CMS Energy (NYSE:CMS) Stock Gets Price Target Cut from Wells Fargo & Company

Key Points

• Wells Fargo cut CMS Energy’s price target to $73 from $79 while maintaining an “equal weight” rating, implying roughly 6.1% upside. Analysts overall assign the stock a “Hold” rating with an average target of $77.35.
• CMS Energy’s latest quarterly results were mixed: adjusted EPS of $1.44 beat estimates and rose from $0.93 year over year, while revenue increased 8% to $2.18 billion but fell short of expectations.
• CMS Energy shares declined 0.3% to $68.80, and institutional investors own 93.57% of the stock. The company faces investor concerns around restructuring, its sizable capital plan, and execution and financing risks.

CMS Energy (NYSE:CMS - Get Free Report) had its price objective reduced by equities researchers at Wells Fargo & Company from $79.00 to $73.00 in a research report issued to clients and investors on Wednesday, Benzinga reports. The brokerage presently has an "equal weight" rating on the utilities provider's stock. Wells Fargo & Company's price target would suggest a potential upside of 6.10% from the company's current price.

Several other research analysts have also recently issued reports on the company. BMO Capital Markets lifted their target price on CMS Energy from $73.00 to $76.00 and gave the company an "outperform" rating in a research report on Monday, October 19th. Weiss Ratings lowered shares of CMS Energy from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Thursday, October 8th. UBS Group reiterated a "neutral" rating and issued a $84.00 target price on shares of CMS Energy in a report on Wednesday, July 29th. Wall Street Zen raised shares of CMS Energy from a "strong sell" rating to a "sell" rating in a research report on Sunday, July 5th. Finally, JPMorgan Chase & Co. boosted their price target on shares of CMS Energy from $82.00 to $85.00 and gave the stock an "overweight" rating in a report on Thursday, July 16th. Seven equities research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and an average target price of $77.35.

CMS Energy Stock Down 0.3%

CMS traded down $0.20 during midday trading on Wednesday, hitting $68.80. 764,269 shares of the company were exchanged, compared to its average volume of 3,367,364. The firm has a market capitalization of $21.58 billion, a P/E ratio of 20.66 and a beta of 0.32. CMS Energy has a 1-year low of $62.28 and a 1-year high of $80.36. The firm's 50 day moving average price is $66.85 and its 200-day moving average price is $72.54.

CMS Energy (NYSE:CMS - Get Free Report) last announced its earnings results on Tuesday, October 27th. The utilities provider reported $1.44 earnings per share for the quarter, topping analysts' consensus estimates of $1.35 by $0.09. The firm had revenue of $2.18 billion for the quarter, compared to the consensus estimate of $2.23 billion. During the same period in the prior year, the business earned $0.93 EPS. CMS Energy's quarterly revenue was up 8.0% on a year-over-year basis. On average, sell-side analysts predict that CMS Energy will post 3.87 earnings per share for the current fiscal year.

Hedge Funds Weigh In On CMS Energy

A number of large investors have recently modified their holdings of the company. VestGen Advisors LLC grew its stake in shares of CMS Energy by 4.9% in the third quarter. VestGen Advisors LLC now owns 3,653 shares of the utilities provider's stock worth $230,000 after purchasing an additional 170 shares during the last quarter. Kestra Private Wealth Services LLC lifted its holdings in CMS Energy by 3.9% in the first quarter. Kestra Private Wealth Services LLC now owns 4,596 shares of the utilities provider's stock worth $357,000 after buying an additional 174 shares during the period. Lido Advisors LLC lifted its holdings in CMS Energy by 1.0% in the first quarter. Lido Advisors LLC now owns 18,123 shares of the utilities provider's stock worth $1,406,000 after buying an additional 174 shares during the period. NewEdge Advisors LLC boosted its position in CMS Energy by 0.7% during the 1st quarter. NewEdge Advisors LLC now owns 26,328 shares of the utilities provider's stock valued at $2,043,000 after acquiring an additional 174 shares in the last quarter. Finally, Kera Capital Partners Inc. boosted its position in CMS Energy by 5.5% during the 1st quarter. Kera Capital Partners Inc. now owns 3,934 shares of the utilities provider's stock valued at $305,000 after acquiring an additional 206 shares in the last quarter. 93.57% of the stock is owned by hedge funds and other institutional investors.

Key CMS Energy News

Here are the key news stories impacting CMS Energy this week:

• Positive Sentiment: Adjusted earnings beat expectations: CMS Energy reported third-quarter adjusted EPS of $1.44, above the $1.34–$1.35 consensus and up from $0.93 a year earlier. Revenue increased 8% year over year to $2.18 billion. CMS Energy Q3 Earnings Top Estimates, Revenues Increase Y/Y
• Positive Sentiment: Forecast reaffirmed: Management maintained its 2026 adjusted EPS target of $3.83–$3.90 and reaffirmed its 2027 outlook, providing stability despite ongoing restructuring. The company also highlighted a potential $27 billion integrated resource-plan opportunity and plans to generate $125 million in financial contribution from its FCM business by 2031. CMS Energy Reiterates EPS Targets and Growth Opportunities
• Neutral Sentiment: Strategic simplification: The wind-down of NorthStar is expected to leave CMS Energy more focused on its regulated utility operations, potentially reducing complexity but also limiting diversification. CMS Energy Q3 2026: NorthStar Wind-Down Clears Path to Pure Utility
• Negative Sentiment: GAAP earnings fell sharply: Reported EPS declined to $0.39 from $0.92 a year earlier, reflecting restructuring-related effects and other charges. Revenue also came in below the approximately $2.23 billion analyst estimate. CMS Energy Announces Third Quarter Results
• Negative Sentiment: Capital-allocation concerns: A reported $24 billion capital plan could support long-term rate-base growth, but analysts caution that substantial investment does not automatically translate into attractive shareholder returns and may increase execution, financing, and regulatory risks. CMS Energy: A $24 Billion Capital Plan Doesn't Guarantee Shareholder Returns
• Negative Sentiment: More cautious analyst stance: HSBC initiated coverage with a Hold rating, while a separate report cited an 11.88% reduction in the depositary-receipt price target, weighing on sentiment toward CMS Energy’s valuation and returns. HSBC Initiates Coverage at Hold

About CMS Energy

CMS Energy Corporation is an energy company headquartered in Jackson, Michigan. Through its principal subsidiary, Consumers Energy, the company provides electric and natural gas utility services to residential, commercial and industrial customers throughout Michigan.

Consumers Energy operates and maintains electric generation, transmission and distribution infrastructure, as well as natural gas storage and distribution systems. CMS Energy also conducts independent power generation and energy-related activities through its businesses focused on renewable energy, natural gas and other power projects.

Founded in 1987 as a holding company, CMS Energy traces its utility operations to Consumers Power Company, which was established in Michigan in the late 19th century.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.