Barclays Raises CMS Energy Price Target to $78, Maintains Overweight Rating

Barclays has maintained its "Overweight" rating for CMS Energy (CMS) and raised its price target from $77 to $78, a 1.3% increase. The average target price for CMS Energy is $76.03, with a high estimate of $83 and a low estimate of $59.34, indicating an upside of 5.23% from the current price. The average brokerage recommendation is 2.3, indicating "Outperform" status. The estimated GF Value for CMS Energy in one year is $62.89, suggesting a downside of 12.96% from the current price.

Analysts at major financial institutions have expressed optimism towards utilities companies CMS Energy (CMS) and Pacific Gas and Electric Company (PG&E), with CMS Energy receiving a Moderate Buy rating and PG&E a Hold rating. Bank of America Securities and Citi analysts have shown particular interest in CMS Energy, with a price target of $78.00, while PG&E's average price target stands at $19.71, implying a 50.0% upside from current levels [1].

CMS Energy, a Michigan-based energy company, has seen its earnings per share (EPS) estimates for Q3 2025 increase to $0.89 from a previous estimate of $0.86, driven by other analysts raising their price targets. UBS Group increased its target price to $80.00, BMO Capital Markets to $79.00, Evercore ISI to $76.00, Wells Fargo & Company to $82.00, and Scotiabank to $81.00 [1]. The company's current EPS for the quarter ending April 24, 2025, was $1.02, slightly missing the consensus estimate of $1.05 [1].

PG&E, operating primarily in California, has made significant strides in reducing methane emissions. The company reported a 42% reduction in methane emissions from its natural gas pipeline system in 2024 compared to a 2015 baseline, surpassing the 20% reduction goal set by California regulators for 2025 [2]. This achievement underscores PG&E’s commitment to environmental sustainability and aligns with California’s broader climate goals.

Barclays has maintained its "Overweight" rating for CMS Energy (CMS) and raised its price target from $77 to $78, a 1.3% increase. The average target price for CMS Energy is $76.03, with a high estimate of $83 and a low estimate of $59.34, indicating an upside of 5.23% from the current price. The average brokerage recommendation is 2.3, indicating "Outperform" status. The estimated GF Value for CMS Energy in one year is $62.89, suggesting a downside of 12.96% from the current price [3].

Both companies have shown promising developments that have caught the attention of analysts. While CMS Energy's Moderate Buy rating suggests a cautious optimism, PG&E's Hold rating with a significant upside potential indicates a balanced view. Investors should closely monitor these developments and consider the long-term implications of these ratings and targets.

References:
[1] https://www.marketbeat.com/instant-alerts/q3-earnings-estimate-for-cms-energy-issued-by-zacks-research-2025-07-09/
[2] https://oilprice.com/Company-News/PGE-Hits-Methane-Reduction-Goal-Ahead-of-Schedule.html
[3] https://www.ainvest.com/news/analysts-bullish-utilities-sector-buy-ratings-cms-energy-pg-2507/