Celestica set for strong growth on AI hardware demand, with potential 20%+ annual returns through 2030.

Celestica Inc. is poised to benefit significantly from ongoing demand for AI hardware, particularly driven by hyperscalers and a major Ethernet upgrade. Its Hardware Platform Solutions segment is expected to sustain elevated growth through 2026 and beyond. Despite a high current valuation of 43 times earnings, the company appears undervalued long-term due to projected annualized returns exceeding 20% through 2029–2030. Key growth drivers include structural AI tailwinds, margin improvements, and ongoing share buybacks, prompting a Strong Buy recommendation.