Celestica Inc. (CLS) and International Business Machines Corporation (IBM) are prominent competitors in the AI infrastructure sector, focusing on manufacturing services and cloud solutions, respectively. As of 2026, Celestica anticipates a year-over-year sales growth of 53.8% and an EPS increase of 67.9%, while IBM projects a more modest growth of 6% in sales and 7% in EPS.
In the past year, Celestica’s stock has surged by 191.2%, outperforming the industry’s average growth of 147.2%. In contrast, IBM’s stock has declined by 1.5%. Celestica’s valuation metrics are more favorable, with a price/sales ratio of 1.9 compared to IBM’s 3.58, leading to a strong Zacks Rank #2 (Buy) for Celestica versus IBM’s Rank #3 (Hold).
The companies face distinct challenges; Celestica confronts high operating costs and fierce competition from rivals like Foxconn and Sanmina Corporation, while IBM contends with eroding margins due to competitive pressures from Amazon AWS and Microsoft Azure, as well as potential threats from AI advancements.
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