Celestica Inc. (Celestica) 4Q 09 results were below expectations reflecting marginally lower-thananticipated top-line and higher-than-expected income tax expenses. However, Management has reiterated its aim of achieving 6%-8% top-line growth in the medium term and of working towards its target of 3.5% - 4% operating margin. In addition, the company announced its plans to redeem its entire Senior subordinated note, due in 2013 to be completed by 1Q 10....

Celestica Inc. (Celestica) 3Q 09 revenues and net performance were better than expected. Management guidance for 4Q 09 is in line with our previous estimates, which are near the mid-point of the guidance range. Hence, we maintain our current HOLD rating until we revalue the stock. We will reassess our target price and rating in our 3Q 09 update report. We no longer expect a significant currency impact over the medium term and hence revert to a 6-24 month investment horizon....

Notwithstanding the overall weakness in end-market demand, Celestica's Storage business experienced significant sequential revenue growth in 2Q 09 due to ramp-up associated with incremental outsourcing by an existing customer, with benefits to top-line to continue over the near term. Furthermore, although the Consumer business experienced a sequential slowdown in 2Q 09, reflecting the cessation of certain programs, the company anticipates sequential…