CMS Energy (NYSE:CMS) Hits New 12-Month High – Time to Buy?

CMS Energy Corporation (NYSE:CMS) hit a new 52-week high on Friday . The stock traded as high as $76.51 and last traded at $76.5450, with a volume of 821560 shares changing hands. The stock had previously closed at $74.73.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on CMS shares. JPMorgan Chase & Co. boosted their target price on CMS Energy from $80.00 to $81.00 and gave the stock an “overweight” rating in a research note on Thursday, January 15th. Barclays lowered their price objective on shares of CMS Energy from $82.00 to $74.00 and set an “overweight” rating on the stock in a research report on Wednesday, January 14th. Morgan Stanley upped their target price on CMS Energy from $74.00 to $75.00 and gave the stock an “equal weight” rating in a research note on Monday, February 2nd. Williams Trading set a $80.00 price objective on CMS Energy in a report on Monday. Finally, Wells Fargo & Company lowered their price target on shares of CMS Energy from $77.00 to $74.00 and set an “equal weight” rating for the company in a report on Tuesday, January 20th. Eight investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat, CMS Energy presently has an average rating of “Moderate Buy” and a consensus target price of $78.31.

CMS Energy Price Performance

The firm has a market cap of $23.49 billion, a P/E ratio of 21.70, a price-to-earnings-growth ratio of 2.64 and a beta of 0.47. The company has a debt-to-equity ratio of 1.89, a current ratio of 0.98 and a quick ratio of 0.60. The firm’s 50 day moving average is $70.92 and its 200 day moving average is $72.25.

CMS Energy (NYSE:CMS) last released its earnings results on Thursday, February 5th. The utilities provider reported $0.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.94 by $0.01. CMS Energy had a net margin of 12.54% and a return on equity of 12.09%. The firm had revenue of $2.23 billion during the quarter, compared to analyst estimates of $2.13 billion. During the same period last year, the business earned $0.87 earnings per share. The business’s revenue was up 12.3% on a year-over-year basis. CMS Energy has set its FY 2026 guidance at 3.830-3.900 EPS. As a group, analysts anticipate that CMS Energy Corporation will post 3.59 earnings per share for the current year.

CMS Energy Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, February 27th. Shareholders of record on Tuesday, February 17th will be paid a dividend of $0.57 per share. The ex-dividend date is Tuesday, February 17th. This represents a $2.28 annualized dividend and a yield of 3.0%. This is a positive change from CMS Energy’s previous quarterly dividend of $0.54. CMS Energy’s dividend payout ratio (DPR) is 61.47%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. Sound Income Strategies LLC lifted its stake in CMS Energy by 84.4% during the 4th quarter. Sound Income Strategies LLC now owns 343 shares of the utilities provider’s stock valued at $25,000 after acquiring an additional 157 shares during the period. HM Payson & Co. raised its holdings in shares of CMS Energy by 65.6% during the third quarter. HM Payson & Co. now owns 356 shares of the utilities provider’s stock valued at $26,000 after purchasing an additional 141 shares during the last quarter. First Horizon Corp bought a new position in CMS Energy during the third quarter valued at approximately $26,000. Elyxium Wealth LLC bought a new position in CMS Energy during the fourth quarter valued at approximately $29,000. Finally, Covestor Ltd boosted its holdings in CMS Energy by 52.0% in the third quarter. Covestor Ltd now owns 424 shares of the utilities provider’s stock worth $31,000 after purchasing an additional 145 shares during the last quarter. 93.57% of the stock is owned by institutional investors.

About CMS Energy

CMS Energy (NYSE: CMS) is an energy company based in Jackson, Michigan, whose principal business is the regulated utility operations of its subsidiary, Consumers Energy. The company is primarily focused on providing electric and natural gas service to customers in Michigan, operating the generation, transmission and distribution infrastructure necessary to deliver energy to residential, commercial and industrial customers. Headquartered in Jackson, CMS Energy conducts its core activities within the state and is regulated by state utility authorities.

Through Consumers Energy and related subsidiaries, CMS Energy develops, owns and operates a portfolio of generation assets and delivers a range of customer-facing services, including electricity and natural gas supply, grid management, energy efficiency programs and demand-response offerings.