Jackson-based CMS Energy Corporation (CMS) is Michigan’s largest energy provider. It owns and operates independent power generation businesses. Valued at $18.01 billion by market cap, the company provides natural gas and electricity to 6.8 million of the state’s 10 million residents in all 68 Lower Peninsula counties. The leading energy utility is expected to announce its fiscal second-quarter earnings for 2024 before the market opens on Thursday, Jul. 25.
Ahead of the event, analysts expect CMS to report a profit of $0.64 per share on a diluted basis, down 14.7% from $0.75 per share in the year-ago quarter. The company beat the consensus estimates in three of the last four quarters while missing on one other occasion.
For fiscal 2024, analysts expect CMS to report EPS of $3.33, up 7.1% from $3.11 in fiscal 2023.
CMS stock has underperformed the S&P 500’s ($SPX) 18.1% gains on a YTD basis, with shares up 3.9% during this period. Similarly, it underperformed the S&P 500 Utilities Sector SPDR’s (XLU) 10.1% gains over the same time frame.
On Apr. 25, CMS reported its Q1 results. Its adjusted net income rose 41.2% year over year to $288 million, and its adjusted EPS was $0.97, beating the consensus estimates of $0.92. The company’s revenue of $2.18 billion fell short of Wall Street forecasts of $2.35 billion. CMS expects full-year adjusted EPS to be between $3.29 and $3.35. CMS shares closed down marginally on the day the results were released.
Analysts’ consensus opinion on CMS stock is bullish, with a “Moderate Buy” rating overall. Out of 14 analysts covering the stock, nine advise a “Strong Buy” rating, and five recommend a “Hold.” The average analyst price target for CMS is $64.57, indicating a 7.1% potential upside from the current levels.
On the date of publication, Dipanjan Banchur did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
