IBD MarketSurge Growth 250 name Nextracker and IBD 50 stock Celestica made the IBD Stocks That Funds Are Buying screen.
Mutual funds have boosted their positions on these two stocks coming from different industries. Both have climbed around 70% so far this year.
Celestica provides design, manufacturing and supply chain solutions. Its customers are in the enterprise, aerospace and defense, health, communications, sustainable energy and data center industries.
Meanwhile, Nextracker provides solar tracking software products. The company boasts it is the number one global market-share solar tracker company, with an average market share of 30% for the last seven years.
Celestica Stock Is Near A High
On Monday, Citigroup initiated coverage on Celestica stock with a neutral rating and a 172 price target.
The stock rose 1.8% Monday and is back near its all-time high of 165.83, reached last Tuesday. Celestica is one of a handful of IBD 50 names that formed bullish three-weeks-tight patterns.
Its record high is also the buy point of the three-weeks-tight formation. The entry can be a place to add to an existing position, though investors can use it to make an initial purchase.
Celestica has a three-year, earnings-per-share growth rate of 41%, according to IBD Stock Checkup and a best-possible 99 Earnings Per Share Rating.
Its rate of profit growth has decelerated from 73% to 45% over the last four quarters, with more slippage expected. Analysts forecast the company's second-quarter profit will climb 36% with its full-year 2025 profit projected to rise 31%. For 2026, profit is expected to increase 21%. Celestica reports its second-quarter results July 28.
Its IBD Accumulation/Distribution Rating of B indicates moderate institutional buying over the last 13 weeks.
Mutual funds have bolstered their positions in Celestica stock, with 1,029 owning shares in June, up from 955 in March and 750 in December.
Three IBD Mutual Fund Index names hold Celestica stock, including Invesco Discovery Fund, owning 1.07 million shares.
Celestica stock has outperformed with its 77% gain so far this year, earning it a 97 IBD Relative Strength Rating.
It ranks No. 1 out of 17 stocks in the Electronics-Contract Manufacturing group, which holds the 21st spot out of the 197 industry groups that Investor's Business Daily tracks. Lastly, it holds a top-notch 99 Composite Rating.
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Nextracker Stock Claws Back
Nextracker is climbing back after its July breakout from a late-stage consolidation failed to progress and the stock reversed lower. Shares are nearing the 63.19 buy point of a consolidation pattern, according to MarketSurge pattern recognition.
Nextracker stock tested and bounced off its 10-week moving average last week, finding support.
After three years of explosive earnings growth, analysts forecast fiscal 2026 profit will drop 8% then increase 13% in fiscal 2027. And Wall Street calls for sales to rise in the 15% to 28% range over the next three quarters.
The solar tracking company reports its fiscal first-quarter financial results July 29.
Nextracker stock holds the top spot out of 27 names in the Energy-Solar group, which ranks 11th of the IBD industry groups.
It also has an Accumulation/Distribution Rating of B. Mutual funds own a beefy 73% of Nextracker shares, with 913 owning the stock in June, up from 900 in March. The stock has gained around 69% year to date.
Nextracker stock is highly rated with its 98 Composite Rating and 93 EPS Rating.
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