBS advises caution due to the current share price potentially factoring in significant growth expectations.

Celestica also reported strong third-quarter performance for 2024, leading BMO Capital Markets and RBC Capital to raise their stock price targets to $72 and $75, respectively. Both firms maintained an Outperform rating, attributing the positive results to the company's Communications and Enterprise segment, particularly the switching business. In addition, Celestica launched its new DS4100 data center switch, addressing the growing demands of AI/ML data center networking.

Stifel upgraded Celestica's stock from Hold to Buy, maintaining a price target of $58.00. However, a CIBC (TSX:CM) analyst downgraded Celestica to Neutral, despite raising the stock price target, due to potential slower growth in the Enterprise segment. In another move to support growth initiatives, Celestica expanded its senior secured credit agreement to $1.5 billion. These recent developments provide investors with insights into Celestica's financial performance and analyst perspectives.

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