Celestica initiated with a Neutral at UBS

UBS initiated coverage of Celestica (CLS) with a Neutral rating and $95 price target The company is an artificial intelligence infrastructure leader but demand is still cyclical over the long term, the analyst tells investors in a research note. The firm’s analysis indicates Celestica shares are already underwriting at least 10% growth over the next 10 years verses the 2025 revenue growth guide of 8.3%. It believes the stock’s risk/reward is balanced and would wait for a more attractive entry point.