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Celestica Inc(CLS-N)
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Chart of the Day: Celestica - Make Needed Electronic Components

Barchart - Wed Oct 4, 2023

The Chart of the Day belongs to the electronic components company Celestica (CLS) . I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart  feature to review the charts for consistent price appreciation. The Trend Seeker signaled a buy on 8/18.

CLS Price vs Daily Moving Averages

Celestica Inc. provides supply chain solutions in North America, Europe, and Asia. It operates through Advanced Technology Solutions, and Connectivity & Cloud Solutions segments. The company offers a range of product manufacturing and related supply chain services, including design and development, new product introduction, engineering services, component sourcing, electronics manufacturing and assembly, testing, complex mechanical assembly, systems integration, precision machining, order fulfillment, logistics, asset management, product licensing, and after-market repair and return services. It also provides hardware platform solutions, which includes development of infrastructure platforms, and hardware and software design solutions and services which is used as-is, or customized for specific applications; and management of program including design and supply chain, manufacturing, and after-market support. The company serves aerospace and defense, industrial, HealthTech, capital equipment, original equipment manufacturers, cloud-based, and other service providers, including hyperscalers, and other companies, as well as communication and enterprise markets including servers and storage. Celestica Inc. was incorporated in 1996 and is headquartered in Toronto, Canada.

Barchart's Opinion Trading systems are listed below. Please note that the Barchart Opinion indicators are updated live during the session every 20 minutes and can therefore change during the day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report.

Barchart Technical Indicators:

  • 100% technical buy signals
  • 152.64+ Weighted Alpha
  • 172.41% gain in the last year
  • Trend Seeker buy signal
  • Above its 20, 50 and 100 day moving averages
  • 5 new highs and up .81% in the last month
  • Relative Strength Index 57.82%
  • Technical support level at $23.32
  • Recently traded at $23.70 with 50 day moving average of $22.03

Fundamental Factors:

  • Market Cap $2.91 billion
  • P/E 11.68
  • Revenue expected to grow 8.90% this year and another 5.00% next year
  • Earning estimated to increase 19.50% this year, an additional 10.60% next year and continue compounding at an annual rate of 15.50% for the next 5 years

Analysts and Investor Sentiment -- I don't buy stocks because everyone else is buying but I do realize that if major firms and investors are dumping a stock it's hard to make money swimming against the tide:

  • Wall Street analyst gave 3 strong buy, 3 buy and 1 hold opinions on the stock
  • Analysts' price targets are  between $22 and $25 
  • The individual investors following the stock on Motley Fool voted 167 to 19 for the stock to beat the market with the more experienced investor voting 31 to 9 for the same result
  • Value Line gives the stock its above average rating of 2 
  • CFRAs MarketScope rates the stock a strong buy
  • 6,900 investors monitor the stock on Seeking Alpha

Additional disclosure: The Barchart Chart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance and reevaluate your stop losses at least on a weekly basis.


On the date of publication, Jim Van Meerten did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

Provided Content: Content provided by Barchart. The Globe and Mail was not involved, and material was not reviewed prior to publication.

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