2024-02-16 02:15:54 ET
Summary
- Celestica has achieved record-high margins in its Advanced Technology Solutions segment, despite a slight decline in revenues.
- The company expects to generate an adjusted free cash flow of at least $200 million in 2024 and reaffirms its financial outlook for the year.
- While CLS's valuation multiples have reached fair levels, concerns about future cash spending and limited free cash flow growth led to a downgrade from 'Buy' to 'Hold'.
Introduction
In August 2023 , I initiated coverage of Celestica Inc. ( CLS ) stock and then confirmed the 'Buy' rating again in November . Since then, CLS has proven to be one of my most successful calls, if you annualize the stock's actual performance and compare it to other small caps in the sector....
Read the full article on Seeking Alpha
For further details see:
Celestica Stock May Start To Consolidate (Rating Downgrade)