Skip to main content

CLS STOCK WRITE UP


CLS (CELESTICA)

  • P/E: 15.1
  • GAAP DILUTED EPS Y-O-Y GROWTH LAST QUARTER: $.14
  • SECTOR: ELECTRONIC TECHNOLOGY
  • ASSETS-LIABILITIES: 1.78
  • DIVIDEND: none

Celestica, a spinoff from IBM, manufactures electronics and provides supply chain services for a variety of businesses. The company has successfully improved upon its operating margins and revenue during its last fiscal year. Reporting April 20th before market open, the company will try to beat Wall street expectations of $.28 and its own guidance of $.24-$.3.
Celestica provides services for the communications, consumer, server, and storage industries, as well as working in diversified companies. This wide array of services gives Celestica the opportunity to expand on revenue when one of its segments is lagging. Rather than developing new products to boost revenue, Celestica must rely on increasing customer satisfaction by managing supply chains well for its clients. In order to showcase their services, the company recently built a new customer service center where clients can interact with agents observe demonstrations of Celestica's services. The company's supply chain management business is a product of its own journey to establishing a successful in-house contract manufacturing process. Therefore, its supply chain management not only boosts revenue organically, but it improves the company's manufacturing business, as well. The company sells design and engineering services, manufacturing, logistics, after-market, supply chain services, and precision machining to its clients.
The company's CEO, Rob Mionis, has a wealth of experience, having held the same title with StandardAero, and other high-ranking positions with Honeywell, and private equity. The company saw slight reduction in its free cash flow in FY 2016, but its operating margin, revenues, and assets-liabilities ratios all improved. The only recent change to the core company's leadership is the addition of Thomas Gross, former COO of the electrical sector of energy giant Eaton.
With a low P/E, recent growth, and a solid balance sheet, the company could grow without becoming overvalued. Earnings expectations from both wall street and the company would not buck the current trend if surpassed. The company has 4 “buy” and 8 “hold” ratings, according to the Wall Street Journal.

SOURCES:






Labels:

Comments

Post a Comment

Popular posts from this blog

FL STOCK WRITE UP

FL (FOOT LOCKER) P/E: 15.2 GAAP DILUTED YO-Y EPS GROWTH LAST QUARTER: $.28 SECTOR: RETAIL TRADE ASSETS-LIABILITIES: 3.39 DIVIDEND: 1.68% According to statisticbrain, Foot Locker was the largest shoe retailer in the United States as of 8/13/2016. Foot Locker posted a 24.5% year-over-year EPS gain in the most recent quarter, meaning its successful business is still growing. The company has a low price-to-earnings multiple and a high rate of growth with solid financials, giving the stock room to climb. While many retail stores have faired poorly due to the recent emergence of Amazon and other online retailers, Foot Locker does not suffer because their services are hard to duplicate online. You can not try on a shoe from Amazon prior to purchasing, for example. For customers who do not need to try on the shoe, either because they have already purchased the same shoe, or have tried on shoes of the same brand, Foot Locker also sells shoes through Amazon. In th...
Post a Comment
Read more

GOOG STOCK WRITE UP

GOOG (ALPHABET INC) P/E: 31.7 GAAP DILUTED EPS GROWTH Q4 '15 to Q4 '16: $.50 SECTOR: TECHNOLOGY SERVICES ASSETS-LIABILITIES: 5.8 DIVIDEND: NONE This stock is a new addition to my portfolio. The price-to-earnings multiple is higher than my target price-to-earnings multiple, but I decided to purchase the stock due to its solid year-over-year EPS growth, positive chart alignment, positive cash flow, ubiquitous market presence, and rapid growth in the technology sector. I believe this stock will head much higher, and that its earnings will keep up with the rapid pace of its growth to ensure its stability. Google became a popular product due to its excellent search engine. As a result of its success, with approximately 80.5% of global market share according to a recent survey, Google has built a strong revenue base through its advertising services. However, Google has taken the challenge of expanding its services beyond the search engine field i...
Post a Comment
Read more

TTC STOCK WRITE UP

TTC (THE TORO COMPANY) P/E: 31.6 GAAP DILUTED YEAR-OVER-YEAR EPS GROWTH LAST QUARTER: $.06 SECTOR: PRODUCER MANUFACTURING ASSETS-LIABILITIES: 2.8 DIVIDEND: 1.05% TTC is the symbol for Toro, a manufacturer of lawnmowers, irrigation and lighting systems, and other tools for residential and professional landscaping. They utilize high-quality products and deliver them in a reliable package to their customers. Toro reports 5/25/17, and will attempt to demonstrate business growth in line with expectations. In the most recent quarter, Toro reported a 6% boost in revenue and an increase in operating costs by just under 6%. The company utilized some of its 35% increase in cash to repurchase stock. Inventories and receivables were cut on a year-over-year basis, signifying that the company is fulfilling orders more rapidly. Professional services make up the bulk of the company's revenue at approximately 80%. While residential revenue decreased on a year-over...
Post a Comment
Read more