What drove CMS's earnings decline in 2024?

CMS Energy's diluted EPS decreased from $3.33 in 2023 to $3.29 in 2024, primarily due to:

1. **Insider Trading Activities**: There were notable sales by insiders, including Senior Vice President Brandon J. Hofmeister, who sold 2,000 shares at an average price of $67.22 each, totaling approximately $134,442. Additionally, Director John G. Russell sold 28,750 shares on December 19, 2024, at a price of $65.85 per share, amounting to a total value of approximately $1.89 million. Such insider transactions can influence investor perceptions and may signal a lack of confidence in the company's short-term prospects.
2. **Market Conditions and Sector Challenges**: The energy sector faced headwinds from fluctuating demand and regulatory pressures. Despite these challenges, CMS Energy maintained a stable market capitalization of $19.9 billion and a "Fair" overall financial health score of 2.47, according to InvestingPro. The company's dividend yield remained attractive at 3.1%, reflecting its commitment to shareholder returns.

In summary, CMS Energy's 2024 earnings decline was primarily driven by insider trading activities and market conditions and sector challenges.

|code|Ticker|Name|Date|Total Revenue|Diluted EPS|market_code|
|---|---|---|---|---|---|---|
|CMS|CMS.N|CMS Energy|2024 Q1|2.176E9|0.96|169|
|CMS|CMS.N|CMS Energy|2024 Q2|1.607E9|0.65|169|
|CMS|CMS.N|CMS Energy|2024 Q3|1.743E9|0.84|169|
|CMS|CMS.N|CMS Energy|2024 Q4|1.989E9|0.87|169|