UPDATE: Paradigm Capital Upgrades Celestica to Buy, Raises PT

In a report published Wednesday, Paradigm Capital upgraded its rating on Celestica

from Hold to Buy, and slightly raised its price target from $9.00 to $10.00. Paradigm Capital noted, “Overall, we believe the Q4 results and forward outlook essentially were in line with our expectations. In other words, things look challenging in the near term, although there appears to be a potential recovery in the second half. On the back of the results, and due to the passage of time, we are increasing our target price to $10.00 (was $9.00). Based on the 16% potential return, we are also upgrading our recommendation to Buy (was Hold). In our opinion, evidence of an improvement in end-market demand, an acceleration in new program wins and potential uses of cash represent key catalysts for the stock.” Celestica closed on Tuesday at $8.63.