Latest news with #CelesticaInc
The Market Online
3 days ago
- Business
- The Market Online
How has Canada's tech industry fared in 2025?
Though it may feel longer, we are half-way through the year and Canada's technology sector is experiencing a surge in 2025. The TSX Venture Exchange is emerging as a vibrant hub for growth-stage tech companies. The latest TSX Venture 50 ranking—an annual list recognizing top-performing companies—reveals a 289 per cent increase in market capitalization across the selected firms. This growth underscores the country's rising status as a global tech powerhouse. A perfect storm for tech growth Several key factors have converged to fuel this momentum: Lower interest rates have reduced borrowing costs, enabling startups and scale-ups to invest more aggressively in innovation and expansion. have reduced borrowing costs, enabling startups and scale-ups to invest more aggressively in innovation and expansion. Increased venture capital investment has poured into Canadian tech, with both domestic and international investors seeking high-growth opportunities. has poured into Canadian tech, with both domestic and international investors seeking high-growth opportunities. Government support, including tax incentives and innovation grants, has further bolstered the ecosystem, making Canada an attractive destination for tech IPOs. Standout performers in 2025 Among the many success stories, three companies have distinguished themselves with exceptional performance and innovation: Kraken Robotics Inc. (TSXV:PNG), a marine technology company specializing in advanced sonar and underwater robotics, has seen its market capitalization skyrocket by 437 per cent in 2024. The company's cutting-edge solutions for ocean exploration, defense, and offshore energy have attracted significant attention from global clients and investors alike. Kraken's success reflects the growing demand for marine tech in a world increasingly focused on sustainable resource management and maritime security. The company recently reported its revenue in Q1 2025 had decreased 23 per cent to C$16.1 million, but CEO Greg Reid said in a news release that the company expects financial results to improve throughout the year. Though down 9.45 per cent since the year began, its stock has risen 149.00 per cent since this time last year. 2. Kinaxis – Supply chain intelligence on the rise Kinaxis Inc. (TSX:KXS), a leader in supply chain management software, has posted a 15 per cent gain since the start of 2025. As global supply chains continue to face disruptions and complexity, Kinaxis's AI-driven platform has become indispensable for companies seeking agility and resilience. The firm's steady growth highlights the enduring value of digital transformation in logistics and operations. 3. Celestica Inc. – Leading the pack Finishing off the TSX's 'best tech stocks' list, Celestica Inc. (TSX:CLS) has climbed 23.57 per cent year-to-date and is at the top of the TSX tech list. Known for its expertise in hardware platform solutions and advanced manufacturing, Celestica has capitalized on the growing demand for electronics in sectors ranging from aerospace to healthcare. Its strong performance is a testament to the company's strategic positioning and operational excellence. With a supportive economic environment and a robust pipeline of innovation, Canada's tech industry is in a solid position for continued growth. The TSX Venture Exchange is not just a launchpad for emerging companies—it's becoming a beacon for global tech investors seeking the next big opportunity. As 2025 unfolds, investor eyes will be on Canada's tech scene, where ambition meets opportunity and innovation drives prosperity. Join the discussion: Find out what everybody's saying about this stock on the Technology Bullboards, and check out the rest of Stockhouse's stock forums and message boards. The material provided in this article is for information only and should not be treated as investment advice. For full disclaimer information, please click here.
Yahoo
30-05-2025
- Business
- Yahoo
With 75% ownership, Celestica Inc. (TSE:CLS) boasts of strong institutional backing
Institutions' substantial holdings in Celestica implies that they have significant influence over the company's share price The top 25 shareholders own 44% of the company Using data from analyst forecasts alongside ownership research, one can better assess the future performance of a company This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. Every investor in Celestica Inc. (TSE:CLS) should be aware of the most powerful shareholder groups. We can see that institutions own the lion's share in the company with 75% ownership. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn). Because institutional owners have a huge pool of resources and liquidity, their investing decisions tend to carry a great deal of weight, especially with individual investors. As a result, a sizeable amount of institutional money invested in a firm is generally viewed as a positive attribute. Let's take a closer look to see what the different types of shareholders can tell us about Celestica. View our latest analysis for Celestica Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing. Celestica already has institutions on the share registry. Indeed, they own a respectable stake in the company. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Celestica, (below). Of course, keep in mind that there are other factors to consider, too. Institutional investors own over 50% of the company, so together than can probably strongly influence board decisions. Celestica is not owned by hedge funds. The company's largest shareholder is FMR LLC, with ownership of 7.4%. With 6.0% and 3.9% of the shares outstanding respectively, Whale Rock Capital Management LLC and The Vanguard Group, Inc. are the second and third largest shareholders. Our studies suggest that the top 25 shareholders collectively control less than half of the company's shares, meaning that the company's shares are widely disseminated and there is no dominant shareholder. While it makes sense to study institutional ownership data for a company, it also makes sense to study analyst sentiments to know which way the wind is blowing. Quite a few analysts cover the stock, so you could look into forecast growth quite easily. While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it. Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group. Our most recent data indicates that insiders own less than 1% of Celestica Inc.. Being so large, we would not expect insiders to own a large proportion of the stock. Collectively, they own CA$98m of stock. Arguably recent buying and selling is just as important to consider. You can click here to see if insiders have been buying or selling. The general public-- including retail investors -- own 25% stake in the company, and hence can't easily be ignored. While this size of ownership may not be enough to sway a policy decision in their favour, they can still make a collective impact on company policies. It's always worth thinking about the different groups who own shares in a company. But to understand Celestica better, we need to consider many other factors. Many find it useful to take an in depth look at how a company has performed in the past. You can access this detailed graph of past earnings, revenue and cash flow. If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
29-05-2025
- Business
- Yahoo
Argus Analyst Sees Celestica Inc. (NYSE:CLS) Benefiting From Diversification and AI Trends
Argus analyst Jim Kelleher recently lowered the price target on Celestica Inc. (NYSE:CLS) to $120 from $150 but kept a Buy rating on the shares after its Q1 earnings and revenue beat. CLS offers a range of product manufacturing and related supply chain services. In an investor note, the analyst noted that the company was benefiting from a portfolio diversification strategy focusing on high-growth, high-margin businesses as well as from trends in artificial intelligence and machine learning. Argus added that while shares had weakened on rotation away from companies who were participating in the generative AI revolution, the company's demand fundamentals appeared intact and margins were expanding. A close-up of a circuit board with components depicting the intricate electronic componentry products the company produces. During the latest earnings disclosure, the firm raised the full-year 2025 revenue outlook to $10.85 billion, reflecting 12% year-over-year growth, and increased the adjusted EPS target to $5.00. For Q2 2025, revenue is projected between $2.575 billion and $2.725 billion, with adjusted EPS guidance of $1.17 to $1.27. The adjusted operating margin is expected to reach 7.2% at the midpoint. While we acknowledge the potential of CLS, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CLS and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 33 Most Important AI Companies You Should Pay Attention To and 30 Best AI Stocks to Buy According to Billionaires Disclosure: None. Sign in to access your portfolio
Yahoo
05-05-2025
- Business
- Yahoo
Is Celestica Inc. (CLS) A Hidden AI Stock to Buy Right Now?
We recently published a list of the 11 Hidden AI Stocks to Buy Right Now. In this article, we are going to take a look at where Celestica Inc. (NYSE:CLS) stands against other hidden AI stocks. David Grain, Founder & CEO of Grain Management, joined CNBC on May 1 to discuss the AI-driven demand for data centers and tariff uncertainty. The main concerns regarding tariffs are the potential impact on costs, the resilience of supply chains, and the overall effect on business operations and their expansion. He also shared his perspective on why investors are still confident in the broadband and digital infrastructure sector. He characterized broadband as universally essential and emphasised that the demand for faster connectivity has not slowed, which is why the regulatory support for broadband expansion is globally robust. Grain noted that the administration has also met expectations for lighter regulation in the infrastructure sector, which makes it easier to advance projects and close deals. He described the admin's stance as pro-growth and supportive of secure and competitive networks. Grain also observed that infrastructure, especially broadband, is an area where there is bipartisan support, given its positive impact on economic growth at both the state and local levels. DeepSeek's announcement was also followed by reports that suggested that some companies might be pulling back on data center spending. However, the latest earnings reports appeared to settle at least this debate and confirmed that the investments in this sector were still ongoing. David Grain elaborated on the current trends in data center investments and also stated that the demand for data centers is rising due to the increasing expansion of AI, as it requires vast amounts of computing power. He explained that while the demand here is not slowing, the feasibility of building new data centers is still influenced by the availability of reliable and high-capacity electricity. We sifted through financial media reports to compile a list of the top hidden AI stocks with AI-related operations and opportunities. We then selected the 11 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q4 2024. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A close-up of a circuit board with components depicting the intricate electronic componentry products the company produces. Number of Hedge Fund Holders: 44 Celestica Inc. (NYSE:CLS) provides supply chain solutions in North America, Europe, and Asia. It operates through two segments: Advanced Technology Solutions and Connectivity & Cloud Solutions. The company is riding the AI wave through business in AI/ML servers, 1.6 Terabyte switches, and advanced liquid cooling systems. On February 21, JPMorgan initiated coverage of the stock with an Overweight rating and a $166 price target. The firm believes that Celestica would benefit from AI infrastructure investments, particularly in custom ASIC servers and white box switches, due to ties with major hyperscalers. The hyperscaler data center segment within Celestica's CCS (Cloud and Connectivity Solutions) division drove the division's revenue to improve by 28% year-over-year in Q1 2025, which totaled $1.84 billion. The communications end market, which