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About The Company

CEO

Mr. Garrick J. Rochow

Market Cap

18.38 Billion USD

Sector

Utilities

Website

https://www.cmsenergy.com

Last Update

2/22/2024, 12:00:00 PM

Description

CMS Energy Corporation operates as an energy company primarily in Michigan.

Read More

Overview

Value

24

Growth

35

Health

37

Management

43

Analyst Opinion

89

Total

46

All Scores Out Of 100

Best Features

  • Price-to-earnings ratio of 19.3 is lower than the market average (19.6x)
  • Liked by analysts
  • Has strong dividend growth

Risk Factors

  • Earnings growth has slowed down recently
  • There is a history of diluting shareholders
  • No margin of safety at their current market price
  • Disliked by Twitter users
  • Poor earnings and cashflow growth
  • Accounting anomalies: Growing revenues without a corresponding growth in cash flows.
  • High preportion of income is paid as dividend

Market Peers

CMS

Key Figures

PE Ratio (TTM)

19.26

Margin Of Safety (DCF)

-53.66%

Revenue Growth (5 Year Average)

7.06%

Ratings Consensus

Strong Buy

Share Buybacks

-0.63%

Dividend Yeild (TTM)

3.48%

Valuation

Value Score

24

  • Price-to-earnings ratio of 19.3 is lower than the market average (19.6x)
  • Estimated intrinsic-value of 26.87 USD is lower than current price ( 61.56 USD)
  • Free-cashflow-yeild of 2.64% is worse than the market average (4.7%)
  • Margin-of-safety of -53.66% is worse than the market average (17.95%)

Desired Margin Of Safety

0%

Tip: Set your desired Margin Of Safety

Free Cash Flow Type

Annual Cashflow Growth

0%

Discount Rate

0%

Buy Target: < 34.7 USD

Current Price: 58 USD

Negative Cashflows: Cashflow can become negative due to operating losses, investing activities or financing activites. Negative cashflow makes it dificult to use a discounted free cashflow model to assess intrinsic value.

How Does This Work?

Show Advanced Options

This calculator helps investors estimate the Intrinsic Value of a company based on the current value of future cash flows. To use the tool, simply input a desired Margin Of Safety, which is an additional discount applied to the present value of the expected future cash flows. The tool calculates the present value using a discount rate that reflects the risk and time value of money, and provides an estimated target price for the company based on the selected margin of safety. The calculator defaults to using 5 Year Free Cash Flow Growth % and a discount rate based on the US 10-year treasury bond coupon rate. Use our performance analyser to get a feel the impact this has on longterm investment returns and discover a margin of safety you are comfortable with. This can be a useful tool for investors looking to make informed decisions about whether to buy or sell shares of a particular company.

Price/Earnings

19.26x

Free Cashflow Yeild

2.64%

PE/Earnings Growth

N/A

Price/Book

2.10x

Growth

Growth Score

35

  • 5 Year Average Earnings growth of 15.42% is higher than the market average (14.48%)
  • Free Cashflow growth has improved this year
  • 5 Year Average Revenue growth of 7.06% is lower than the market average (10.97%)
  • Revenue growth has slowed this year
  • Earnings growth has slowed this year
  • 5 Year Average Free Cashflow growth of -5.07% is lower than the market average (12.35%)

Revenue Growth

7.06%

Earnings Growth

15.42%

Cashflow Growth

-5.07%

Health

Health Score

37

  • Assets cover liabilities
  • Has a high level of debt
  • High financial leverage and base interest rate exposure
  • Requires debt for normal operation to be sustainable
  • Debt repayments significantly impact cashflow

Altman Z Score

0.78

Piostroski Score

5.00

Debt/Equity

1.02x

Current Assets/Liabilities

1.13x

Free Cashflow/Total Debt

0.00x

Debt/Capital

3.18x

Dividend

Secure Dividend Score

48

  • Dividend yeild of 3.48% is more than the market average (1.85%)
  • At risk of being unsafe
  • Dividends have shown growth over the last 5 years
  • Dividend growth has been accelerating recently
  • Long term dividend payout ratio of 66.79% is high and may limit growth
  • Payout ratio (TTM) of 67.08% is higher than the average (40%)
  • Spending a higher percentage of their income on dividends than last 5 years

Dividend Yeild

3.48%

Dividend Growth

22.29%

Payout Ratio (Earnings)

67.08%

Payout Ratio (Cashflow)

131.93%

Management

Management Score

43

  • Has issued new shares to finance growth when share price is high
  • Has returned higher dividends when earnings have risen
  • Return-on-capital-employed of 9.48% is lower than the market average (10%)
  • Has a history of diluting shareholders to finance activity
  • Return-on-equity of 8.32% is lower than the market average (15%)

Average Buybacks/Dilution

-0.63%

Recent Buybacks/Dilution

1.88%

5 Year Price Volitility

12.24%

Return On Assets

2.81%

Return On Capital Employed

9.48%

Return On Equity

8.32%

Return On Free Cashflow

N/A

Return On Investments

N/A

Social Sentiment

Social Sentiment Score

0

Twitter Sentiment

N/A

Stocktwits Sentiment

N/A

Analysts

Analyst Opinion

89

  • Ratings consensus is Strong Buy

SEC Filings

Find yearly (10-K), quaterly (10-Q) and disclosure (8-K) report here, on the Securities and Exchange Commission's EDGAR database. If reading through reports isn't your cup of tea, don't worry. We've made it easy for you by summarizing all the important bits.

Other Information

Company Name

CMS Energy Corporation

Currency

USD

Beta

0.355191

Vol Avg

2203452

Ceo

Mr. Garrick J. Rochow

Cik

0000811156

Cusip

125896100

Exchange

New York Stock Exchange

Full Time Employees

8560

Industry

Utilities—Regulated Electric

Sector

Utilities

Ipo Date

1973-02-21

Address

One Energy Plaza

City

Jackson

State

MI

Country

US

Zip

49201

Phone

517 788 0550

Analysis Last Updated

2/22/2024, 12:00:00 PM

All financial data provided by FMP

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