Assessing CMS Energy: Insights From 6 Financial Analysts

Analysts' ratings for CMS Energy (NYSE:CMS) over the last quarter vary from bullish to bearish, as provided by 6 analysts.

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

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $77.83, a high estimate of $82.00, and a low estimate of $71.00. Marking an increase of 2.41%, the current average surpasses the previous average price target of $76.00.

Breaking Down Analyst Ratings: A Detailed Examination

The analysis of recent analyst actions sheds light on the perception of CMS Energy by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to CMS Energy. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into 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.

For valuable insights into CMS Energy's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using 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.

Unraveling the Financial Story of CMS Energy

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: CMS Energy's revenue growth over a period of 3M has been noteworthy. As of 31 March, 2025, the company achieved a revenue growth rate of approximately 12.45%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Utilities sector.

Net Margin: CMS Energy's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 12.34%, the company may face hurdles in effective cost management.

Return on Equity (ROE): CMS Energy's ROE excels beyond industry benchmarks, reaching 3.75%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.84%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 2.09, caution is advised due to increased financial risk.

The Basics of Analyst Ratings

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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