Q: Why has Celestica lost 50 percent since February?
Thank you
Steve
Thank you
Steve
5i Research Answer:
There has been no negative company news, and in fact the last quarter was solid, as was the company's outlook. CLS is not alone in seeing its stock get crushed. Small caps are in a bear market. Yesterday was the worst market day in five years. Tariffs, fear, economic recession and stagflation are combining to keep sellers selling and buyers away. The stock is quite attractive today at 14X earnings with a solid balance sheet and growth potential, but it may still be a rocky ride for a while until the economic/tariff picture becomes more clear.