WallStSmart

Celestica Inc. (CLS)vsWestern Digital Corporation (WDC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Celestica Inc. generates 15% more annual revenue ($12.39B vs $10.73B). WDC leads profitability with a 35.6% profit margin vs 6.7%. WDC appears more attractively valued with a PEG of 0.69. CLS earns a higher WallStSmart Score of 68/100 (B-).

CLS

Strong Buy

68

out of 100

Grade: B-

Growth: 10.0Profit: 7.0Value: 8.7Quality: 5.0
Piotroski: 5/9

WDC

Buy

55

out of 100

Grade: C

Growth: 2.0Profit: 9.0Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CLSUndervalued (+6.8%)

Margin of Safety

+6.8%

Fair Value

$317.30

Current Price

$269.10

$48.20 discount

UndervaluedFair: $317.30Overvalued
WDCSignificantly Overvalued (-311.2%)

Margin of Safety

-311.2%

Fair Value

$66.57

Current Price

$293.10

$226.53 premium

UndervaluedFair: $66.57Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CLS4 strengths · Avg: 9.5/10
Return on EquityProfitability
40.5%10/10

Every $100 of equity generates 41 in profit

Revenue GrowthGrowth
43.6%10/10

Revenue surging 43.6% year-over-year

EPS GrowthGrowth
77.7%10/10

Earnings expanding 77.7% YoY

PEG RatioValuation
1.008/10

Growing faster than its price suggests

WDC4 strengths · Avg: 9.3/10
Return on EquityProfitability
41.1%10/10

Every $100 of equity generates 41 in profit

Profit MarginProfitability
35.6%10/10

Keeps 36 of every $100 in revenue as profit

Market CapQuality
$100.21B9/10

Large-cap with strong market position

PEG RatioValuation
0.698/10

Growing faster than its price suggests

Areas to Watch

CLS3 concerns · Avg: 3.7/10
P/E RatioValuation
39.7x4/10

Premium valuation, high expectations priced in

Price/BookValuation
14.0x4/10

Trading at 14.0x book value

Profit MarginProfitability
6.7%3/10

6.7% margin — thin

WDC4 concerns · Avg: 3.0/10
P/E RatioValuation
29.9x4/10

Moderate valuation

Price/BookValuation
14.0x4/10

Trading at 14.0x book value

Revenue GrowthGrowth
-41.0%2/10

Revenue declined 41.0%

EPS GrowthGrowth
-95.9%2/10

Earnings declined 95.9%

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 43.6% demonstrates continued momentum. PEG of 1.00 suggests the stock is reasonably priced for its growth.

Bull Case : WDC

The strongest argument for WDC centers on Return on Equity, Profit Margin, Market Cap. Profitability is solid with margins at 35.6% and operating margin at 15.4%. PEG of 0.69 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 : WDC

The primary concerns for WDC are P/E Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

CLS profiles as a hypergrowth stock while WDC is a declining play — different risk/reward profiles.

WDC carries more volatility with a beta of 1.85 — expect wider price swings.

CLS is growing revenue faster at 43.6% — sustainability is the question.

WDC generates stronger free cash flow (653M), providing more financial flexibility.

Bottom Line

CLS scores higher overall (68/100 vs 55/100) and 43.6% revenue growth. 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.

Western Digital Corporation

TECHNOLOGY · COMPUTER HARDWARE · USA

Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage services.

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