What Analysts Are Saying About CMS Energy Stock

During the last three months, 6 analysts shared their evaluations of CMS Energy (NYSE:CMS), revealing diverse outlooks from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

	Bullish	Somewhat Bullish	Indifferent	Somewhat Bearish	Bearish
Total Ratings	1	3	2	0	0
Last 30D	0	1	0	0	0
1M Ago	1	1	1	0	0
2M Ago	0	1	0	0	0
3M Ago	0	0	1	0	0

The 12-month price targets, analyzed by analysts, offer insights with an average target of $76.83, a high estimate of $80.00, and a low estimate of $69.00. Observing a 4.77% increase, the current average has risen from the previous average price target of $73.33.

Diving into Analyst Ratings: An In-Depth Exploration

An in-depth analysis of recent analyst actions unveils how financial experts perceive CMS Energy. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |---------------------|--------------------|---------------|---------------|--------------------|--------------------| |James Thalacker |BMO Capital |Lowers |Outperform | $77.00|$80.00 | |Julien Dumoulin-Smith|B of A Securities |Raises |Buy | $80.00|$73.00 | |James Thalacker |BMO Capital |Raises |Outperform | $80.00|$73.00 | |Ross Fowler |UBS |Raises |Neutral | $80.00|$77.00 | |Nicholas Campanella |Barclays |Raises |Overweight | $75.00|$68.00 | |Shahriar Pourreza |Guggenheim |Maintains |Neutral | $69.00|$69.00 |

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to CMS Energy. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of CMS Energy compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of CMS Energy's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on CMS Energy analyst ratings.

About CMS Energy

CMS Energy is an energy holding company with three principal businesses. Its regulated utility, Consumers Energy, provides regulated natural gas service to 1.8 million customers and electric service to 1.9 million customers in Michigan. NorthStar Clean Energy, formerly CMS Enterprises, is engaged in wholesale power generation, including contracted renewable energy. CMS sold EnerBank in October 2021.

CMS Energy: Financial Performance Dissected

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: CMS Energy's revenue growth over a period of 3M has been noteworthy. As of 31 December, 2024, the company achieved a revenue growth rate of approximately 2.0%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Utilities sector.

Net Margin: CMS Energy's net margin excels beyond industry benchmarks, reaching 13.17%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 3.3%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): CMS Energy's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 0.74% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: CMS Energy's debt-to-equity ratio is notably higher than the industry average. With a ratio of 2.07, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

The Core of Analyst Ratings: What Every Investor Should Know

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.