Ticonderoga Maintains a 'Buy' on Celestica (CLS); Post Conference Call Thoughts on CLS's 1Q11 Results
Tweet
Share
E-mailGet Alerts CLS Hot Sheet
Price: $335.05 -3.62%
Rating Summary:
18 Buy, 9 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
18 Buy, 9 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Join SI Premium – FREE
Ticonderoga maintains a 'Buy' on Celestica (NYSE: CLS), PT $13.50.
Ticonderoga analyst says, "This morning, Celestica reported 1Q11 sales of $1.80 billion (down 4% Q/Q) compared to our $1.75 billion estimate, while pro forma EPS of $0.25 was above our estimate of $0.23 (Street was also at $0.23). Recall, the company's 1Q11 outlook called for sales of $1.725 billion to $1.875 billion with pro forma EPS of $0.20 to $0.26. The lower than seasonal decline of down 4% (vs. a down 9% 12-year average) was driven by new program wins and muted seasonality in the consumer business. The combination of another solid report in light of challenges at EMS peers in recent weeks, combined with continued expectations for 10-15% sales growth this year and a new acquisition should bode well for the stock price, in our view...Margins Fall Q/Q but Expected to Rise in H2; Inventory Increases...Attractive Margin Semiconductor Equipment Manufacturing Operations to Be Acquired...Consumer and Enterprise Communications Buck Seasonal Trends; Servers Come Up Light."
"An In-Line 2Q11 Outlook and 10-15% Sales Growth Still Expected for 2011. For 2Q11, Celestica expects sales of $1.75 billion to $1.90 billion with pro forma EPS of $0.22 to $0.28 compared to our revenue projection of $1.82 billion and pro forma EPS estimate of $0.25 (Street is at $0.25). Further, Celestica continues to expects 10-15% sales growth in 2011, and this does not include the pending Brooks Automation deal. Our estimates and price target are currently under review."
For more ratings news on Celestica click here and for the rating history of Celestica click here.
Shares of Celestica closed at $10.58 yesterday.
Ticonderoga analyst says, "This morning, Celestica reported 1Q11 sales of $1.80 billion (down 4% Q/Q) compared to our $1.75 billion estimate, while pro forma EPS of $0.25 was above our estimate of $0.23 (Street was also at $0.23). Recall, the company's 1Q11 outlook called for sales of $1.725 billion to $1.875 billion with pro forma EPS of $0.20 to $0.26. The lower than seasonal decline of down 4% (vs. a down 9% 12-year average) was driven by new program wins and muted seasonality in the consumer business. The combination of another solid report in light of challenges at EMS peers in recent weeks, combined with continued expectations for 10-15% sales growth this year and a new acquisition should bode well for the stock price, in our view...Margins Fall Q/Q but Expected to Rise in H2; Inventory Increases...Attractive Margin Semiconductor Equipment Manufacturing Operations to Be Acquired...Consumer and Enterprise Communications Buck Seasonal Trends; Servers Come Up Light."
"An In-Line 2Q11 Outlook and 10-15% Sales Growth Still Expected for 2011. For 2Q11, Celestica expects sales of $1.75 billion to $1.90 billion with pro forma EPS of $0.22 to $0.28 compared to our revenue projection of $1.82 billion and pro forma EPS estimate of $0.25 (Street is at $0.25). Further, Celestica continues to expects 10-15% sales growth in 2011, and this does not include the pending Brooks Automation deal. Our estimates and price target are currently under review."
For more ratings news on Celestica click here and for the rating history of Celestica click here.
Shares of Celestica closed at $10.58 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Fiserv (FISV) PT Lowered to $60 at Freedom Broker
- Freedom Broker Upgrades Serve Robotics (SERV) to Buy
- New Street Research Upgrades Micron Technology (MU) to Buy
Create E-mail Alert Related Categories
Analyst CommentsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
