Celestica's stock experienced a significant pre-market plunge of 9.52% on Tuesday, moving sharply lower following the release of its first-quarter financial results.

The electronic manufacturing services company reported adjusted earnings of $2.16 per share, surpassing analyst estimates, while revenue reached $4.05 billion, marking a substantial 53% year-over-year increase. Furthermore, Celestica raised its full-year 2026 outlook for both revenue and adjusted earnings per share, indicating strong forward momentum.

The sharp decline is attributed to a "sell the news" reaction, where investors opted to take profits following the earnings release, despite the company's strong performance and upgraded annual forecast. This move occurred as the stock had seen positive momentum in the lead-up to the report, leading to profit-taking after the results were announced.