--- title: CMS Energy (CMS) — intrinsic value and fair price canonical: https://sweetvaluelab.com/stocks/cms ticker: CMS as_of: 2026-10-17 sector: Utilities industry: Regulated Electric --- # CMS Energy (CMS) CMS Energy (CMS) closed at $68.70 on Oct 16, 2026, undervalued by 10% vs its model value of $76.49 (from its own five-year median P/E applied to its earnings). ## Key figures | Figure | Value | | --- | ---: | | Last close | $68.70 (Oct 16, 2026) | | Model value (from its own five-year median P/E applied to its earnings) | $76.49 | | Price vs model | undervalued by 10% vs model | | Range of that model | $70.26 – $80.61 | | Market value | $21.5B | | P/E (fiscal 2025) | 19.5 | | Net margin (fiscal 2025) | 12.5% | | Free cash flow (fiscal 2025) | — | | Dividend yield (trailing twelve months) | 3.28% | | Beta | 0.32 | | Cost of capital (WACC) | 5.82% | | Business classification | Mature & Stable (Low/slowing growth (~7% recent), Moderate margins (13% net margin), Highly cyclical earnings, High leverage (D/E 2.1x)) | ## Dividends | Figure | Value | | --- | ---: | | Trailing dividend yield | 3.28% | | Dividends per share, last 12 months | $2.25 | | Coverage | — | | Raised | 18 years in a row | | Growth over 5 years | 5.6% a year | | Latest payment | $0.57, ex-date Aug 7, 2026, paid Sep 1, 2026 | | Year of payments | Dividends per share | | --- | ---: | | To Aug 5, 2021 | $1.71 | | To Aug 4, 2022 | $1.82 | | To Aug 3, 2023 | $1.92 | | To Aug 2, 2024 | $2.03 | | To Aug 8, 2025 | $2.14 | | Trailing twelve months (to Aug 7, 2026) | $2.25 | ## Valuation models Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026. | Model | Role | Value per share | Low | High | | --- | --- | ---: | ---: | ---: | | DCF · Perpetuity growth · 5y | cross check | $34.66 | $0.00 | $100.05 | | DCF · Perpetuity growth · 10y | cross check | $89.01 | $9.62 | $204.36 | | DCF · EBITDA exit · 5y | cross check | $75.69 | $22.25 | $139.17 | | DCF · EBITDA exit · 10y | cross check | $96.07 | $32.21 | $183.24 | | P/E · peers | cross check | $68.95 | $64.55 | $84.46 | | P/E · own history | primary | $76.49 | $70.26 | $80.61 | | PEG | sanity check | $31.41 | $31.41 | $31.41 | | EV/EBITDA · peers | cross check | $62.08 | $48.83 | $77.04 | | EV/Revenue · peers | cross check | $89.25 | $57.26 | $99.76 | | Earnings power value | cross check | $0.00 | $0.00 | $0.00 | | Dividend discount | cross check | $61.06 | $38.16 | $124.81 | ## Insider activity (SEC Form 4) Past 90 days: 1 open-market buy ($14,491) and 0 open-market sales ($0); 10b5-1 plan sales included. | Date | Insider | Relationship | Transaction | Shares | Value | | --- | --- | --- | --- | ---: | ---: | | Jul 31, 2026 | MADDIPATI SRIKANTH | EVP/CFO | Open-market buy | 200 | $14,491 | | Jun 15, 2026 | MADDIPATI SRIKANTH | EVP/CFO | Grant / award | 10,184 | $0 | | May 26, 2026 | Hofmeister Brandon J. | Senior Vice President | Open-market sell | 3,000 | $222,930 | | May 8, 2026 | Wright Laura | Director | Grant / award | 2,411 | $0 | | May 8, 2026 | TANSKI RONALD J | Director | Grant / award | 2,411 | $0 | ## Recent SEC filings | Filed | Form | What | Filing | | --- | --- | --- | --- | | Jul 28, 2026 | 8-K | 2.02 Results of Operations (Earnings); 7.01 Regulation FD Disclosure; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/811156/000110465926087288/tm2621427d1_8k.htm | | Jul 28, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/811156/000081115626000028/cms-20260630.htm | | Jun 3, 2026 | 8-K | 5.02 Departure/Election of Directors or Officers; 7.01 Regulation FD Disclosure; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/811156/000110465926070037/tm2616692d1_8k.htm | | May 13, 2026 | 8-K | 8.01 Other Events; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/811156/000110465926060321/tm2614454d2_8k.htm | | May 13, 2026 | 424B5 | Prospectus supplement | https://www.sec.gov/Archives/edgar/data/811156/000110465926060315/tm2614454d1_424b5.htm | ## Superinvestors holding it (latest 13F) | Manager | Quarter | Shares | Value | | --- | --- | ---: | ---: | | Soros | 2026-06-30 | 970,362 | $74.2M | 1 tracked managers in all. ## About CMS Energy Corporation operates as an energy company primarily in Michigan. The company operates through three segments: Electric Utility; Gas Utility; and NorthStar Clean Energy. The Electric Utility segment is involved in the generation, purchase, distribution, and sale of electricity. This segment generates electricity through coal, wind, gas, renewable energy, oil, and nuclear sources. Its distribution system comprises 263 miles of high-voltage distribution overhead lines; 4 miles of high-voltage distribution underground lines; 4,619 miles of high-voltage distribution overhead lines; 18 miles of high-voltage distribution underground lines; 82,854 miles of electric distribution overhead lines; 10,027 miles of underground distribution lines; and 1,102 substations. The Gas Utility segment engages in the purchase, transmission, storage, distribution, and sale of natural gas, which includ… --- Source: https://sweetvaluelab.com/stocks/cms (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. 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