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CLS vs. GDS: A Head-to-Head Stock Comparison

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Here’s a clear look at CLS and GDS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

CLS is a standard domestic listing, while GDS trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolCLSGDS
Company NameCelestica Inc.GDS Holdings Limited
CountryCanadaChina
GICS SectorInformation TechnologyInformation Technology
GICS IndustryElectronic Equipment, Instruments & ComponentsIT Services
Market Capitalization26.93 billion USD7.79 billion USD
ExchangeNYSENasdaqGM
Listing DateJune 30, 1998November 2, 2016
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of CLS and GDS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

CLS vs. GDS: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolCLSGDS
5-Day Price Return3.10%0.71%
13-Week Price Return66.46%23.16%
26-Week Price Return196.03%53.06%
52-Week Price Return415.80%-19.97%
Month-to-Date Return2.31%-0.90%
Year-to-Date Return164.12%74.21%
10-Day Avg. Volume1.04M12.52M
3-Month Avg. Volume0.88M10.14M
3-Month Volatility59.08%62.59%
Beta2.721.88

Profitability

Return on Equity (TTM)

CLS

30.66%

Electronic Equipment, Instruments & Components Industry

Max
21.57%
Q3
13.27%
Median
8.55%
Q1
4.42%
Min
-4.21%

CLS’s Return on Equity of 30.66% is exceptionally high, placing it well beyond the typical range for the Electronic Equipment, Instruments & Components industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

GDS

19.17%

IT Services Industry

Max
32.78%
Q3
19.28%
Median
13.86%
Q1
5.50%
Min
-10.00%

GDS’s Return on Equity of 19.17% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

CLS vs. GDS: A comparison of their Return on Equity (TTM) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Net Profit Margin (TTM)

CLS

5.09%

Electronic Equipment, Instruments & Components Industry

Max
17.31%
Q3
10.85%
Median
7.26%
Q1
3.13%
Min
-3.00%

CLS’s Net Profit Margin of 5.09% is aligned with the median group of its peers in the Electronic Equipment, Instruments & Components industry. This indicates its ability to convert revenue into profit is typical for the sector.

GDS

42.87%

IT Services Industry

Max
19.71%
Q3
11.01%
Median
6.66%
Q1
2.96%
Min
-6.22%

GDS’s Net Profit Margin of 42.87% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

CLS vs. GDS: A comparison of their Net Profit Margin (TTM) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Operating Profit Margin (TTM)

CLS

7.01%

Electronic Equipment, Instruments & Components Industry

Max
30.04%
Q3
15.08%
Median
9.55%
Q1
4.27%
Min
-3.83%

CLS’s Operating Profit Margin of 7.01% is around the midpoint for the Electronic Equipment, Instruments & Components industry, indicating that its efficiency in managing core business operations is typical for the sector.

GDS

22.44%

IT Services Industry

Max
22.44%
Q3
14.90%
Median
8.82%
Q1
4.91%
Min
-9.89%

An Operating Profit Margin of 22.44% places GDS in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

CLS vs. GDS: A comparison of their Operating Profit Margin (TTM) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Profitability at a Glance

SymbolCLSGDS
Return on Equity (TTM)30.66%19.17%
Return on Assets (TTM)8.98%6.08%
Net Profit Margin (TTM)5.09%42.87%
Operating Profit Margin (TTM)7.01%22.44%
Gross Profit Margin (TTM)11.36%21.45%

Financial Strength

Current Ratio (MRQ)

CLS

1.44

Electronic Equipment, Instruments & Components Industry

Max
4.57
Q3
2.85
Median
2.03
Q1
1.51
Min
0.62

CLS’s Current Ratio of 1.44 falls into the lower quartile for the Electronic Equipment, Instruments & Components industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

GDS

2.00

IT Services Industry

Max
3.17
Q3
2.00
Median
1.47
Q1
1.05
Min
0.52

GDS’s Current Ratio of 2.00 aligns with the median group of the IT Services industry, indicating that its short-term liquidity is in line with its sector peers.

