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CELESTICA INC (CLS) Stock Fundamental Analysis

NYSE:CLS - New York Stock Exchange, Inc. - CA15101Q2071 - Common Stock - Currency: USD

154.9  +5.99 (+4.02%)

After market: 155 +0.1 (+0.06%)

Fundamental Rating

6

CLS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 125 industry peers in the Electronic Equipment, Instruments & Components industry. While CLS belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. CLS is valued quite expensive, but it does show an excellent growth. These ratings would make CLS suitable for growth investing!


Dividend Valuation Growth Profitability Health

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8

1. Profitability

1.1 Basic Checks

In the past year CLS was profitable.
CLS had a positive operating cash flow in the past year.
Each year in the past 5 years CLS has been profitable.
Each year in the past 5 years CLS had a positive operating cash flow.
CLS Yearly Net Income VS EBIT VS OCF VS FCFCLS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M

1.2 Ratios

With an excellent Return On Assets value of 7.24%, CLS belongs to the best of the industry, outperforming 88.00% of the companies in the same industry.
Looking at the Return On Equity, with a value of 27.13%, CLS belongs to the top of the industry, outperforming 92.80% of the companies in the same industry.
CLS has a Return On Invested Capital of 17.26%. This is amongst the best in the industry. CLS outperforms 94.40% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CLS is above the industry average of 9.30%.
The 3 year average ROIC (11.43%) for CLS is below the current ROIC(17.26%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 7.24%
ROE 27.13%
ROIC 17.26%
ROA(3y)4.63%
ROA(5y)3.55%
ROE(3y)15.02%
ROE(5y)11.3%
ROIC(3y)11.43%
ROIC(5y)8.93%
CLS Yearly ROA, ROE, ROICCLS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20

1.3 Margins

The Profit Margin of CLS (4.19%) is better than 71.20% of its industry peers.
CLS's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 5.94%, CLS is in the better half of the industry, outperforming 70.40% of the companies in the same industry.
In the last couple of years the Operating Margin of CLS has grown nicely.
The Gross Margin of CLS (10.76%) is worse than 77.60% of its industry peers.
In the last couple of years the Gross Margin of CLS has grown nicely.
Industry RankSector Rank
OM 5.94%
PM (TTM) 4.19%
GM 10.76%
OM growth 3Y24.27%
OM growth 5Y29.03%
PM growth 3Y34%
PM growth 5Y30.13%
GM growth 3Y8.03%
GM growth 5Y10.39%
CLS Yearly Profit, Operating, Gross MarginsCLS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

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5

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CLS is creating value.
Compared to 1 year ago, CLS has less shares outstanding
The number of shares outstanding for CLS has been reduced compared to 5 years ago.
CLS has a worse debt/assets ratio than last year.
CLS Yearly Shares OutstandingCLS Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M
CLS Yearly Total Debt VS Total AssetsCLS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

2.2 Solvency

CLS has an Altman-Z score of 4.67. This indicates that CLS is financially healthy and has little risk of bankruptcy at the moment.
CLS has a Altman-Z score of 4.67. This is in the better half of the industry: CLS outperforms 73.60% of its industry peers.
CLS has a debt to FCF ratio of 3.08. This is a good value and a sign of high solvency as CLS would need 3.08 years to pay back of all of its debts.
The Debt to FCF ratio of CLS (3.08) is better than 69.60% of its industry peers.
CLS has a Debt/Equity ratio of 0.59. This is a neutral value indicating CLS is somewhat dependend on debt financing.
The Debt to Equity ratio of CLS (0.59) is worse than 78.40% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.59
Debt/FCF 3.08
Altman-Z 4.67
ROIC/WACC2.22
WACC7.78%
CLS Yearly LT Debt VS Equity VS FCFCLS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B