largely serves these hyperscalers, saw an 87% revenue increase as well. Within the CCS segment, the demand for HPS revenue grew by 99% in Q1, reaching just over $1 billion and accounting for 39% of the company's total revenue. This growth also came from hyperscalers' demand for Celestica's 400G networking switches and the ramp-up of newer 800G switch programs. Renaissance International Small Cap Strategy stated the following regarding Celestica Inc. (NYSE:CLS) in its Q4 2024 investor letter: 'The top contributor to our portfolio performance during the quarter was Celestica Inc. (NYSE:CLS) (Canada), as the provider of electronic manufacturing services benefits from ongoing investments in AI infrastructure and high-bandwidth networking solutions. Celestica is well positioned to capitalize on emerging opportunities in next-generation data centers and networking technologies.' Overall, CLS ranks 8th on our list of the hidden AI stocks to buy right now. While we acknowledge the growth potential of CLS, our conviction lies in the belief that AI stocks hold great promise for delivering high returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than CLS but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
19-04-2025
- Business
- Yahoo
Celestica Inc. (CLS): Among the Best Electronic Components Stocks to Buy Now
We recently compiled a list of the 10 Best Electronic Components Stocks to Buy Now. In this article, we are going to take a look at where Celestica Inc. (NYSE:CLS) stands against the other electronic components stocks. President Trump recently exempted smartphones, computers, and many other electronic and tech devices and components from his reciprocal tariffs. A new guidance from US Customs and Border Protection that was issued on Friday, April 11 came after Trump had imposed 145% tariffs on products from China. The guidance also includes exemptions for semiconductors, solar cells, flat panel TV displays, flash drives, and memory cards. READ ALSO: 14 Best American Tech Stocks To Buy Now and 10 Best EV Stocks to Buy Under $50. The White House explained that these exemptions were made because President Trump wants to give companies time to move their production and manufacturing to the US. On Sunday, April 13, US Commerce Secretary Howard Lutnick pointed out that these electronics and components would soon be covered under new tariffs. President Trump also said on social media that these products will receive no exceptions. According to a Federal Register notice put online, the US Commerce Department started a national security investigation into imports of semiconductor technology and related products. The official document calls for public comments on the investigation with the comment period stated to end on May 7, 2025. This further confirms that chips and the electronic supply chain are not to be excluded from President Donald Trump's tariff plans. The investigation covers a wide variety of items. These include chip components like silicon wafers, equipment used to make chips, and 'downstream products that contain semiconductors.' Semiconductors play a crucial role in various modern electronic devices and this investigation could have a big impact on the tech and electronics industries. To compile our list of the 10 best electronic components stocks to buy now, we used stock screeners from Finviz and Yahoo Finance to find the largest electronic components companies. We sorted our results based on market capitalization and picked the top 25 electronic components stocks. We also reviewed our own rankings, financial media reports, and various online resources to compile a list of the best electronic components stocks. Next, we focused on the 10 stocks most favored by institutional investors. Data for the hedge fund sentiment surrounding each stock was taken from Insider Monkey's Q4 2024 database of more than 1,000 elite hedge funds. Finally, the 10 best electronic components stocks to buy now were ranked in ascending order based on the number of hedge funds holding stakes in them as of Q4 2024. Why do we care about what hedge funds do? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here). A close-up of a circuit board with components depicting the intricate electronic componentry products the company produces. Number of Hedge Fund Holders: 44 Celestica Inc. (NYSE:CLS) is a global electronics manufacturing services (EMS) company that is based in Canada. The company specializes in design, manufacturing, hardware platform, and supply chain solutions to deliver end-to-end product lifecycle solutions for various industries, including technology, aerospace, industrial, and healthcare. The company offers off-the-shelf or customized solutions for networking, storage and computing. Celestica Inc. (NYSE:CLS) ranks among the best electronic components stocks to buy now. The company is riding the AI wave through its AI/ML compute business and the current robust demand environment for data center hardware. The company has recently won a 1.6 Terabyte switching program with a major hyperscaler customer and an HPS Full Rack AI System program award. Rob Milonis, the CEO of the firm, stated during the company's Q4 2024 earnings call that increased AI accessibility is expected to drive demand for networking solutions and pointed out that networking plays a crucial role in scaling AI systems, transporting data, training, and inference. Renaissance Investment Management, an investment management company, stated the following regarding Celestica Inc. (NYSE:CLS) in its Q4 2024 'International Small Cap Strategy' : 'The top contributor to our portfolio performance during the quarter was Celestica Inc. (NYSE:CLS) (Canada), as the provider of electronic manufacturing services benefits from ongoing investments in AI infrastructure and high-bandwidth networking solutions. Celestica is well positioned to capitalize on emerging opportunities in next-generation data centers and networking technologies.' Overall, CLS ranks 6th on our list of the best electronic components stocks to buy now. While we acknowledge the potential of CLS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than CLS but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