CLS vs. GDS: A comparison of their Current Ratio (MRQ) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CLS

0.50

Electronic Equipment, Instruments & Components Industry

Max
1.14
Q3
0.54
Median
0.30
Q1
0.11
Min
0.00

CLS’s Debt-to-Equity Ratio of 0.50 is typical for the Electronic Equipment, Instruments & Components industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

GDS

1.82

IT Services Industry

Max
3.11
Q3
1.55
Median
0.55
Q1
0.17
Min
0.00

GDS’s leverage is in the upper quartile of the IT Services industry, with a Debt-to-Equity Ratio of 1.82. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

CLS vs. GDS: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Interest Coverage Ratio (TTM)

CLS

36.72

Electronic Equipment, Instruments & Components Industry

Max
79.05
Q3
36.62
Median
12.51
Q1
3.72
Min
-18.73

CLS’s Interest Coverage Ratio of 36.72 is in the upper quartile for the Electronic Equipment, Instruments & Components industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

GDS

0.66

IT Services Industry

Max
129.00
Q3
56.00
Median
11.69
Q1
0.77
Min
-28.15

GDS’s Interest Coverage Ratio of 0.66 is a critical concern. A value below 1.0 means operating earnings are insufficient to cover interest expenses, indicating severe financial strain and high default risk.

CLS vs. GDS: A comparison of their Interest Coverage Ratio (TTM) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Financial Strength at a Glance

SymbolCLSGDS
Current Ratio (MRQ)1.442.00
Quick Ratio (MRQ)0.861.93
Debt-to-Equity Ratio (MRQ)0.501.82
Interest Coverage Ratio (TTM)36.720.66

Growth

Revenue Growth

CLS vs. GDS: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

CLS vs. GDS: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

CLS

0.00%

Electronic Equipment, Instruments & Components Industry

Max
5.36%
Q3
2.53%
Median
1.28%
Q1
0.16%
Min
0.00%

CLS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

GDS

0.00%

IT Services Industry

Max
2.79%
Q3
1.76%
Median
0.58%
Q1
0.00%
Min
0.00%

GDS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

CLS vs. GDS: A comparison of their Dividend Yield (TTM) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Dividend Payout Ratio (TTM)

CLS

0.00%

Electronic Equipment, Instruments & Components Industry

Max
218.94%
Q3
90.25%
Median
38.81%
Q1
3.69%
Min
0.00%

CLS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

GDS

0.00%

IT Services Industry

Max
107.85%
Q3
52.62%
Median
22.53%
Q1
0.00%
Min
0.00%

GDS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

CLS vs. GDS: A comparison of their Dividend Payout Ratio (TTM) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Dividend at a Glance

SymbolCLSGDS
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

CLS

53.59

Electronic Equipment, Instruments & Components Industry

Max
74.74
Q3
42.40
Median
26.55
Q1
20.05
Min
10.12

A P/E Ratio of 53.59 places CLS in the upper quartile for the Electronic Equipment, Instruments & Components industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

GDS

12.94

IT Services Industry

Max
56.41
Q3
33.17
Median
23.17
Q1
16.18
Min
6.62

In the lower quartile for the IT Services industry, GDS’s P/E Ratio of 12.94 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

CLS vs. GDS: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Price-to-Sales Ratio (TTM)

CLS

2.73

Electronic Equipment, Instruments & Components Industry

Max
6.79
Q3
3.58
Median
2.05
Q1
1.29
Min
0.20

CLS’s P/S Ratio of 2.73 aligns with the market consensus for the Electronic Equipment, Instruments & Components industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

GDS

5.55

IT Services Industry

Max
5.99
Q3
4.26
Median
1.93
Q1
0.97
Min
0.12

GDS’s P/S Ratio of 5.55 is in the upper echelon for the IT Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

CLS vs. GDS: A comparison of their Price-to-Sales Ratio (TTM) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Price-to-Book Ratio (MRQ)

CLS

9.97

Electronic Equipment, Instruments & Components Industry

Max
6.92
Q3
3.80
Median
2.23
Q1
1.42
Min
0.44

At 9.97, CLS’s P/B Ratio is at an extreme premium to the Electronic Equipment, Instruments & Components industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

GDS

1.62

IT Services Industry

Max
12.34
Q3
7.54
Median
3.84
Q1
2.52
Min
0.88

GDS’s P/B Ratio of 1.62 is in the lower quartile for the IT Services industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

CLS vs. GDS: A comparison of their Price-to-Book Ratio (MRQ) against their respective Electronic Equipment, Instruments & Components and IT Services industry benchmarks.

Valuation at a Glance

SymbolCLSGDS
Price-to-Earnings Ratio (TTM)53.5912.94
Price-to-Sales Ratio (TTM)2.735.55
Price-to-Book Ratio (MRQ)9.971.62
Price-to-Free Cash Flow Ratio (TTM)74.74--