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Analysts Retain Bullishness For Celestica Inc (CLS)

We recently published 10 Best Strong Buy AI Stocks to Invest In.  Celestica Inc. (NYSE:CLS) is one of the best consumer cyclical stocks.

Celestica Inc. (NYSE:CLS) is a technology company that provides contract manufacturing and other services. It factors into the AI ecosystem by providing infrastructure and other solutions that enable data center buildouts.

Investment bank Barclays kept an Overweight rating on Celestica Inc. (NYSE:CLS)’s shares on November 14th and increased the share price target to $359 from $357, The Fly reported. The share price target boost came after Citi upgraded the stock to Buy from Hold and kept its share price target at $375. Citi’s coverage came as the bank remarked that it expected hyperscaler capital expenditure to grow by more than 40% in 2026 after growing by 75% in 2025.

The upgrades came soon after Celestica Inc. (NYSE:CLS) had reported its third-quarter earnings on October 27th. The results saw the firm’s $3.19 billion in revenue and $1.58 in adjusted EPS beat analyst estimates of $3.04 billion and $1.49. Celestica Inc. (NYSE:CLS)’s shares gained as much as 10% after the results were announced, and management attributed the performance to a strong demand environment that also let the firm increase its full-year revenue guide to $12.2 billion from an earlier $11.55 billion.

Posonskyi Andrey/Shutterstock.com

During Celestica Inc. (NYSE:CLS)’s third-quarter earnings call, management discussed its insight into the strong demand environment after a question from BNP Paribas’ Karl Ackerman:

“With regard to visibility to forecast and customer demand, we currently have about 12 to 15 months of real solid forecast inputs and demand inputs from our customers, largely around their 2026 budgeting and spend commit processes. But in many cases, we have visibility beyond that. In some cases, for specific customers, specific programs. There’s a certain amount of ASICs, for example, that they may have committed to, and it gives us some assurance as to the longevity and the size of the overall program. So we do get extended visibility through being similar to that.”

While we acknowledge the risk and 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. If you are looking for an AI stock that is more promising than CLS and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.

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When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

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