Q: Hello 5i. Celestica seems to be in a decline the past month. Why? Do you see a bottom forming? At what share price would you start buying? Thank You. Anthony
5i Research Answer:
AI 'winners' across the board have been selling off due to continued concerns over cap-ex runway from the hyperscalers and CLS is sharing in this pain. CLS also filed a shelf offering which may be spooking markets a little. It is getting interesting here but with the market volatility we might just give things a week to settle down. We think one could start accumulating at $110 and being more aggressive lower than that.