WallStSmart

Celestica Inc. (CLS)vsMethode Electronics Inc (MEI)

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Smart Verdict

WallStSmart Research — data-driven comparison

Celestica Inc. generates 1394% more annual revenue ($15.59B vs $1.04B). CLS leads profitability with a 7.2% profit margin vs -3.5%. MEI appears more attractively valued with a PEG of 0.78. CLS earns a higher WallStSmart Score of 67/100 (B-).

CLS

Strong Buy

67

out of 100

Grade: B-

Growth: 9.3Profit: 7.0Value: 6.3Quality: 7.0
Piotroski: 6/9Altman Z: 2.83

MEI

Buy

52

out of 100

Grade: C-

Growth: 3.3Profit: 2.5Value: 7.7Quality: 7.0
Piotroski: 4/9Altman Z: 2.29
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for CLS.

MEIUndervalued (+57.7%)

Margin of Safety

+57.7%

Fair Value

$20.99

Current Price

$14.88

$6.11 discount

UndervaluedFair: $20.99Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CLS4 strengths · Avg: 9.5/10
Return on EquityProfitability
45.0%10/10

Every $100 of equity generates 45 in profit

Revenue GrowthGrowth
62.4%10/10

Revenue surging 62.4% year-over-year

EPS GrowthGrowth
74.2%10/10

Earnings expanding 74.2% YoY

PEG RatioValuation
1.008/10

Growing faster than its price suggests

MEI2 strengths · Avg: 9.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.788/10

Growing faster than its price suggests

Areas to Watch

CLS3 concerns · Avg: 3.7/10
P/E RatioValuation
28.7x4/10

Moderate valuation

Price/BookValuation
14.7x4/10

Trading at 14.7x book value

Profit MarginProfitability
7.2%3/10

7.2% margin — thin

MEI4 concerns · Avg: 2.3/10
Market CapQuality
$518.99M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-5.5%2/10

ROE of -5.5% — below average capital efficiency

EPS GrowthGrowth
-96.6%2/10

Earnings declined 96.6%

Free Cash FlowQuality
$-10.90M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : CLS

The strongest argument for CLS centers on Return on Equity, Revenue Growth, EPS Growth. Revenue growth of 62.4% demonstrates continued momentum. PEG of 1.00 suggests the stock is reasonably priced for its growth.

Bull Case : MEI

The strongest argument for MEI centers on Price/Book, PEG Ratio. Revenue growth of 10.4% demonstrates continued momentum. PEG of 0.78 suggests the stock is reasonably priced for its growth.

Bear Case : CLS

The primary concerns for CLS are P/E Ratio, Price/Book, Profit Margin.

Bear Case : MEI

The primary concerns for MEI are Market Cap, Return on Equity, EPS Growth.

Key Dynamics to Monitor

CLS profiles as a hypergrowth stock while MEI is a turnaround play — different risk/reward profiles.

MEI carries more volatility with a beta of 1.56 — expect wider price swings.

CLS is growing revenue faster at 62.4% — sustainability is the question.

CLS generates stronger free cash flow (147M), providing more financial flexibility.

Bottom Line

CLS scores higher overall (67/100 vs 52/100) and 62.4% revenue growth. MEI offers better value entry with a 57.7% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Celestica Inc.

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Celestica Inc. provides hardware platforms and supply chain solutions in North America, Europe, and Asia. The company is headquartered in Toronto, Canada.

Methode Electronics Inc

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Methode Electronics, Inc. designs, manufactures and markets component devices and subsystems globally. The company is headquartered in Chicago, Illinois.

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