15 AI Stocks That Are On Sale

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6. Celestica Inc. (NYSE:CLS)

Number of Hedge Fund Holders: 38

Expected Earnings Growth: 49.8%

P/E Ratio: 14.02

Celestica Inc. (NYSE:CLS) is an information technology company that offers supply chain solutions to tech firms. It is based in Toronto, Canada.

Celestica Inc. (NYSE:CLS) is a company that has been benefitting from growing AI demand particularly with respect to AI-related hardware. This is because the company provides connectivity products for data centers and is particularly known for its 400G and 800G switches.

Many investors are also interested in Celestica Inc. (NYSE:CLS) because of its second-quarter earnings report, which highlighted a 10% increase in revenue year-over-year. Revenue for the quarter came in at $2.8 billion. Net income also jumped by 12% year-over-year. These figures have led many analysts to develop more optimistic opinions about Celestica Inc.’s (NYSE:CLS) growth potential.

With its involvement in the AI data center space, Celestica Inc. (NYSE:CLS) is expected to see even greater benefits in the future. The company’s full-year 2024 guidance was raised in the second-quarter report, and Celestica Inc. (NYSE:CLS) now expects revenue of $9.5 billion for the year, up 19% year-over-year. Additionally, the company’s balance sheet is also stellar, with it holding $434 million in cash as of the second quarter.

We saw 38 hedge funds long Celestica Inc. (NYSE:CLS) in the second quarter, with a total stake value of $843.9 million.

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