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Written by Jitendra Parashar at The Motley Fool Canada
If you’ve been looking for a top Canadian growth stock that could turn into a long-term winner over the next few years, Celestica (TSX:CLS) is definitely worth considering in 2026. Beyond market momentum, what really makes this top TSX-listed stock interesting is the rapidly growing demand for its data centres and artificial intelligence (AI) infrastructure solutions. That shift is translating into real revenue and earnings growth for this company, not just promises. In this article, I’ll talk about why CLS stock could be one of the hottest TSX opportunities in 2026 and beyond.
Celestica primarily acts as a global provider of design, manufacturing, and supply chain solutions, with a strong focus on data centre hardware, networking, servers, and storage. The company serves hyperscalers, enterprises, and cloud customers that are investing heavily to support AI workloads.
CLS stock has delivered exceptional performance, surging nearly 142% over the last year and nearly 2,300% over the last three years – reflecting the scale of demand flowing into AI infrastructure. The stock recently traded around $422 per share, giving it a market capitalization of about $48.6 billion.
A major driver behind this sharp rise has been sustained hyperscaler demand for AI-ready data centre solutions, combined with improving margins as higher-value programs scale across Celestica’s global manufacturing network.
Notably, Celestica reported a 28% YoY (year-over-year) jump in its total revenue for the third quarter of 2025 to US$3.2 billion, exceeding the high end of management’s guidance. The company’s adjusted earnings climbed 52% YoY to US$1.58 per share, reflecting higher volumes, a better product mix, and stronger operating leverage. Similarly, its adjusted operating margin expanded to 7.6%, marking one of the strongest margin levels in the company’s history.
The biggest growth driver came from Celestica’s connectivity and cloud solutions segment, where revenue jumped 43% YoY. This was fueled by hardware platform solutions tied to AI servers, storage, and networking equipment.
Encouraged by that performance, the company’s management raised its full-year 2025 outlook and introduced a bullish 2026 forecast.
It’s important to note that Celestica continues to invest heavily in next-generation AI data centre platforms. Its recently introduced SD6300 ultra-dense storage platform is designed to help hyperscalers and enterprises manage exploding data volumes while improving efficiency and reducing costs. This positions CLS stock directly in the path of AI data ingest, storage, and archiving demand.
Meanwhile, the company is also expanding engineering talent, manufacturing capacity, and advanced cooling and networking capabilities to support increasingly complex AI deployments. On top of that, its management recently launched a new share buyback program, highlighting confidence in Celestica’s cash flow generation and long-term value creation.
Overall, with AI infrastructure spending expected to strengthen further through 2026 and beyond, Celestica stock could arguably be the hottest TSX stock in 2026.
The post Why Celestica (TSX:CLS) Could Be the Hottest TSX Stock in 2026 appeared first on The Motley Fool Canada.
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Fool contributor Jitendra Parashar has positions in Celestica. The Motley Fool recommends Celestica. The Motley Fool has a disclosure policy.
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