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CMS ENERGY CORP (CMS) Stock Fundamental Analysis

USA - NYSE:CMS - US1258961002 - Common Stock

74.75 USD
+0.19 (+0.25%)
Last: 10/24/2025, 8:16:32 PM
74.75 USD
0 (0%)
After Hours: 10/24/2025, 8:16:32 PM
Fundamental Rating

4

Taking everything into account, CMS scores 4 out of 10 in our fundamental rating. CMS was compared to 26 industry peers in the Multi-Utilities industry. CMS has a medium profitability rating, but doesn't score so well on its financial health evaluation. CMS is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

CMS had positive earnings in the past year.
In the past year CMS had a positive cash flow from operations.
In the past 5 years CMS has always been profitable.
CMS had a positive operating cash flow in each of the past 5 years.
CMS Yearly Net Income VS EBIT VS OCF VS FCFCMS Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B 2B

1.2 Ratios

CMS has a Return On Assets (2.69%) which is in line with its industry peers.
With a decent Return On Equity value of 12.07%, CMS is doing good in the industry, outperforming 65.38% of the companies in the same industry.
CMS has a Return On Invested Capital of 3.74%. This is in the lower half of the industry: CMS underperforms 61.54% of its industry peers.
CMS had an Average Return On Invested Capital over the past 3 years of 3.46%. This is in line with the industry average of 3.83%.
The last Return On Invested Capital (3.74%) for CMS is above the 3 year average (3.46%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 2.69%
ROE 12.07%
ROIC 3.74%
ROA(3y)2.67%
ROA(5y)3.05%
ROE(3y)11.83%
ROE(5y)13.91%
ROIC(3y)3.46%
ROIC(5y)3.6%
CMS Yearly ROA, ROE, ROICCMS Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20

1.3 Margins

CMS's Profit Margin of 12.64% is in line compared to the rest of the industry. CMS outperforms 50.00% of its industry peers.
In the last couple of years the Profit Margin of CMS has grown nicely.
CMS's Operating Margin of 20.00% is on the low side compared to the rest of the industry. CMS is outperformed by 61.54% of its industry peers.
In the last couple of years the Operating Margin of CMS has grown nicely.
CMS has a Gross Margin (71.26%) which is comparable to the rest of the industry.
CMS's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 20%
PM (TTM) 12.64%
GM 71.26%
OM growth 3Y8.16%
OM growth 5Y1.8%
PM growth 3Y-10.44%
PM growth 5Y5.87%
GM growth 3Y3.22%
GM growth 5Y2.04%
CMS Yearly Profit, Operating, Gross MarginsCMS Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60

2

2. Health

2.1 Basic Checks

CMS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
CMS has more shares outstanding than it did 1 year ago.
The number of shares outstanding for CMS has been increased compared to 5 years ago.
CMS has a better debt/assets ratio than last year.
CMS Yearly Shares OutstandingCMS Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M 250M
CMS Yearly Total Debt VS Total AssetsCMS Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B

2.2 Solvency

CMS has an Altman-Z score of 0.89. This is a bad value and indicates that CMS is not financially healthy and even has some risk of bankruptcy.
CMS has a Altman-Z score of 0.89. This is in the better half of the industry: CMS outperforms 61.54% of its industry peers.
CMS has a Debt/Equity ratio of 2.02. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.02, CMS is doing worse than 92.31% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 2.02
Debt/FCF N/A
Altman-Z 0.89
ROIC/WACC0.56
WACC6.64%
CMS Yearly LT Debt VS Equity VS FCFCMS Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B

2.3 Liquidity

CMS has a Current Ratio of 1.00. This is a bad value and indicates that CMS is not financially healthy enough and could expect problems in meeting its short term obligations.
CMS has a better Current ratio (1.00) than 69.23% of its industry peers.
CMS has a Quick Ratio of 1.00. This is a bad value and indicates that CMS is not financially healthy enough and could expect problems in meeting its short term obligations.
CMS's Quick ratio of 0.77 is fine compared to the rest of the industry. CMS outperforms 69.23% of its industry peers.
Industry RankSector Rank
Current Ratio 1
Quick Ratio 0.77
CMS Yearly Current Assets VS Current LiabilitesCMS Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

5

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 4.56% over the past year.
CMS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.05% yearly.
Looking at the last year, CMS shows a quite strong growth in Revenue. The Revenue has grown by 8.25% in the last year.
CMS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.89% yearly.
EPS 1Y (TTM)4.56%
EPS 3Y5.55%
EPS 5Y6.05%
EPS Q2Q%7.58%
Revenue 1Y (TTM)8.25%
Revenue growth 3Y0.84%
Revenue growth 5Y1.89%
Sales Q2Q%14.37%

