Sohini Mondal
2 min read
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With a market cap of $20.6 billion, CMS Energy Corporation (CMS) is an energy company operating primarily in Michigan. Based in Jackson, Michigan, the company operates through three segments: Electric Utility, Gas Utility, and NorthStar Clean Energy.
Companies worth $10 billion or more are generally labeled as “large-cap” stocks, and CMS Energy fits this description perfectly. The company focuses on clean energy transition, investing in renewable energy sources and grid modernization to support a more sustainable and resilient energy future.
Shares of CMS Energy have dipped 10% from its 52-week high of $76.45. CMS stock has declined 6.4% over the past three months, underperforming the Utilities Select Sector SPDR Fund’s (XLU) 2.4% increase.
In the longer term, CMS Energy’s stock has gained 3.2% on a YTD basis, lagging behind XLU’s 6.4% uptick. However, over the past 52 weeks, shares of CMS have soared 16.7%, slightly outperforming XLU's 16.4% return.
The stock has been trading below its 50-day moving averages since early May.
CMS Energy stock rose marginally following the release of its Q1 2025 results on Apr. 24. The uptick was driven by strong operating revenue of $2.5 billion, up 12.5% year over year, surpassing Wall Street expectations. However, adjusted EPS increased 5.2% to $1.02 but came in slightly below analysts’ estimates.
Looking ahead, the company reaffirmed its fiscal 2025 guidance, expecting adjusted EPS to range between $3.54 and $3.60, aligning with Wall Street forecasts.
Compared to its rival, Consolidated Edison, Inc. (ED) has underperformed CMS stock over the past 52 weeks, gaining 11.4%. Although shares of ED have risen 12.9% on a YTD basis, outpacing CMS stock.
While CMS has outperformed over the past year, analysts are cautiously optimistic about its stock’s prospects. CMS has a consensus rating of “Moderate Buy” from the 17 analysts covering the stock, and as of writing, it is trading below the mean price target of $77.25.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com
