Celestica price target raised to $33 from $30 at RBC Capital

RBC Capital raised the firm’s price target on Celestica to $33 from $30 and keeps an Outperform rating on the shares. The company’s investor day offered additional disclosure on its existing businesses as well as introducing FY25E and FY26 guidance, and one of the firm’s main takeaways from the presentation was Celestica’s greater level of confidence around the demand from its hyperscaler customers continuing throughout FY24 and into FY25, the analyst tells investors in a research note. The stock’s multiple discount has narrowed, but there is still room for further multiple expansion, the firm adds.