Canadian investors might be confused right now, and I wouldn’t blame you. Markets around the world continue to rise, the TSX included. Yet it’s not like the days of 2018 or even 2020 when it looked like you couldn’t make a wrong investment without seeing it rise!
Those days are long gone, and it’s quite difficult to find that diamond in the rough. Yet today, there is one diamond that shines brighter than most. Specifically considering the rise in artificial intelligence (AI). Today, let’s look at why Celestica (TSX:CLS) is one tech stock that belongs in practically everyone’s portfolio, especially if you’re looking to turn $1,000 into $10,000 in the next few years.
Source: Getty Images
Why Celestica?
There are a number of reasons to consider Celestica stock, so let’s look at a few. First off, there are earnings. During the tech stock’s most recent earnings report for the second quarter of 2025, revenue surged 21% year over year to $2.89 billion. This exceeded analyst expectations as well as its own in both revenue and earnings per share (EPS).
Furthermore, Celestica stock raised its 2025 financial outlook on the strong numbers. The tech stock now expects higher revenue and earnings from strong demand, specifically from its Connectivity & Cloud Solutions segments. So, with such great earnings behind it, what’s ahead?
Looking forward
If there’s one thing Celestica is, it’s efficient. The company not only improved its operational profitability, but also its efficiency during the quarter. Generally accepted accounting principles (GAAP) rose $0.80 to $1.82, with adjusted earnings per share (EPS) hitting $1.39. And that high demand isn’t going anywhere, with communications and enterprise markets fuelling even more growth.
What’s more, there continue to be opportunities for the tech stock. The company has shown strength in design, manufacturing and supply chain solutions. And this also aligns with the needs of emerging markets. So, investors can certainly look forward to even more growth coming down the pipeline.
It’s done it before
Now, I bet you’re thinking, how do I really know that this stock could turn into $10,000 from just $1,000? It’s been done before in a fairly short period of time. Shares are now about $290 each. That would mean investors today would have needed to purchase about 35 shares to hold $10,000 today. With a $1,000 investment, that would mean buying at about $28.60 per share, which happened almost exactly two years ago in 2023!
While it’s unlikely that shares will surge by 910% again over the next two years, there is still plenty there for investors to look forward to. Even if it takes double that time, even triple, that’s only six years to wait to turn $1,000 into $10,000 at today’s prices.
Bottom line
Celestica is a strong investment for a number of reasons. The company recently reported strong financial results, but also an optimistic outlook for investors. At a time when it can be unclear where to invest, Celestica stock gives investors a safe and stable option that also provides exciting growth opportunities.
Of course, investors should also do their own research and consider that the lack of dividend income and rising debt levels make this a less-than-conservative investment. However, altogether, the tech stock is a growth opportunity from its current momentum and market position. So, if you’re looking to turn that $1,000 into a multi-bagger, this is certainly a top option.
