Quick verdict: CLS vs KEYS in 2026

Keysight Technologies (KEYS) demonstrates a superior overall financial profile, notably in profitability and analyst conviction despite its current price target suggesting downside. However, Celestica Inc. (CLS) stands out as the clear growth leader with significantly higher revenue expansion and more attractive valuation multiples on a P/E basis. CLS also shows substantial analyst-projected upside, contrasting with the negative upside for KEYS, making it potentially more appealing for growth-oriented investors in 2026. Not investment advice.

CLS vs KEYS: key metrics side by side

Full side-by-side comparison of CLS and KEYS across valuation, profitability, growth and analyst sentiment. Data updated 2026-05-12.

CLS vs KEYS valuation comparison

When evaluating CLS vs KEYS valuation, investors will notice distinct differences. Celestica Inc. (CLS) trades at a P/E ratio of 43.19x, which is elevated but significantly lower than Keysight Technologies (KEYS) at 63.55x. This suggests that the market currently assigns a higher earnings multiple to KEYS, potentially reflecting its superior profitability margins or perceived stability, even though CLS is currently growing revenue much faster. However, when looking at the price-to-book (P/B) ratio, the picture shifts. CLS has a P/B of 20.24x, indicating a substantial premium over its book value, while KEYS stands at a more modest 9.81x.

The discounted cash flow (DCF) models for both companies present a cautious outlook on current prices. CLS shows a DCF upside of -109.6%, implying the stock is trading significantly above its intrinsic value based on this model. Keysight Technologies (KEYS) also faces a negative DCF upside of -72.9%, suggesting it too is overvalued according to the DCF analysis, though to a lesser extent than CLS. In the CLS vs KEYS valuation comparison, CLS appears cheaper on a P/E basis, while KEYS holds the advantage on a P/B and DCF valuation standpoint, indicating that neither stock presents an obvious value play at current levels.

CLS vs KEYS growth comparison

In terms of growth, Celestica Inc. (CLS) presents a significantly more dynamic profile compared to Keysight Technologies (KEYS). CLS reported an impressive year-over-year revenue growth of 30.7%, demonstrating strong momentum in expanding its top line. This robust growth suggests that Celestica is successfully capitalizing on market opportunities and potentially gaining market share within its operational segments. This strong revenue expansion places CLS as a compelling option for growth-focused investors seeking companies with accelerating sales.

Keysight Technologies (KEYS), while a strong company, recorded a more moderate revenue growth of 8.0% year-over-year. While still positive, this rate trails CLS considerably, indicating that Keysight’s growth trajectory is more mature or less accelerated at present. Despite slower revenue growth, KEYS exhibits much higher profitability margins, with a net margin of 16.88% and an EBITDA margin of 24.75%, compared to CLS’s 6.95% net margin and 9.56% EBITDA margin. This suggests that KEYS prioritizes profitable growth, even if it means a slower pace of revenue expansion. For investors prioritizing top-line momentum and market expansion in this CLS vs KEYS stock comparison 2026, CLS clearly has the stronger momentum.

CLS vs KEYS profitability

When examining the CLS vs KEYS profitability, Keysight Technologies (KEYS) stands out as the clear leader. KEYS boasts a net margin of 16.88%, which is substantially higher than Celestica Inc.’s (CLS) net margin of 6.95%. This significant difference indicates that Keysight is far more efficient at converting its revenue into net income, highlighting superior operational efficiency and potentially stronger pricing power or a more favorable cost structure. Furthermore, KEYS also outperforms on the EBITDA margin, with 24.75% compared to CLS’s 9.56%, reinforcing its dominant position in profitability across its operations. The gross margin further emphasizes this, with KEYS at 61.86% versus CLS at 11.61%.

Both companies report N/A% for Return on Equity (ROE), which means this metric cannot be used for direct comparison. However, looking at Free Cash Flow (FCF) yield, Keysight Technologies again demonstrates stronger performance, with an FCF yield of 2.36%. Celestica Inc. has an FCF yield of 1.19%, indicating that KEYS generates more free cash flow relative to its market capitalization. This higher FCF yield for Keysight suggests better cash generation capabilities, which is crucial for funding future growth, reducing debt, or returning capital to shareholders. Therefore, in the battle of which generates more cash, KEYS clearly takes the lead.

Analyst ratings: CLS vs KEYS

Diving into the analyst landscape provides further insights into the CLS vs KEYS stock comparison 2026. Celestica Inc. (CLS) is covered by 27 analysts, with 63.0% issuing a “Buy” rating. The consensus among these analysts is a “Buy” for CLS, with a collective price target of $459. This target represents a significant potential upside of +27.2% from its current price of $360.8. Such a positive outlook, coupled with a substantial potential return, suggests a strong belief in CLS’s future performance and growth trajectory by a broad range of financial experts.

Keysight Technologies (KEYS), on the other hand, is followed by 15 analysts, and a higher percentage of them, 80.0%, rate it as a “Buy.” This indicates even stronger conviction from a smaller group of analysts. The consensus for KEYS is also a “Buy,” reflecting overall positive sentiment. However, the average price target for KEYS is $289.25, which implies a potential downside of -18.3% from its current price of $353.97. While a higher percentage of analysts technically “prefer” KEYS with their buy ratings, the negative price target upside suggests that analysts believe KEYS might be currently overvalued or has already priced in much of its future growth. Therefore, if comparing based on potential for capital appreciation, analysts predict CLS has a more favorable outlook.

Should I buy CLS or KEYS stock in 2026?

For growth-oriented investors asking “should I buy CLS or KEYS stock in 2026”, Celestica Inc. (CLS) presents a compelling argument. With a robust year-over-year revenue growth of 30.7%, CLS significantly outpaces Keysight Technologies (KEYS), which reported 8.0%. This strong top-line expansion indicates that CLS is rapidly growing its market presence and could offer higher capital appreciation potential for those prioritizing fast-paced growth. Additionally, analysts project a substantial +27.2% upside for CLS, further endorsing its growth prospects.

When considering value investing, the answer for “should i buy cls or keys stock 2026” becomes more nuanced. CLS trades at a P/E ratio of 43.19x, which is lower than KEYS’s 63.55x, making CLS appear relatively cheaper on an earnings basis. However, KEYS holds an advantage on the P/B ratio (9.81x vs. CLS’s 20.24x) and a less severe negative DCF upside (-72.9% for KEYS vs. -109.6% for CLS). Neither company appears to be a traditional value stock given their high valuation multiples, but CLS might offer a more favorable entry point for investors comfortable with growth at a reasonable (relative) price.

For income-seeking investors, neither CLS nor KEYS is suitable, as both companies have a dividend yield of 0%. Both firms currently reinvest all earnings back into the business, which is typical for growth-focused technology companies. Therefore, investors prioritizing regular income streams should look elsewhere. Ultimately, the decision of whether to buy CLS or KEYS stock in 2026 depends heavily on individual investment objectives, risk tolerance, and time horizon. This is not investment advice.

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