CMS Energy Corporation (CMS)vsSouthern Company (SO)
CMS
CMS Energy Corporation
$71.03
-0.24%
UTILITIES · Cap: $22.24B
SO
Southern Company
$92.69
-0.23%
UTILITIES · Cap: $107.10B
Smart Verdict
WallStSmart Research — data-driven comparison
Southern Company generates 242% more annual revenue ($30.18B vs $8.81B). SO leads profitability with a 15.4% profit margin vs 11.6%. SO appears more attractively valued with a PEG of 2.41. SO earns a higher WallStSmart Score of 66/100 (B-).
CMS
Hold48
out of 100
Grade: D+
SO
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CMS.
Margin of Safety
-50.6%
Fair Value
$61.82
Current Price
$92.69
$30.87 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 29.6%
Earnings expanding 30.4% YoY
Areas to Watch
Expensive relative to growth rate
Revenue declined 0.5%
Earnings declined 43.9%
Negative free cash flow — burning cash
Expensive relative to growth rate
0.1% revenue growth
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : CMS
The strongest argument for CMS centers on Price/Book.
Bull Case : SO
The strongest argument for SO centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 15.4% and operating margin at 29.6%.
Bear Case : CMS
The primary concerns for CMS are PEG Ratio, Revenue Growth, EPS Growth. Debt-to-equity of 2.02 is elevated, increasing financial risk.
Bear Case : SO
The primary concerns for SO are PEG Ratio, Revenue Growth, Piotroski F-Score. Debt-to-equity of 2.05 is elevated, increasing financial risk.
Key Dynamics to Monitor
CMS profiles as a declining stock while SO is a value play — different risk/reward profiles.
CMS carries more volatility with a beta of 0.34 — expect wider price swings.
SO is growing revenue faster at 0.1% — sustainability is the question.
CMS generates stronger free cash flow (-334M), providing more financial flexibility.
Bottom Line
SO scores higher overall (66/100 vs 48/100), backed by strong 15.4% margins. Both earn "Strong 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.
Visit Website →Southern Company
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Southern Company is an American gas and electric utility holding company based in the southern United States. It is headquartered in Atlanta, Georgia, with executive offices also located in Birmingham, Alabama.
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