BMO Capital has reaffirmed its Outperform recommendation on Celestica (NYSE: CLS) and kept a $370.00 price target in place as the electronics manufacturing services provider approaches its fourth-quarter 2025 earnings release scheduled for January 28. The firm notes that its $370 target remains below an analyst high of $420, yet it sits meaningfully above the companys most recent share price of $307.93.
In its assessment, BMO expects Celestica to deliver a solid fourth quarter and identifies a stronger-than-anticipated outlook for the company's TPU business as a potential source of upside for fiscal 2026 performance. The research note highlights Celesticas recent top-line momentum, with revenue up 22.09% over the past 12 months.
BMO points to sustained strength in hyperscaler capital expenditure spending, along with Celesticas customer exposure and competitive positioning, as factors that could contribute to further stock appreciation over the next 12 months. The firm characterizes the current valuation as attractive relative to the company's growth profile, improving margins, and the possibility that estimates could be revised higher.
Celestica is described in the research as a provider of design, manufacturing, and supply chain services across multiple industries, with increasing emphasis on higher-growth segments such as artificial intelligence infrastructure components. The stock has delivered pronounced market returns recently, recording a 149.07% price return over the past year and a 78.06% gain over the last six months.
Additional analysis available through InvestingPro points to 13 supplementary insights on Celesticas financial condition, with the company's financial health rated as "GOOD" and assigned a score of 2.95.
Other broker commentary has also shifted upward. Aletheia Capital raised its price target for Celestica from $330 to $410 while maintaining a Buy rating, a move the firm tied to expectations for a notable rise in earnings per share between fiscal 2025 and 2027 driven by growth across the company's business segments.
Separately, BMO Capital Markets named Celestica and Shopify as top large-cap selections in Canadian technology for 2026, highlighting both companies for their competitive positions and robust growth trajectories. BMO observed that Celestica has produced triple-digit returns for three consecutive years and continues to grow faster than other large-cap names the firm covers.
On the governance front, Celestica announced board changes, including the planned resignation of Dr. Luis M fcller from his role as chair of the audit committee and from other board positions. Dr. M fcllers resignation is effective January 28, 2026, and the company said the departure is for personal reasons and not the result of any disagreements with management or the board.
Taken together, these analyst views, target adjustments, and board developments underscore active strategic and operational shifts at Celestica as it heads into the new fiscal reporting period.