Celestica (TSX:CLS) Reshuffles Leadership Following Growth Push As Fair Value Stays In Focus

Celestica (TSX:CLS) has reshaped its senior ranks, creating a Group President, Global Markets role for long-time CFO Mandeep Chawla and elevating Todd Ankenmann to Chief Financial Officer effective October 1, 2026.

Investors have been reacting quickly to these leadership changes, with Celestica’s share price up 6.64% over the last day and 11.05% over the past week, while the 90 day share price return is down 12.72% and the 1 year total shareholder return sits at 43.55%, indicating strong long term momentum despite recent volatility.

Capitalize on the leadership-driven momentum at Celestica by scanning a curated set of AI infrastructure plays using the 89 AI infrastructure stocks.

For Celestica, a 1 day jump of 6.64% and a 1 year gain of 43.55% put timing front and center. Investors may consider whether to step in after this move or wait for a calmer entry as valuation comes into focus next.

Most Popular Narrative: 29.1% Undervalued

Celestica's most followed valuation narrative pegs fair value at CA$677.38, which sits well above the last close of CA$480.23 and frames the leadership shift in a pricing gap that investors are watching closely.

Accelerated demand for advanced networking and AI infrastructure by hyperscaler customers is driving rapid growth in Celestica's CCS segment, with multiple new 800G and upcoming 1.6T program ramps, supporting robust revenue expansion and greater operating leverage over the next 12 to 24 months. Widespread digital transformation initiatives and technology transitions across hyperscalers and digital native customers are expanding Celestica's design pipeline and deepening customer engagements, which increases revenue visibility and improves per-customer revenue potential.

Read the complete narrative.

Want to see how this AI and hyperscaler build out translates into a higher cash flow stream, a richer margin profile, and a future earnings base that supports that fair value gap? The widely followed narrative lays out a detailed path that connects rapid top line expansion, steady profitability, and a valuation multiple that still assumes some cooling from today.

Result: Fair Value of CA$677.38 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

Still, Celestica’s heavy reliance on a few hyperscaler customers, along with the dominance of its CCS segment, means any slowdown or program misstep could quickly test this upside case.

Find out about the key risks to this Celestica narrative.

Another View on Celestica’s Value

The first narrative leans on cash flows and long term forecasts. A different lens comes from the P/E ratio. Celestica trades on 35.7x, which is richer than both the North American Electronic industry at 28.6x and its peer average at 34.6x, and below a fair ratio estimate of 50.3x.

In plain terms, the stock already carries a premium, but that fair ratio suggests the market could still move toward higher pricing before that premium looks stretched. The question for investors is whether that gap feels like opportunity or just extra valuation risk.

See what the numbers say about this price — find out in our valuation breakdown.

Next Steps

Mixed messages around Celestica’s momentum and valuation can feel messy, so move fast, review the data in detail, and weigh the 4 key rewards and 1 important warning sign.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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