While a handful of U.S. tech giants have gained fame from the artificial intelligence (AI) boom, a Canadian tech stock has been outperforming and blowing past expectations without all the noise. It’s not a household name yet, but that may change soon. This company’s role in powering AI workloads and cloud solutions continues to gain momentum, backed by strong margins and increasing demand.
One of the most important fundamental factors that makes this Canadian AI stock even more attractive is its ability to grow without losing focus on profitability. Unlike many high-growth tech peers that chase top-line gains at the expense of profits, this balance is rare in today’s tech sector.
In this article, I’ll talk about one such Canadian AI stock that has all the qualities long-term investors look for. This one looks like a perfect candidate for those who want to buy and hold forever.
Source: Getty Images
A top Canadian AI stock to hold forever
With all that in mind, Celestica (TSX:CLS) could be one of the smartest Canadian AI stocks to own for years to come. CLS stock has climbed nearly 396% in the last year and is currently trading at $342.65 per share with a market cap of $39.3 billion.
A big part of this solid momentum in Celestica stock comes from its growing relevance in AI and cloud computing infrastructure. Celestica’s connectivity and cloud solutions (CCS) business is thriving, with the company also delivering enterprise-grade storage and compute platforms that support high-performance computing and AI workloads.
In early August, it even launched a new enterprise storage controller designed for extreme performance and scalability, a clear move aligned with long-term AI trends.
This AI stock’s numbers are doing the talking
Now let’s talk about Celestica’s numbers, because they’re telling a powerful story. In the second quarter, the firm reported a strong 21% YoY (year-over-year) surge in its total revenue to US$2.9 billion. More importantly, its adjusted earnings per share (EPS) jumped 54% YoY to US$1.39.
Both revenue and EPS were above the high end of the company’s guidance with the help of stronger-than-expected demand – especially in its communications and enterprise end markets. Last quarter, Celestica’s adjusted operating margin also hit a record 7.4%, which clearly shows that it’s not just growing fast, but doing so profitably and efficiently.
These solid results helped the company lift its full-year outlook. It now expects revenue to reach US$11.6 billion for 2025 and adjusted EPS to come in around US$5.50 – both higher than its previous estimates.
A smart AI bet that’s built to last
Clearly, Celestica isn’t just riding short-term AI tailwinds but also investing in what matters most for long-term value creation. From launching new products like the SC6110 storage controller to partnering with major players like AMD, the company is doubling down on its role in driving AI infrastructure.
Its focus on hardware platforms, design innovation, and supply chain solutions makes it an important piece in the growing AI and cloud ecosystem. When we combine strong financials, growing demand, smart execution, and a firm footing in AI infrastructure, Celestica stock is emerging as a quiet powerhouse in the AI and cloud computing space – without the hype. And that’s one of the key reasons why it’s already a part of my long-term portfolio.
