WallStSmart

CMS Energy Corporation (CMS)vsNational Grid PLC ADR (NGG)

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Smart Verdict

WallStSmart Research — data-driven comparison

National Grid PLC ADR generates 97% more annual revenue ($17.69B vs $8.97B). NGG leads profitability with a 18.3% profit margin vs 9.7%. NGG appears more attractively valued with a PEG of 2.15. NGG earns a higher WallStSmart Score of 56/100 (C).

CMS

Hold

45

out of 100

Grade: D+

Growth: 3.3Profit: 5.0Value: 5.0Quality: 3.0
Piotroski: 4/9Altman Z: 0.65

NGG

Buy

56

out of 100

Grade: C

Growth: 4.0Profit: 8.0Value: 5.0Quality: 3.5
Piotroski: 3/9Altman Z: 1.19

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CMS1 strengths · Avg: 8.0/10
Price/BookValuation
2.3x8/10

Reasonable price relative to book value

NGG2 strengths · Avg: 9.5/10
Operating MarginProfitability
32.6%10/10

Strong operational efficiency at 32.6%

Market CapQuality
$84.40B9/10

Large-cap with strong market position

Areas to Watch

CMS4 concerns · Avg: 2.8/10
PEG RatioValuation
2.494/10

Expensive relative to growth rate

Operating MarginProfitability
2.1%3/10

Operating margin of 2.1%

EPS GrowthGrowth
-57.5%2/10

Earnings declined 57.5%

Free Cash FlowQuality
$-468.00M2/10

Negative free cash flow — burning cash

NGG4 concerns · Avg: 3.8/10
PEG RatioValuation
2.154/10

Expensive relative to growth rate

Price/BookValuation
9.4x4/10

Trading at 9.4x book value

Revenue GrowthGrowth
2.0%4/10

2.0% revenue growth

Debt/EquityHealth
1.193/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : CMS

The strongest argument for CMS centers on Price/Book.

Bull Case : NGG

The strongest argument for NGG centers on Operating Margin, Market Cap. Profitability is solid with margins at 18.3% and operating margin at 32.6%.

Bear Case : CMS

The primary concerns for CMS are PEG Ratio, Operating Margin, EPS Growth. Debt-to-equity of 2.08 is elevated, increasing financial risk.

Bear Case : NGG

The primary concerns for NGG are PEG Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

NGG carries more volatility with a beta of 0.58 — expect wider price swings.

CMS is growing revenue faster at 8.0% — sustainability is the question.

CMS generates stronger free cash flow (-468M), providing more financial flexibility.

Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.

Bottom Line

NGG scores higher overall (56/100 vs 45/100), backed by strong 18.3% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

CMS Energy Corporation

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

CMS Energy (NYSE: CMS), based in Jackson, Michigan, is an energy company that is focused principally on utility operations in Michigan.

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National Grid PLC ADR

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

National Grid plc transmits and distributes electricity and natural gas. The company is headquartered in London, the United Kingdom.

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