3.2 Future

The Earnings Per Share is expected to grow by 7.57% on average over the next years.
The Revenue is expected to grow by 4.75% on average over the next years.
EPS Next Y8.5%
EPS Next 2Y7.95%
EPS Next 3Y7.87%
EPS Next 5Y7.57%
Revenue Next Year2.84%
Revenue Next 2Y3.44%
Revenue Next 3Y3.65%
Revenue Next 5Y4.75%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
CMS Yearly Revenue VS EstimatesCMS Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2B 4B 6B 8B 10B
CMS Yearly EPS VS EstimatesCMS Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 1 2 3 4 5

1

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 21.73, CMS is valued on the expensive side.
CMS's Price/Earnings ratio is a bit more expensive when compared to the industry. CMS is more expensive than 73.08% of the companies in the same industry.
CMS is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.89, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 19.21 indicates a rather expensive valuation of CMS.
Based on the Price/Forward Earnings ratio, CMS is valued a bit more expensive than 73.08% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.99. CMS is around the same levels.
Industry RankSector Rank
PE 21.73
Fwd PE 19.21
CMS Price Earnings VS Forward Price EarningsCMS Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, CMS is valued a bit more expensive than the industry average as 76.92% of the companies are valued more cheaply.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 13.87
CMS Per share dataCMS EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 20

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CMS does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of CMS may justify a higher PE ratio.
PEG (NY)2.56
PEG (5Y)3.59
EPS Next 2Y7.95%
EPS Next 3Y7.87%

4

5. Dividend

5.1 Amount

CMS has a Yearly Dividend Yield of 2.91%.
CMS's Dividend Yield is slightly below the industry average, which is at 3.69.
CMS's Dividend Yield is a higher than the S&P500 average which is at 2.31.
Industry RankSector Rank
Dividend Yield 2.91%

5.2 History

The dividend of CMS is nicely growing with an annual growth rate of 6.54%!
CMS has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of CMS decreased recently.
Dividend Growth(5Y)6.54%
Div Incr Years1
Div Non Decr Years1
CMS Yearly Dividends per shareCMS Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.5 1 1.5 2 2.5

5.3 Sustainability

71.96% of the earnings are spent on dividend by CMS. This is not a sustainable payout ratio.
The dividend of CMS is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP71.96%
EPS Next 2Y7.95%
EPS Next 3Y7.87%
CMS Yearly Income VS Free CF VS DividendCMS Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M 1B -1B -1.5B
CMS Dividend Payout.CMS Dividend Payout, showing the Payout Ratio.CMS Dividend Payout.PayoutRetained Earnings

CMS ENERGY CORP

NYSE:CMS (10/24/2025, 8:16:32 PM)

After market: 74.75 0 (0%)

74.75

+0.19 (+0.25%)

Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)07-31 2025-07-31/bmo
Earnings (Next)10-30 2025-10-30/bmo
Inst Owners101.05%
Inst Owner Change-0.77%
Ins Owners0.56%
Ins Owner Change0.39%
Market Cap22.38B
Revenue(TTM)8.02B
Net Income(TTM)1.01B
Analysts76
Price Target77.37 (3.51%)
Short Float %4.21%
Short Ratio5.8
Dividend
Industry RankSector Rank
Dividend Yield 2.91%
Yearly Dividend2.11
Dividend Growth(5Y)6.54%
DP71.96%
Div Incr Years1
Div Non Decr Years1
Ex-Date11-07 2025-11-07 (0.5425)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.85%
Min EPS beat(2)-0.41%
Max EPS beat(2)2.11%
EPS beat(4)2
Avg EPS beat(4)1.89%
Min EPS beat(4)-1.09%
Max EPS beat(4)6.96%
EPS beat(8)4
Avg EPS beat(8)1.62%
EPS beat(12)7
Avg EPS beat(12)5.35%
EPS beat(16)10
Avg EPS beat(16)5.04%
Revenue beat(2)2
Avg Revenue beat(2)6.5%
Min Revenue beat(2)4.73%
Max Revenue beat(2)8.27%
Revenue beat(4)2
Avg Revenue beat(4)-1.62%
Min Revenue beat(4)-11.28%
Max Revenue beat(4)8.27%
Revenue beat(8)2
Avg Revenue beat(8)-9.38%
Revenue beat(12)5
Avg Revenue beat(12)-3.72%
Revenue beat(16)9
Avg Revenue beat(16)0.52%
PT rev (1m)-0.35%
PT rev (3m)-0.03%
EPS NQ rev (1m)-0.68%
EPS NQ rev (3m)-3.3%
EPS NY rev (1m)0%
EPS NY rev (3m)0.05%
Revenue NQ rev (1m)-1.29%
Revenue NQ rev (3m)-1.45%
Revenue NY rev (1m)0.11%
Revenue NY rev (3m)1.36%
Valuation
Industry RankSector Rank
PE 21.73
Fwd PE 19.21
P/S 2.79
P/FCF N/A
P/OCF 10.24
P/B 2.67
P/tB 2.67
EV/EBITDA 13.87
EPS(TTM)3.44
EY4.6%
EPS(NY)3.89
Fwd EY5.21%
FCF(TTM)-3.53
FCFYN/A
OCF(TTM)7.3
OCFY9.77%
SpS26.78
BVpS28.04
TBVpS28.04
PEG (NY)2.56
PEG (5Y)3.59
Graham Number46.59
Profitability
Industry RankSector Rank
ROA 2.69%
ROE 12.07%
ROCE 4.65%
ROIC 3.74%
ROICexc 3.83%
ROICexgc 3.83%
OM 20%
PM (TTM) 12.64%
GM 71.26%
FCFM N/A
ROA(3y)2.67%
ROA(5y)3.05%
ROE(3y)11.83%
ROE(5y)13.91%
ROIC(3y)3.46%
ROIC(5y)3.6%
ROICexc(3y)3.48%
ROICexc(5y)3.62%
ROICexgc(3y)3.48%
ROICexgc(5y)3.62%
ROCE(3y)4.31%
ROCE(5y)4.48%
ROICexgc growth 3Y1.52%
ROICexgc growth 5Y-2.23%
ROICexc growth 3Y1.52%
ROICexc growth 5Y-2.23%
OM growth 3Y8.16%
OM growth 5Y1.8%
PM growth 3Y-10.44%
PM growth 5Y5.87%
GM growth 3Y3.22%
GM growth 5Y2.04%
F-Score3
Asset Turnover0.21
Health
Industry RankSector Rank
Debt/Equity 2.02
Debt/FCF N/A
Debt/EBITDA 5.93
Cap/Depr 259.44%
Cap/Sales 40.45%
Interest Coverage 250
Cash Conversion 76.62%
Profit Quality N/A
Current Ratio 1
Quick Ratio 0.77
Altman-Z 0.89
F-Score3
WACC6.64%
ROIC/WACC0.56
Cap/Depr(3y)219.4%
Cap/Depr(5y)213.13%
Cap/Sales(3y)33.34%
Cap/Sales(5y)32.61%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)4.56%
EPS 3Y5.55%
EPS 5Y6.05%
EPS Q2Q%7.58%
EPS Next Y8.5%
EPS Next 2Y7.95%
EPS Next 3Y7.87%
EPS Next 5Y7.57%
Revenue 1Y (TTM)8.25%
Revenue growth 3Y0.84%
Revenue growth 5Y1.89%
Sales Q2Q%14.37%
Revenue Next Year2.84%
Revenue Next 2Y3.44%
Revenue Next 3Y3.65%
Revenue Next 5Y4.75%
EBIT growth 1Y16.84%
EBIT growth 3Y9.07%
EBIT growth 5Y3.72%
EBIT Next Year92.04%
EBIT Next 3Y32.08%
EBIT Next 5Y22.84%
FCF growth 1Y-8.74%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y45.64%
OCF growth 3Y9.22%
OCF growth 5Y5.77%

CMS ENERGY CORP / CMS FAQ

What is the ChartMill fundamental rating of CMS ENERGY CORP (CMS) stock?

ChartMill assigns a fundamental rating of 4 / 10 to CMS.


Can you provide the valuation status for CMS ENERGY CORP?

ChartMill assigns a valuation rating of 1 / 10 to CMS ENERGY CORP (CMS). This can be considered as Overvalued.


What is the profitability of CMS stock?

CMS ENERGY CORP (CMS) has a profitability rating of 6 / 10.


How financially healthy is CMS ENERGY CORP?

The financial health rating of CMS ENERGY CORP (CMS) is 2 / 10.


Can you provide the expected EPS growth for CMS stock?

The Earnings per Share (EPS) of CMS ENERGY CORP (CMS) is expected to grow by 8.5% in the next year.