CMS vs. NEE: Which Stock Should Value Investors Buy Now?

Core Insights - CMS Energy has a Zacks Rank of 2 (Buy), indicating a positive analyst outlook, while NextEra Energy has a Zacks Rank of 3 (Hold) [1] - The article compares CMS Energy and NextEra Energy as potential undervalued stocks in the Utility - Electric Power sector [2] Valuation Metrics - CMS Energy has a forward P/E ratio of 18.13, while NextEra Energy has a forward P/E of 20.86 [4] - CMS has a PEG ratio of 2.40, compared to NextEra Energy's PEG ratio of 2.43, indicating similar expected earnings growth rates [4] - CMS Energy holds a Value grade of B, whereas NextEra Energy has a Value grade of D, suggesting CMS is more attractive for value investors [5] Additional Valuation Insights - CMS Energy's P/B ratio is 2.17, while NextEra Energy's P/B ratio is 2.47, indicating CMS may be undervalued relative to its book value [8] - Stronger estimate revision activity for CMS Energy suggests it is currently the superior option for value investors compared to NextEra Energy [9]