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Why Celestica (CLS) Outpaced the Stock Market Today

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Celestica (CLS - Free Report) ended the recent trading session at $251.69, demonstrating a +2.16% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily gain of 0.34%. Elsewhere, the Dow saw an upswing of 0.09%, while the tech-heavy Nasdaq appreciated by 0.42%.

Coming into today, shares of the electronics manufacturing services company had gained 22.8% in the past month. In that same time, the Computer and Technology sector gained 8.07%, while the S&P 500 gained 3.54%.

The investment community will be paying close attention to the earnings performance of Celestica in its upcoming release. The company is slated to reveal its earnings on October 27, 2025. The company is expected to report EPS of $1.45, up 39.42% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3 billion, up 19.99% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $5.55 per share and a revenue of $11.63 billion, signifying shifts of +43.04% and +20.61%, respectively, from the last year.

Investors should also pay attention to any latest changes in analyst estimates for Celestica. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, Celestica possesses a Zacks Rank of #2 (Buy).

In terms of valuation, Celestica is currently trading at a Forward P/E ratio of 44.39. This expresses a premium compared to the average Forward P/E of 19.97 of its industry.

The Electronics - Manufacturing Services industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 42, placing it within the top 18% of over 250 industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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