2.3 Liquidity

A Current Ratio of 1.43 indicates that CLS should not have too much problems paying its short term obligations.
CLS has a worse Current ratio (1.43) than 77.60% of its industry peers.
CLS has a Quick Ratio of 1.43. This is a bad value and indicates that CLS is not financially healthy enough and could expect problems in meeting its short term obligations.
CLS's Quick ratio of 0.85 is on the low side compared to the rest of the industry. CLS is outperformed by 85.60% of its industry peers.
Industry RankSector Rank
Current Ratio 1.43
Quick Ratio 0.85
CLS Yearly Current Assets VS Current LiabilitesCLS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

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8

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 51.06% over the past year.
The Earnings Per Share has been growing by 48.11% on average over the past years. This is a very strong growth
Looking at the last year, CLS shows a very strong growth in Revenue. The Revenue has grown by 21.05%.
Measured over the past years, CLS shows a quite strong growth in Revenue. The Revenue has been growing by 10.38% on average per year.
EPS 1Y (TTM)51.06%
EPS 3Y44.1%
EPS 5Y48.11%
EPS Q2Q%39.53%
Revenue 1Y (TTM)21.05%
Revenue growth 3Y19.63%
Revenue growth 5Y10.38%
Sales Q2Q%19.91%

3.2 Future

Based on estimates for the next years, CLS will show a very strong growth in Earnings Per Share. The EPS will grow by 24.42% on average per year.
The Revenue is expected to grow by 13.65% on average over the next years. This is quite good.
EPS Next Y23.72%
EPS Next 2Y21.86%
EPS Next 3Y22.07%
EPS Next 5Y24.42%
Revenue Next Year13.28%
Revenue Next 2Y15.04%
Revenue Next 3Y13.65%
Revenue Next 5YN/A

3.3 Evolution

The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
CLS Yearly Revenue VS EstimatesCLS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 5B 10B
CLS Yearly EPS VS EstimatesCLS Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6 8

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3

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 36.36 indicates a quite expensive valuation of CLS.
The rest of the industry has a similar Price/Earnings ratio as CLS.
When comparing the Price/Earnings ratio of CLS to the average of the S&P500 Index (27.28), we can say CLS is valued slightly more expensively.
CLS is valuated quite expensively with a Price/Forward Earnings ratio of 26.61.
The rest of the industry has a similar Price/Forward Earnings ratio as CLS.
CLS is valuated rather expensively when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 36.36
Fwd PE 26.61
CLS Price Earnings VS Forward Price EarningsCLS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

The rest of the industry has a similar Enterprise Value to EBITDA ratio as CLS.
CLS's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 58.52
EV/EBITDA 23.97
CLS Per share dataCLS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80

4.3 Compensation for Growth

CLS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CLS has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CLS's earnings are expected to grow with 22.07% in the coming years.
PEG (NY)1.53
PEG (5Y)0.76
EPS Next 2Y21.86%
EPS Next 3Y22.07%

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0

5. Dividend

5.1 Amount

No dividends for CLS!.
Industry RankSector Rank
Dividend Yield N/A

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CELESTICA INC

NYSE:CLS (7/2/2025, 8:26:53 PM)

After market: 155 +0.1 (+0.06%)

154.9

+5.99 (+4.02%)

Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)04-24 2025-04-24/amc
Earnings (Next)07-22 2025-07-22/amc
Inst Owners76.87%
Inst Owner Change-0.74%
Ins Owners0.53%
Ins Owner Change25.26%
Market Cap17.90B
Analysts82.5
Price Target100.62 (-35.04%)
Short Float %3.53%
Short Ratio1.08
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.3%
Min EPS beat(2)1.95%
Max EPS beat(2)6.65%
EPS beat(4)4
Avg EPS beat(4)7.48%
Min EPS beat(4)1.95%
Max EPS beat(4)10.78%
EPS beat(8)8
Avg EPS beat(8)10.16%
EPS beat(12)12
Avg EPS beat(12)8.62%
EPS beat(16)16
Avg EPS beat(16)9.76%
Revenue beat(2)1
Avg Revenue beat(2)0.87%
Min Revenue beat(2)-0.75%
Max Revenue beat(2)2.5%
Revenue beat(4)3
Avg Revenue beat(4)2.38%
Min Revenue beat(4)-0.75%
Max Revenue beat(4)5.37%
Revenue beat(8)7
Avg Revenue beat(8)2.81%
Revenue beat(12)11
Avg Revenue beat(12)3.1%
Revenue beat(16)13
Avg Revenue beat(16)2.59%
PT rev (1m)6.02%
PT rev (3m)-4.16%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.27%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.24%
Valuation
Industry RankSector Rank
PE 36.36
Fwd PE 26.61
P/S 1.77
P/FCF 58.52
P/OCF 37.84
P/B 11.5
P/tB 19.48
EV/EBITDA 23.97
EPS(TTM)4.26
EY2.75%
EPS(NY)5.82
Fwd EY3.76%
FCF(TTM)2.65
FCFY1.71%
OCF(TTM)4.09
OCFY2.64%
SpS87.28
BVpS13.47
TBVpS7.95
PEG (NY)1.53
PEG (5Y)0.76
Profitability
Industry RankSector Rank
ROA 7.24%
ROE 27.13%
ROCE 21.53%
ROIC 17.26%
ROICexc 19.37%
ROICexgc 26.09%
OM 5.94%
PM (TTM) 4.19%
GM 10.76%
FCFM 3.03%
ROA(3y)4.63%
ROA(5y)3.55%
ROE(3y)15.02%
ROE(5y)11.3%
ROIC(3y)11.43%
ROIC(5y)8.93%
ROICexc(3y)13.32%
ROICexc(5y)10.55%
ROICexgc(3y)18.44%
ROICexgc(5y)14.81%
ROCE(3y)14.26%
ROCE(5y)11.14%
ROICexcg growth 3Y31.4%
ROICexcg growth 5Y28.76%
ROICexc growth 3Y37.65%
ROICexc growth 5Y29.81%
OM growth 3Y24.27%
OM growth 5Y29.03%
PM growth 3Y34%
PM growth 5Y30.13%
GM growth 3Y8.03%
GM growth 5Y10.39%
F-Score8
Asset Turnover1.73
Health
Industry RankSector Rank
Debt/Equity 0.59
Debt/FCF 3.08
Debt/EBITDA 1.23
Cap/Depr 114.76%
Cap/Sales 1.66%
Interest Coverage 11.11
Cash Conversion 63.55%
Profit Quality 72.42%
Current Ratio 1.43
Quick Ratio 0.85
Altman-Z 4.67
F-Score8
WACC7.78%
ROIC/WACC2.22
Cap/Depr(3y)94.48%
Cap/Depr(5y)73.42%
Cap/Sales(3y)1.62%
Cap/Sales(5y)1.34%
Profit Quality(3y)94.3%
Profit Quality(5y)151.44%
High Growth Momentum
Growth
EPS 1Y (TTM)51.06%
EPS 3Y44.1%
EPS 5Y48.11%
EPS Q2Q%39.53%
EPS Next Y23.72%
EPS Next 2Y21.86%
EPS Next 3Y22.07%
EPS Next 5Y24.42%
Revenue 1Y (TTM)21.05%
Revenue growth 3Y19.63%
Revenue growth 5Y10.38%
Sales Q2Q%19.91%
Revenue Next Year13.28%
Revenue Next 2Y15.04%
Revenue Next 3Y13.65%
Revenue Next 5YN/A
EBIT growth 1Y32.3%
EBIT growth 3Y48.65%
EBIT growth 5Y42.42%
EBIT Next Year45.93%
EBIT Next 3Y22.4%
EBIT Next 5YN/A
FCF growth 1Y46.22%
FCF growth 3Y20.17%
FCF growth 5Y2.76%
OCF growth 1Y41.27%
OCF growth 3Y27.84%
OCF growth 5Y6.55%