While the AI (artificial intelligence) trade has captured the imagination of Wall Street and other global markets, much of the excitement is built on promises and future potential.
However, two Canadian tech stocks in the AI segment are reporting consistent profits in 2026.
Here’s a look at Kinaxis (TSX: KXS) and Celestica (TSX: CLS), and why I think long-term investors should be paying attention.
Source: Getty Images
Why Canadian tech stocks deserve a closer look
Investors chasing AI exposure often invest in Big Tech giants south of the border, which is understandable. However, several AI stocks in the U.S. trade at lofty valuations and could underperform the broader markets over the next 12 months.
Alternatively, Kinaxis and Celestica are two Ontario-based tech stocks that provide AI products and services to enterprise customers.
Over the last three years, CLS stock has returned more than 1,200% to shareholders and still trades at 19.6 times forward earnings. This suggests the rally in the Canadian tech stock was driven by earnings expansion.
Meanwhile, Kinaxis stock has returned less than 10% since August 2023.
Kinaxis is cashing in on AI-powered supply chain planning
Kinaxis makes software that helps companies plan and manage their supply chains. Its services include demand forecasting, inventory planning, and scenario modeling for organizations dealing with tariffs, shipping delays, and shifting customer demand.
In the second quarter of 2026, the company grew SaaS (software-as-a-service) revenue 20% year over year and annual recurring revenue 19%. Adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) stood at 26%, while net income rose 15% to $21.2 million.
Kinaxis expects full-year total revenue between $625 million and $640 million, representing growth of roughly 14% to 17%. SaaS revenue growth guidance was also raised to a range of 18% to 20%.
Much of that momentum comes from Maestro, the company’s AI-enabled planning platform. About 10% of its customer base is already using paid or trial AI agents built into Maestro, and CEO Razat Gaurav emphasized:
“We believe AI is making our core strengths more valuable, not less.”
Celestica is a profitable AI stock
Celestica designs and manufactures hardware for hyperscale data centres, including the networking switches and server racks that power AI compute.
In Q2 2026, revenue rose 62% year over year to $4.7 billion. It ended Q2 with a record operating margin of 8.2% and adjusted EPS of $2.54.
Management raised full-year revenue guidance from a prior range up to a new outlook of $19 billion to $20.5 billion, implying growth of about 65%. Management also raised adjusted earnings per share guidance from $10.15 to $11.30.
Celestica will build custom AI infrastructure racks for OpenAI, working alongside Broadcom on next-generation accelerator programs. That’s on top of existing work with other major hyperscale customers, giving Celestica multiple growth engines heading into 2027.
Analysts tracking CLS stock forecast earnings to expand from $6.05 per share in 2025 to $32.70 per share in 2030. If the stock is priced at 15 times earnings, it could almost double within the next four years.
The bottom line for investors
Kinaxis and Celestica are two tech stocks that are growing revenue and profits at a steady pace.
A combination of proven profitability and continued AI tailwinds is why long-term investors should add the two tech stocks to their watchlist right now.
