Retirement Systems of Alabama Acquires 1,096,475 Shares of CMS Energy Corporation $CMS

Key Points

• Retirement Systems of Alabama increased its CMS Energy stake by 225.9% in the third quarter, buying 1,096,475 shares and ending the period with 1,581,870 shares valued at about $99.8 million.
• CMS Energy beat quarterly EPS estimates, reporting $1.44 per share versus $1.35 expected, though revenue of $2.18 billion came in below forecasts. Revenue rose 8% year over year.
• Analysts’ consensus rating was Hold, with a $77.35 average price target. The company declared a quarterly dividend of $0.57 per share, equal to a 3.3% annual yield at the stated share price.

Retirement Systems of Alabama raised its holdings in shares of CMS Energy Corporation (NYSE:CMS - Free Report) by 225.9% in the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 1,581,870 shares of the utilities provider's stock after purchasing an additional 1,096,475 shares during the quarter. Retirement Systems of Alabama owned 0.50% of CMS Energy worth $99,784,000 at the end of the most recent reporting period.

Several other institutional investors also recently added to or reduced their stakes in CMS. Avion Wealth boosted its position in CMS Energy by 139.3% in the 3rd quarter. Avion Wealth now owns 390 shares of the utilities provider's stock valued at $25,000 after buying an additional 227 shares during the period. Kilter Group LLC bought a new stake in shares of CMS Energy during the second quarter valued at approximately $26,000. Independence Bank of Kentucky bought a new stake in shares of CMS Energy during the third quarter valued at approximately $27,000. Pension & Wealth Management Advisors Inc. bought a new stake in shares of CMS Energy during the third quarter valued at approximately $30,000. Finally, Scarborough Advisors LLC purchased a new stake in shares of CMS Energy in the first quarter valued at approximately $31,000. Hedge funds and other institutional investors own 93.57% of the company's stock.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on CMS. Jefferies Financial Group dropped their price objective on CMS Energy from $78.00 to $74.00 and set a "hold" rating on the stock in a research note on Tuesday, September 15th. 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. Scotiabank reiterated a "sector outperform" rating and issued a $78.00 target price on shares of CMS Energy in a report on Thursday, October 1st. Capital One Financial set a $73.00 price target on CMS Energy in a research note on Tuesday, October 6th. Finally, UBS Group restated a "neutral" rating and set a $84.00 price target on shares of CMS Energy in a research note on Wednesday, July 29th. Seven research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus price target of $77.35.

CMS Energy Trading Up 0.4%

CMS opened at $69.44 on Tuesday. The company has a current ratio of 0.95, a quick ratio of 0.67 and a debt-to-equity ratio of 1.88. The firm has a market cap of $21.78 billion, a price-to-earnings ratio of 24.80, a PEG ratio of 2.59 and a beta of 0.31. CMS Energy Corporation has a 12 month low of $62.28 and a 12 month high of $80.36. The stock has a fifty day moving average price of $66.96 and a 200-day moving average price of $72.49.

CMS Energy (NYSE:CMS - Get Free Report) last posted its earnings results on Tuesday, October 27th. The utilities provider reported $1.44 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.35 by $0.09. The company had revenue of $2.18 billion for the quarter, compared to analyst estimates of $2.23 billion. CMS Energy had a return on equity of 12.28% and a net margin of 9.72%. The firm's quarterly revenue was up 8.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.93 earnings per share. As a group, equities research analysts anticipate that CMS Energy Corporation will post 3.87 earnings per share for the current fiscal year.

CMS Energy Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 1st. Stockholders of record on Friday, November 6th will be given a $0.57 dividend. The ex-dividend date of this dividend is Friday, November 6th. This represents a $2.28 dividend on an annualized basis and a dividend yield of 3.3%. CMS Energy's payout ratio is presently 81.43%.

CMS Energy Company Profile

CMS Energy is a Michigan-based energy company and the parent of Consumers Energy, a regulated utility that provides electricity and natural gas to homes and businesses across Michigan's Lower Peninsula. Consumers Energy serves customers in all 68 counties in the peninsula.

Through Consumers Energy, the company generates, purchases, transmits and distributes electricity, and supplies natural gas. Its operations include maintaining utility infrastructure and developing energy resources, including renewable generation, to support the region's energy needs.

CMS Energy was formed as a holding company in 1987 and is headquartered in Jackson, Michigan.

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