Group 1 - Celestica (CLS) is a stock that has significantly outperformed its peers in the Computer and Technology sector, with a year-to-date return of approximately 35.5% compared to the sector average of 1.8% [4] - The Zacks Rank for Celestica is currently 1 (Strong Buy), indicating a favorable outlook based on earnings estimate revisions and improving earnings prospects [3] - Over the past 90 days, the Zacks Consensus Estimate for Celestica's full-year earnings has increased by 7.8%, reflecting positive analyst sentiment [4] Group 2 - Celestica operates within the Electronics - Manufacturing Services industry, which consists of 4 companies and holds a Zacks Industry Rank of 4 [6] - The average return for stocks in the Electronics - Manufacturing Services industry this year is 17.4%, further highlighting Celestica's strong performance [6] - Anterix (ATEX), another stock in the Computer and Technology sector, has also shown strong performance with a year-to-date return of 31.7% and a Zacks Rank of 2 (Buy) [5][7]

Market Overview - Wall Street has experienced a solid bull run over the last 26 months, with several stocks significantly appreciating in value over the past year. The bull run is expected to continue into 2025 despite some fluctuations in U.S. stock markets [1] - Non-U.S. stocks traded in U.S. markets have also seen substantial gains during this period, with some stocks benefiting from strong revenues and positive earnings estimate revisions [1] Selected Stocks - Five stocks with favorable Zacks Rank have been identified: Celestica Inc. (CLS), Atlassian Corp. (TEAM), Spotify Technology S.A. (SPOT), Sportradar Group AG (SRAD), and Logitech International S.A. (LOGI) [2][3] Celestica Inc. (CLS) - Celestica is a leading electronics manufacturing services company, providing solutions for printed circuit assembly and system assembly [5] - For 2025, the Zacks Consensus Estimate projects revenues of $10.71 billion, reflecting an 11% year-over-year increase, and earnings per share (EPS) of $4.75, indicating a 22.4% year-over-year increase. Current-year earnings estimates have improved by 7.7% in the last 30 days [7] - The 2026 estimates show a year-over-year increase of 16.4% for revenues and 19.3% for EPS [8] Atlassian Corp. (TEAM) - Atlassian is benefiting from the rising demand for remote working tools and has seen a 25-fold increase in AI interactions year-over-year [9][10] - The Zacks Consensus Estimate for the current year (ending June 2025) indicates revenues of $5.17 billion, an 18.6% year-over-year increase, and EPS of $3.45, a 17.8% year-over-year increase. Current-year earnings estimates have improved by 8.2% in the last 30 days [12] - For the next year (ending June 2026), the estimates indicate a 19.1% increase in revenues and a 21% increase in EPS [13] Spotify Technology S.A. (SPOT) - Spotify provides audio streaming services globally, with a significant increase in Monthly Active Users (MAUs) reported [15][17] - The Zacks Consensus Estimate for 2025 shows revenues of $18.83 billion, an 11.1% year-over-year increase, and EPS of $10.30, a 73.1% year-over-year increase. Current-year earnings estimates have improved by 17.7% in the last 30 days [18] - For 2026, the estimates indicate a 14.8% increase in revenues and a 27.2% increase in EPS [19] Sportradar Group AG (SRAD) - Sportradar provides sports data services for the sports betting and media industries, offering critical software and data solutions [21][22] - The Zacks Consensus Estimate for 2025 indicates revenues of $1.31 billion, a 15.7% year-over-year increase, and EPS of $0.29, a 94.5% year-over-year increase. Current-year earnings estimates have improved by 17.7% in the last 30 days [24] Logitech International S.A. (LOGI) - Logitech has experienced four consecutive quarters of year-over-year sales growth, driven by rising hybrid work trends [26] - The Zacks Consensus Estimate for fiscal 2025 shows revenues of $4.56 billion, a 6.1% year-over-year increase, and EPS of $4.77, a 12.2% year-over-year increase. Current-year earnings estimates have improved by 0.9% in the last seven days [28] - For fiscal 2026, the estimates indicate a 3.1% increase in revenues and a 3.9% increase in EPS [29]

Core Insights - Celestica Inc. (CLS) has experienced a stock price increase of over 147.3% in the past six months, significantly outperforming the industry average of 67.4% [1] - The company is positioned as a key player in the AI revolution, leveraging its manufacturing experience to provide advanced data storage and networking solutions [2] Growth Drivers - The demand for AI/ML compute and networking products from hyperscale customers has been a primary growth driver for Celestica, particularly through its high-performance 800G network switches and scalable storage solutions [3][4] - The integration of next-generation networking products with silicon photonics packaging aims to optimize supply chain solutions and enhance data center capabilities [4][6] Capacity Expansion - Celestica is expanding its production capacity with over 100,000 square feet in Thailand and an additional 80,000 square feet in Malaysia to meet the growing demand for AI-enabled products [7] Financial Performance - In Q4 2024, Celestica reported adjusted earnings of $1.11 per share on revenues of $2.55 billion, marking a 19% year-over-year increase [8] - For 2024, revenues are projected to grow by 21% year-over-year to $9.65 billion, with adjusted earnings rising 58% to $3.88 per share [8] Future Outlook - The company anticipates 2025 revenues to reach approximately $10.7 billion, an increase from the previous estimate of $10.4 billion, with adjusted earnings expected to be $4.75 per share [9] - Earnings estimates for 2025 have increased by 42.2% to $3.65, indicating strong growth potential [10] Industry Position - Celestica's investments in silicon photonics are expected to open new applications across various industries, including automotive, telecommunications, and aerospace [14] - The company has a trailing four-quarter average earnings surprise of 10.3% and holds a Zacks Rank 1 (Strong Buy), suggesting strong potential for stock price appreciation [15]

