Why Celestica Stock Is Up 20% in 5 Days and Just Keeps Climbing

Celestica just posted blockbuster earnings and raised its outlook — helping this hot Canadian tech giant soar.

| More on:
semiconductor chip etching

Source: Getty Images

Key Points

  • Celestica shares have climbed 20% in five days after exceeding third-quarter expectations with 28% revenue growth and 52% earnings increase.
  • The company raised its 2025 forecast, driven by strong AI data center demand, and anticipates continued solid growth in 2026.
  • Supportive strategic moves, including a share buyback and leadership strengthening, further boost investor confidence.

Celestica (TSX:CLS) is already among the hottest Canadian tech stocks of 2025, and its rally seems to be accelerating further this week. CLS shares have surged more than 20% in just five days and currently trade around $444 per share with a market cap of $49 billion.
Clearly, investors are piling in – and for good reason. Let’s take a quick look.

Blowout third-quarter results send Celestica stock soaring

Earlier in the week, Celestica crushed expectations with its third-quarter results. For the quarter, the company’s revenue came in at US$3.2 billion, up a massive 28% year over year, while its adjusted earnings jumped 52% to US$1.58 per share – both above the high end of its own guidance.

Encouraged by solid results, the Toronto-based firm raised its full-year outlook, now calling for US$12.2 billion in 2025 revenue and adjusted earnings of US$5.90 per share with the help of growing demand from its artificial intelligence (AI) data centre customers.

More importantly, Celestica is forecasting US$16 billion in revenue and US$8.20 per share in adjusted earnings for 2026 – suggesting another strong growth year as AI infrastructure investments continue.

More than just strong numbers

Beyond the strong earnings, Celestica also announced plans to renew its share buyback program and welcomed back a key board member, Laurette Koellner, adding more confidence in its leadership.

Clearly, Celestica is firing on all cylinders – financially and strategically. And with demand from AI and data centres still heating up, this rally may have more room to run.

Fool contributor Jitendra Parashar has positions in Celestica. The Motley Fool recommends Celestica. The Motley Fool has a disclosure policy.

More on Tech Stocks

four people hold happy emoji masks
Tech Stocks

5.9% Dividend Yield! I’m Buying This TSX Stock and Holding for Decades

Down almost 75% from all-time highs, Enghouse stock offers significant upside potential and a tasty dividend yield.

Read more »

chip glows with a blue AI
Tech Stocks

How to Invest in Canadian AI Stocks for Long-Term Gains

Investing in AI stocks could be the key to capitalizing on the next transformative technological wave. They can generate long-term…

Read more »

A person's hand cupped open with a hologram of an AI chatbot above saying Hi, can I help you
Dividend Stocks

Is Telus Stock a Buy for Its Dividend Yield?

With a growth plan that is leveraging Telus' artificial intelligence advantages, Telus stock is positioning for strong long-term growth.

Read more »

is telus stock a buy for its dividend yield
Tech Stocks

9% Yield: Is Telus’s Dividend Safe?

Telus announced a major change in its dividend strategy: It is stopping regular increases in its dividend while maintaining the…

Read more »

telehealth stocks
Tech Stocks

Well Health Stock: Buy, Sell, or Hold In 2026

Down over 50% from all-time highs, Well Health stock offers significant upside potential to shareholders in December 2025.

Read more »

container trucks and cargo planes are part of global logistics system
Stocks for Beginners

TFSA: 3 Premier Canadian Stocks for Your $10,000 Contribution

Invest in your future with high quality Canadian stocks for your TFSA. Discover three stocks offering significant growth potential.

Read more »

Female raising hands enjoying vacation, standing on background of blue cloudless sky.
Tech Stocks

If You Were Waiting for Tech Stocks to Go on Sale, Now’s Your Chance

Tech stocks, like Constellation Software (TSX:CSU), might be terrific bargains amid volatility.

Read more »

visualization of a digital brain
Tech Stocks

The AI Stocks I’m Seriously Considering After the Tech Wreck

Shopify (TSX:SHOP) stock is a seriously impressive stock that just had a great Black Friday.

Read more »