10 Best Electronic Components Stocks to Buy Now

6. Celestica Inc. (NYSE:CLS)

Number of Hedge Fund Holders: 44

Celestica Inc. (NYSE:CLS) is a global electronics manufacturing services (EMS) company that is based in Canada. The company specializes in design, manufacturing, hardware platform, and supply chain solutions to deliver end-to-end product lifecycle solutions for various industries, including technology, aerospace, industrial, and healthcare. The company offers off-the-shelf or customized solutions for networking, storage and computing. Celestica Inc. (NYSE:CLS) ranks among the best electronic components stocks to buy now.

The company is riding the AI wave through its AI/ML compute business and the current robust demand environment for data center hardware. The company has recently won a 1.6 Terabyte switching program with a major hyperscaler customer and an HPS Full Rack AI System program award. Rob Milonis, the CEO of the firm, stated during the company’s Q4 2024 earnings call that increased AI accessibility is expected to drive demand for networking solutions and pointed out that networking plays a crucial role in scaling AI systems, transporting data, training, and inference.

Renaissance Investment Management, an investment management company, stated the following regarding Celestica Inc. (NYSE:CLS) in its Q4 2024 “International Small Cap Strategy” investor letter:

“The top contributor to our portfolio performance during the quarter was Celestica Inc. (NYSE:CLS) (Canada), as the provider of electronic manufacturing services benefits from ongoing investments in AI infrastructure and high-bandwidth networking solutions. Celestica is well positioned to capitalize on emerging opportunities in next-generation data centers and networking technologies.”