Is CMS Energy Stock Underperforming the S&P 500?

With a market cap of $21.4 billion, CMS Energy Corporation (CMS) is an energy provider, operating primarily through its Electric Utility, Gas Utility, and NorthStar Clean Energy segments. It delivers electricity and natural gas to a combined 3.7 million customers across the state, supported by extensive distribution networks and storage infrastructure. 

Companies valued at $10 billion or more are generally considered "large-cap" stocks, and CMS Energy fits this criterion perfectly. The company also develops and operates renewable generation assets through its NorthStar Clean Energy division.

Shares of the Jackson, Michigan-based company have fallen 8.4% from its 52-week high of $76.45. CMS Energy’s shares have declined 1.7% over the past three months, lagging behind the broader S&P 500 Index’s ($SPX) 5.4% gain over the same time frame.

In the longer term, CMS stock is up over 5% on a YTD basis, underperforming SPX’s 17.1% increase. Moreover, shares of the energy company have risen 3.5% over the past 52 weeks, compared to the 14.1% return of the SPX over the same time frame.

Despite recent fluctuations, the stock has been trading mostly above its 200-day moving average since last year.

Shares of CMS Energy rose 1.3% on Oct. 30 after the company posted stronger-than-expected Q3 2025 adjusted EPS of $0.93 and revenue of $2.02 billion. Confidence was further boosted by CMS Energy raising its 2025 adjusted EPS guidance to $3.56 - $3.60 and initiating 2026 guidance at $3.80 - $3.87.

In comparison, rival NextEra Energy, Inc. (NEE) has lagged behind CMS stock. NEE stock has increased 13.4% on a YTD basis and 9.6% over the past 52 weeks.

Despite the stock’s underperformance over the past year, analysts remain moderately optimistic on CMS. It has a consensus rating of “Moderate Buy” from the 16 analysts in coverage, and the mean price target of $80.08 is a premium of 14.4% to current levels.

On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.