CMS Energy Corporation
Find Ratings ReportsCMS ENERGY CORP's gross profit margin for the fourth quarter of its fiscal year 2023 has significantly increased when compared to the same period a year ago. Even though sales decreased, the net income has increased, representing an increase to the bottom line. CMS ENERGY CORP has very weak liquidity. Currently, the Quick Ratio is 0.24 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has increased by 6.97% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
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Net Sales ($mil) | 1950.0 | 2278.0 |
EBITDA ($mil) | 716.0 | 568.0 |
EBIT ($mil) | 406.0 | 272.0 |
Net Income ($mil) | 309.0 | 171.0 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 248.0 | 182.0 |
Total Assets ($mil) | 33517.0 | 31353.0 |
Total Debt ($mil) | 15670.0 | 14340.0 |
Equity ($mil) | 8125.0 | 7595.0 |
Profitability | Q4 FY23 | Q4 FY22 |
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Gross Profit Margin | 36.72 | 24.93 |
EBITDA Margin | 36.71 | 24.93 |
Operating Margin | 20.82 | 11.94 |
Sales Turnover | 0.22 | 0.27 |
Return on Assets | 2.64 | 2.66 |
Return on Equity | 10.78 | 10.84 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 0.98 | 1.15 |
Debt/Capital | 0.66 | 0.65 |
Interest Expense | 173.0 | 140.0 |
Interest Coverage | 2.35 | 1.94 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 294.44 | 291.27 |
Div / share | 0.49 | 0.46 |
EPS | 1.05 | 0.58 |
Book value / share | 27.59 | 26.08 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 2373738.0 | 2808679.0 |
BUY. This stock's P/E ratio indicates a premium compared to an average of 18.74 for the Utilities subsector and a discount compared to the S&P 500 average of 27.95. To use another comparison, its price-to-book ratio of 2.11 indicates a significant discount versus the S&P 500 average of 4.68 and a premium versus the subsector average of 1.98. The price-to-sales ratio is below both the S&P 500 average and the subsector average, indicating a discount. After reviewing these and other key valuation criteria, CMS ENERGY CORP proves to trade at a premium to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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CMS 19.37 | Peers 18.74 | CMS 7.43 | Peers 8.50 | |||||||||||||||||||||
Average. An average P/E ratio can signify an subsector neutral price for a stock and an average growth expectation. CMS is trading at a valuation on par with its peers. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. CMS is trading at a discount to its peers. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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CMS 16.17 | Peers 14.78 | CMS 1.77 | Peers 1.44 | |||||||||||||||||||||
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations. CMS is trading at a premium to its peers. |
Premium. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. CMS trades at a premium to its peers. |
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Price/Book |
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Earnings Growth |
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CMS 2.11 | Peers 1.98 | CMS 5.98 | Peers 132.20 | |||||||||||||||||||||
Average. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. CMS is trading at a valuation on par with its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, CMS is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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CMS 2.30 | Peers 2.49 | CMS -13.20 | Peers 1.95 | |||||||||||||||||||||
Average. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. CMS is trading at a valuation on par with its subsector on this measurement. |
Lower. A sales growth rate that trails the subsector implies that a company is losing market share. CMS significantly trails its peers on the basis of sales growth. |
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