Celestica price target raised to $30 from $22 at RBC Capital

RBC Capital raised the firm’s price target on Celestica to $30 from $22 and keeps an Outperform rating on the shares. The analyst believes Celestica is positioned well for organic growth relative to peers. The company has been increasing its exposure to non-traditional markets, and has grown its hyperscaler revenue at a 51% annually from 2018, the analyst tells investors in a research note. The firm says Celestica’s operating margins are now at the higher end of the peer group. As such, RBC believes the stock’s valuation discount to peer group is unjustified.