FINWIRES · TerminalLIVE
FINWIRES

CIBC Confirms Outperformer Rating on Celestica and Raises Target to US$425 Ahead of Q1 Results

By

CIBC Capital Markets maintained its outperformer rating on the shares of Celestica (CLS.TO, CLS) and raised its price target to US$425 from US$360 ahead of its first-quarter financial results.

The bank said it continues to view management's guidance and current FactSet consensus for Q1 and 2026 "as conservative," reflecting improved visibility into capital expenditure plans at key hyperscalers (GOOGL, META, AMZN) and OpenAI. It noted that results have exceeded consensus by an average of about 5% on revenue and about 10% on earnings per share since March 2022.

It also noted that the 2025 results were about 20% higher than the initial outlook provided in October 2024. CIBC said recent announcements suggest this trend has continued and is pulling forward customer demand from 2027 into 2026, supporting its positive thesis.

CIBC's updated price target is based on a blended valuation of 32x its 2027 EPS estimate and 24x its 2027 EBITDA estimate.

"We believe this change is supported by improved visibility and is broadly consistent with higher networking and EMS peer valuations," said analyst Todd Coupland. "We raised our target multiples for Celestica to reflect improved visibility to upward revisions in AI datacentre capex spending from significantly improved model performance."

(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)

Price: $532.84, Change: $+27.72, Percent Change: +5.49%

Related Articles

Mining & Metals

Emerita Resources Receives Unsolicited, Non-binding Takeover Offer From Denarius Metals

Emerita Resources (EMO.V) after trade Monday confirmed it received an unsolicited takeover offer from Denarius Metals to acquire all of its shares at a 15% premium to their April 10 closing price, with consideration structured entirely in Denarius shares.The company said Denarius has not provided additional terms in its offer letter, stating only that it is open to discussions with Emerita and has now publicly disclosed the offer.Emerita said its board, with its advisors, will review the proposal and decide what is in the best interest of the company and its shareholders. Shareholders do not need to take any action at this time."Emerita cautions its shareholders and potential investors that the offer letter is non-binding and there can be no certainty that Denarius' offer or any other strategic transaction will be pursued by Emerita, supported by the board or ultimately completed," the company said, adding that it will provide updates as needed.The company's shares closed up $0.06 to $0.32 on the TSX Venture Exchange

$EMO.V
Mining & Metals

NorthWest Copper Brief: Raising C$10 Million in a Best-Efforts Private Placement of Common Share Units, Charity Flow-Through Units and Flow-Through Shares

$NWST.V
Mining & Metals

AGF Management Names John Porter Chief Investment Officer

AGF Management (AGF-B.TO) after trade Monday said John Porter will become chief investment officer starting May 1.As CIO, Porter will lead the firm's investment team, set strategy, and focus on performance and risk management. He will report to Chief Executive Judy Goldring and join the executive management team, the company said."We are confident his leadership will unlock new opportunities, strengthen collaboration across our investment teams, and position AGF Investments for its next phase of growth," Goldring said.Porter most recently served as CIO at Newton Investment Management, part of BNY Investments. He previously held senior roles in equity investing and U.S. growth strategies after joining the firm in 2016, according to the statement.The company's shares closed up $0.19 to $20.02 on the Toronto Stock Exchange.

$AGF-B.TO