Market Overview - The U.S. stock market continued its rally into early 2025, following a strong performance in 2024, despite concerns over trade policies and inflation [1] - Investors remained optimistic due to solid fourth-quarter earnings, although mixed economic data and a hawkish Fed stance on interest rate cuts added uncertainty [1] - Geopolitical tensions in the Middle East and Europe further clouded the market outlook [1] Investment Strategy - Relative price strength is highlighted as a valuable strategy for investors, focusing on stocks that outperform the broader market to sustain momentum [2] - Stocks like EnerSys (ENS), Pacira BioSciences (PCRX), Celestica Inc. (CLS), and Enova International (ENVA) are recommended based on their relative price strength [2] Screening Parameters - Stocks are screened based on relative price changes over 12 weeks, 4 weeks, and 1 week, with a focus on those outperforming the S&P 500 [7] - Positive current-quarter estimate revisions over the last four weeks are also considered to identify stocks with potential upside [7][6] Company Highlights - **EnerSys (ENS)**: Expected EPS growth rate of 18% for three to five years, compared to the industry's 12.3%. The Zacks Consensus Estimate for fiscal 2025 indicates 18.7% year-over-year growth, with shares gaining 12.6% in a year [10][11] - **Pacira BioSciences (PCRX)**: Market capitalization of $1.2 billion, with a trailing four-quarter earnings surprise of approximately 7.1%. The Zacks Consensus Estimate for 2025 earnings indicates 6.5% year-over-year growth, although shares have decreased by 13% in a year [12][13] - **Celestica Inc. (CLS)**: Zacks Consensus Estimate for 2025 earnings indicates 22.4% growth, with shares rising 240.6% in a year [14][15] - **Enova International (ENVA)**: Market capitalization of $3 billion, with a Zacks Consensus Estimate for 2025 earnings indicating 23.8% growth. Shares have surged 98.9% in a year [16][17]

I've written quite a few articles on Celestica (NYSE: CLS ). The last one, I rated the company a strong buy. With Q4 2024 earnings in the rearview mirror, I'm adjusting that to a buy. Although, that's a notch lower, thisBram de Haas brings 15 years of investing experience to the table and has over 5 years of experience managing a Euro hedge fund. He is also a former professional poker player and utilizes his bundle of risk management skills to uncover lucrative investments based on special situations.Analys ...

A few weeks ago, I analyzed the SA Quant Top 10 for 2025 from the SA Quant team as if it were an ETF. I then began to look at each company in greater depth, starting withExperience is difficult to learn. After 30 plus years of critically analyzing the nuts and bolts of businesses as diverse as airlines, oil, retail, mining to fintech and ecommerce plus the macro, monetary and political drivers. I continue to immensely enjoy learning and applying my experience to unravel, comprehend and benefit from new idea ...

Celestica (CLS) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company.The rising trend in estimate revisions, which is a result of growing analyst optimism on the earnings prospects of this electronics manufacturing services company, should get reflected in its stock price. After all, empirical research shows a strong correl ...

Here are three stocks with buy rank and strong momentum characteristics for investors to consider today, February 4th:Celestica (CLS) : This company which is one of the largest electronics manufacturing services company in the world, serving the computer, and communications sectors, has a Zacks Rank #1(Strong Buy), and witnessed the Zacks Consensus Estimate for its current year earnings increasing 7% over the last 60 days.Celestica’s shares gained 67.1% over the last three month compared with the S&P 500’s ...

Celestica (NYSE: CLS ) (TSX: CLS:CA ) has played out as per my expectations with a solid outperformance vs the S&P 500 ( SPY ) ( SPX ) ( IVV ) ( VOO ) since my last update on the stock:Providing alpha-generating investment ideas. I am an independent investor managing my family's portfolio, primarily via a Self Managed Super Fund. You can expect my articles to deliver a clearly structured, evidence-based thesis. But first and foremost, I encourage readers to judge me on my performance.I have a generalist app ...

I am a full-time analyst interested in a wide range of stocks. With my unique insights and knowledge, I hope to provide other investors with a contrasting view of my portfolio, given my particular background.If you have any questions, feel free to reach out to me via a direct message on Seeking Alpha or leave a comment on one of my articles.Analyst’s Disclosure: I/we have a beneficial long position in the shares of TSM, ASML, MSFT, META either through stock ownership, options, or other derivatives. I wrote ...