CMS
CMS Energy
$71.23
▲ 0.0%Updated Aug 7, 11:30 AM ET
CMS at a glance — five pillars scored 0–100 from real filed financials.
Overall: Neutral · 54/100. A wider, greener shape means more pillars look healthy. Dividends scores 0 when a company pays none — that is a choice, not a flaw.
▲ Up 6.7% over the last 12 months
Market Cap
$24.01B
P/E
19.88x
Forward P/E (est.)
18.62x
ROE
12.3%
Revenue Growth
12.7%
EPS Growth
6.8%
Profit Margin
13.2%
FCF Yield
8.4%
Debt / Equity
2.07x
ROIC
8.0%
Interest Coverage
2.69x
Current Ratio
0.84x
Dividend Yield
3.1%
Implied Growth (rev. DCF)
—
Rating Score
54/100
CMS Energy (CMS) is a large-cap company in the Multi-Utilities industry, part of the Utilities sector of the S&P 500, with a market value around $24.01B.
In its latest reported year it generated about $8.54B in revenue and $1.07B in net profit.
Our model rates CMS Neutral (54/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
Evidence of durable competitive advantage in the filed financials (10 years of history).
The numbers don't show a durable competitive advantage — margins, growth, or returns on capital have been unstable or thin. Great returns are still possible; they just aren't protected.
18.9% average over the last 3 years
±2.0 pts around 17.9% across 10 years
grew in 6 of the last 9 year-over-year periods
positive in 4 of 10 years
8.0% latest fiscal year
A moat can't be proven by numbers alone — this scores the evidence a durable advantage leaves behind (pricing power, consistency, returns on capital), computed the same way for every stock. Pair it with the business overview before concluding anything.
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what CMS's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. CMS trades near $71.23, below its 50-day average ($74.12) and 200-day average ($73.83). Price below both averages is a downtrend — momentum is against buyers for now.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 70 it is overbought — the recent rally is stretched and can cool off.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. CMS's is $1.45 (~2.0% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month CMS found buyers near $68.84 (support) and sellers near $78.87 (resistance); its 52-week range is $68.63–$80.36. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 0.5× the 20-day average — lighter than usual, so the move carries less conviction. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
4Y CAGR
3.9%
Revenue moved from $6.40B in 2016 to $8.54B in 2025, a 3.3% compound annual growth rate. The most recent year grew a steady 12.7% year over year. Consistent top-line growth is one sign of healthy demand.
Gross Margin
31.9%
Operating Margin
20.2%
Net Margin
12.5%
ROE
12.3%
CMS Energy keeps about 13.2% of each sales dollar as net profit, with a 31.9% gross margin and 20.2% operating margin. Return on equity is 12.3% and return on invested capital about 8.0%. Margins are moderate — typical of a competitive but profitable business.
Total Debt
$7.95B
Net Debt
$7.78B
Net Debt / EBITDA
4.5x
Debt / Equity
2.07x
Leverage: debt-to-equity is 2.1x, and operating profit covers interest about 2.7x, with a current ratio of 0.8x. That is elevated leverage, which raises risk if earnings or rates move against it. It carries roughly $7.95B of total debt against $175.00M of cash.
Operating CF
$2.23B
Free Cash Flow
$2.23B
FCF Margin
26.2%
In the latest year CMS Energy produced about $2.23B of operating cash flow and $2.23B of free cash flow after capital spending. That is a free-cash-flow yield of about 8.4% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
P/E
19.88x
P/S
2.81x
P/B
2.24x
EV / EBITDA
—
CMS trades at 19.9x trailing earnings (about 18.6x on estimated forward earnings), 2.8x sales, and 2.2x book value. That is a fairly typical valuation for a profitable company.
Where CMS sits versus its Utilities sector peers in the S&P 500.
Bands show the middle half (25th–75th percentile) of the 38 Utilities companies in the S&P 500 — the peer-relative anchor professional comps analysis uses. Context only — not investment advice.
How CMS stacks up against its Utilities peers — valuation, profitability, and growth versus the sector median.
In the Utilities sector (47 S&P 500 companies), CMS ranks #19 of 47 by our overall rating. It trades at roughly in line versus the sector on earnings (19.9x P/E vs. 21.3x median) with a higher return on equity (12.3% vs. 10.3%) and faster revenue growth (12.7% vs. 8.8%).
P/E vs sector
19.9x
median 21.3x
ROE vs sector
12.3%
median 10.3%
Growth vs sector
12.7%
median 8.8%
Sector rank
#19
of 47 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Utilities companies by sub-industry and size. Sector median is across all 47 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$0.00 – $0.00
vs. $71.23 today · expected CAGR 0% – 11%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $9.65B | $10.90B | $12.32B | $13.92B | $15.73B |
| Net income | $1.25B | $1.42B | $1.60B | $1.81B | $2.05B |
| EPS | $3.72 | $4.20 | $4.75 | $5.37 | $6.07 |
| Share price (low) | $44.65 | $50.46 | $57.02 | $64.43 | $72.80 |
| Share price (high) | $74.42 | $84.09 | $95.03 | $107.38 | $121.34 |
| CAGR (low–high) | -37% / 4% | -16% / 9% | -7% / 10% | -2% / 11% | 0% / 11% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for CMS:
- Revenue is growing 12.7% a year, a sign of real demand.
- Healthy free-cash-flow yield (~8.4%) funds buybacks and dividends.
- Pays a 3.1% dividend on top of any price gains.
The case against CMS:
- Elevated leverage (debt/equity 2.1x) adds financial risk.
- Interest coverage is thin (2.7x), so debt costs bite.
Balance-sheet risk — debt/equity of 2.1x magnifies the impact of higher rates or weaker earnings.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the picture is mixed: CMS Energy is a large-cap utilities business still growing nicely, with solid profitability, and a heavier debt load to watch. It trades at 19.9x earnings, which our model scores Neutral (54/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Analyst Ratings
What 22 Wall Street analysts covering CMS recommend (August 2026). Consensus is a useful sanity check — not a substitute for your own homework.
Analysts have turned more cautious over the last three months (-5 pts of buy ratings).
Latest SEC Filings
CMS's most recent filings, straight from SEC EDGAR. Annual and quarterly reports are the deep dives; 8-Ks flag material events the moment they happen.
In the Idea Lab
CMS — frequently asked questions
Is CMS a good stock to buy?
We don't give buy or sell advice. Our model rates CMS Energy Neutral (54/100) based on its growth, profitability, financial health, and valuation — use that as a research starting point and make your own decision.
What is CMS's rating on The Stocks School?
CMS Energy currently scores 54/100 (Neutral) on our transparent model, which weighs real fundamentals: growth, margins, returns on capital, balance-sheet strength, and valuation.
How our ratings work →Where does CMS's data come from?
Live price data plus real fundamentals and 5-year financials pulled directly from CMS Energy's SEC filings — refreshed automatically, not hand-entered.
How is the 5-year projection for CMS calculated?
It's a scenario model: it grows revenue at an assumed rate, applies a profit margin and a valuation multiple, and shows the resulting share-price range. The assumptions are yours to change — it's a tool for thinking, not a prediction.
Is this CMS analysis financial advice?
No. Everything on this page is educational research, not financial advice or a recommendation to buy or sell CMS. Always do your own research and consider a licensed professional.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.