Shares of Celestica (TSX:CLS) have been on a remarkable run in recent years. And at first glance, it almost seems unbelievable how much ground the stock has covered in a short span. When a stock multiplies in value like this, it usually means demand for its products has surged or its role in a fast-growing market has strengthened.
Celestica happens to be benefiting from both as it plays a bigger part in helping hyperscalers and enterprises build out the next wave of artificial intelligence (AI) focused data centres. That level of demand has pushed CLS stock to heights not many expected just a few years ago. In this article, I’ll walk you through what a $1,000 investment in this high-growth stock five years ago would look like today and the reasons behind that.
Source: Getty Images
How Celestica stock turned a small investment into a huge gain
If you don’t know this already, Celestica designs and builds high-tech hardware for sectors like cloud computing, communications, aerospace, industrial, and capital equipment. It also delivers engineering and supply chain services to customers that rely on fast deployment and high reliability.
Interestingly, CLS stock, which now trades close to $445 per share with a market cap of $51.2 billion, was at just $9.82 per share five years ago. This simply means it has soared by about 4,432% in five years, turning a simple $1,000 investment into more than $45,000.
That kind of eye-popping return rarely happens unless a business steps into a market that is experiencing explosive expansion. In the case of Celestica, its deeper push into AI-driven data centre hardware and high-performance network infrastructure created that setup – leading to a massive breakout that rewarded early believers in the company’s long-term vision.
These financials fueled this exceptional climb
In the third quarter of 2025, Celestica’s revenue climbed 28% YoY (year-over-year) to US$3.2 billion and came in above the high end of its forecast. More importantly, its adjusted quarterly earnings also improved by 52% from a year ago to US$1.58 per share with the help of strong execution and rising demand from AI data centre customers.
The company also saw improved margins during the quarter, with its adjusted operating margin rising to 7.6%, helped by stronger operating leverage in its communications end market. Encouraged by these solid results, the company upgraded its full-year 2025 outlook, now expecting US$12.2 billion in annual revenue and higher adjusted earnings per share.
Its guidance for the next year looks even more ambitious as it expects US$16 billion in revenue in 2026 as hyperscalers continue heavy investment in AI data centres. In addition, the company’s recently launched SD6300 storage platform adds further support as it targets AI ingest, data archiving, and enterprise workloads.
Is CLS stock still worth considering for the long term?
Although CLS stock has already delivered staggering returns, the company’s strong fundamentals, expanding product portfolio, and rising demand in AI infrastructure suggest it may still offer room for solid long-term growth.
With most tech giants showing no signs of slowing their AI-related investments, Celestica seems well-positioned to ride the next wave of data centre growth. At the same time, its improved margins, strong guidance, and ongoing innovation suggest the company is not only keeping pace but actively shaping the future of AI infrastructure. If it maintains its current growth trajectory, Celestica stock could remain a top performer for years to come.
