Key Highlights:
- Celestica (CLS, Financial) is expected to report a significant increase in first-quarter earnings and revenue.
- Analysts foresee substantial upside potential with a one-year target price of $128.86.
- Despite positive recommendations, GuruFocus estimates suggest a potential downside based on GF Value.
Anticipated Financial Performance
Celestica Inc. (CLS) is poised to release its first-quarter financial results on April 24th after the markets close. Analysts are optimistic, predicting a notable 30.2% year-over-year increase in earnings per share (EPS) to $1.12. Revenue is also expected to surge by 15.8% to reach $2.56 billion. This optimism is backed by Celestica’s strong track record of exceeding earnings and revenue expectations over the past two years.
Wall Street Analysts' Projections
According to projections from 12 analysts, the average one-year price target for Celestica Inc. (CLS, Financial) stands at $128.86. This includes a high estimate of $160.00 and a low estimate of $95.00. The average target implies a substantial upside of 46.12% from the current trading price of $88.19. For a more detailed outlook, visit the Celestica Inc. (CLS) Forecast page.
The consensus recommendation, drawn from 14 brokerage firms, rates Celestica Inc. with an average brokerage recommendation of 1.9, signifying an "Outperform" status. This rating is derived from a scale of 1 to 5, where 1 represents a Strong Buy and 5 indicates Sell.
GuruFocus Value Analysis
Despite the optimistic analyst forecasts, GuruFocus provides a more conservative estimate. According to GuruFocus, the estimated GF Value for Celestica Inc. over the next year is $32.21. This suggests a potential downside of 63.48% from its current price of $88.19. The GF Value metric evaluates the fair price at which the stock should trade, calculated using historical multiples, business growth, and future performance prospects. For in-depth insights, check out the Celestica Inc. (CLS, Financial) Summary page.
In conclusion, while analysts offer a bright forecast for Celestica with a significant upside potential, GuruFocus' valuation model urges caution, highlighting the importance of thorough analysis when considering an investment in Celestica Inc. (CLS, Financial).
