Jefferies analyst Julien Dumoulin-Smith has increased the price target for CMS Energy (CMS, Financial) from $77 to $83, while maintaining a Buy rating on the stock. The positive sentiment is driven by CMS Energy's strategic positioning to handle risks related to the Inflation Reduction Act (IRA) and tariff changes. The company's pipeline, which boasts approximately 9 gigawatts (GW) of load growth, is seen as offering ample potential to counteract these emerging challenges.
Additionally, a favorable electric rate case resolution has alleviated previous regulatory concerns in Michigan, according to the analyst, who shared these insights in a preview of the company's first-quarter performance. This optimistic outlook suggests a strengthened foundation for CMS Energy in the face of regulatory and market shifts.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 15 analysts, the average target price for CMS Energy Corp (CMS, Financial) is $74.38 with a high estimate of $80.00 and a low estimate of $60.64. The average target implies an upside of 2.57% from the current price of $72.51. More detailed estimate data can be found on the CMS Energy Corp (CMS) Forecast page.
Based on the consensus recommendation from 19 brokerage firms, CMS Energy Corp's (CMS, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for CMS Energy Corp (CMS, Financial) in one year is $62.02, suggesting a downside of 14.47% from the current price of $72.51. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the CMS Energy Corp (CMS) Summary page.
