CMS Energy (NYSE:CMS) Sets New 12-Month High – Should You Buy?

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

Analyst Upgrades and Downgrades

Several analysts recently commented on the company. Jefferies Financial Group lifted their price objective on CMS Energy from $79.00 to $81.00 and gave the stock a “buy” rating in a report on Wednesday, January 28th. UBS Group reissued a “neutral” rating on shares of CMS Energy in a research report on Friday, February 6th. Wall Street Zen upgraded CMS Energy from a “sell” rating to a “hold” rating in a research note on Saturday, January 31st. BMO Capital Markets reaffirmed an “outperform” rating and set a $80.00 price target (up previously from $79.00) on shares of CMS Energy in a research report on Monday. Finally, Bank of America set a $82.00 price objective on shares of CMS Energy in a report on Friday, January 30th. Eight equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $78.31.

CMS Energy Stock Performance

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

CMS Energy (NYSE:CMS) last announced its quarterly earnings data on Thursday, February 5th. The utilities provider reported $0.95 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates 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 analysts’ expectations of $2.13 billion. During the same period in the prior year, the company posted $0.87 earnings per share. The company’s revenue for the quarter was up 12.3% compared to the same quarter last year. CMS Energy has set its FY 2026 guidance at 3.830-3.900 EPS. Sell-side analysts predict that CMS Energy Corporation will post 3.59 earnings per share for the current fiscal year.

CMS Energy Increases Dividend

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

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in CMS. Norges Bank purchased a new position in shares of CMS Energy during the fourth quarter valued at $316,057,000. Vanguard Group Inc. grew its holdings in CMS Energy by 3.8% during the 4th quarter. Vanguard Group Inc. now owns 40,672,292 shares of the utilities provider’s stock worth $2,844,213,000 after acquiring an additional 1,501,991 shares in the last quarter. Pictet Asset Management Holding SA grew its holdings in CMS Energy by 70.9% during the 4th quarter. Pictet Asset Management Holding SA now owns 3,571,251 shares of the utilities provider’s stock worth $249,738,000 after acquiring an additional 1,481,779 shares in the last quarter. Parnassus Investments LLC purchased a new position in CMS Energy during the 4th quarter valued at about $102,983,000. Finally, Qube Research & Technologies Ltd raised its holdings in shares of CMS Energy by 1,048.7% in the 2nd quarter. Qube Research & Technologies Ltd now owns 1,460,924 shares of the utilities provider’s stock valued at $101,213,000 after purchasing an additional 1,333,743 shares in the last quarter. 93.57% of the stock is owned by hedge funds and other 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.