CMS Energy Corporation’s CMS subsidiary Consumers Energy announced that Cross Winds Energy Park II in Tuscola County's Columbia Township has officially begun operations. The energy park is currently contributing 44 megawatts (MW) renewable energy and serving nearly 17,000 residentsin Michigan.
Consumers Energy invested $90 million in the Phase II of Cross Winds Energy Park to construct 19 turbines, each of which is 499 feet tall. The phase I of Cross Winds project began its operations in 2014, and is capable of producing 155 MW of renewable energy, sufficient to serve about 60,000 residents.
Will this Benefit CMS Energy?
The Phase II of the project will help the company achieve its aim of contributing $5 billion toward the state economy over a span of five years. The Cross Winds Energy Park Phase II projectis part of total $345 million investment comprising of 81 wind turbines. Notably, the aforementioned project is certainly going to help Consumers Energy's to fulfill its commitment to serve the growing needs of large businesses, that aim to go 100% renewable.
Besides capitalizing on the potential of the expanding renewable energy market, CMS Energy has been broadening renewable portfolio. In September 2017, the company submitted proposals at the Michigan Public Service Commission for amending its renewable energy plan, requesting approval for acquiring up to 525 MW of additional wind projects and 100 MW of solar generation projects. Notably, Phase II of the aforementioned renewable project is anticipated to further lower carbon footprint.
The company plans to bring online Phase III of the Cross Winds Energy Park in 2020, which will add another 76MW of clean energy in its production. The company currently boasts of a strong capital expenditure plan for providing reliable services, and infrastructural upgrades. Notably, it aims to invest nearly $18 billion during 2017-2026.
Going ahead, Consumers Energy’ plans to spend $1.0 billion over the next five years toward electric supply projects, renewable generation, as well as environmental investments.
CMS Energy has underperformed the industry in a month. The company’s shares have lost 6.6%, wider than the industry’s decline of 5%.
Zacks Rank & Key Picks
CMS Energy currently carries a Zacks Rank #4 (Sell). Better-ranked stocks in the same space include Atlantic Power Corporation AT, PPL Corporation PPL and FirstEnergy Corporation FE, each of which carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Atlantic Power delivered an average surprise of 29.21% in the trailing four quarters. Its 2018 estimates have narrowed to a loss of 13 cents per share from a loss of 23 cents per share in the last 60 days.
PPL Corporation delivered an average surprise of 6.26% in the trailing four quarters. Its 2018 estimates have risen to $2.32 per share from $2.31 per share in the last 60 days.
FirstEnergy delivered an average surprise of 4.67% in the trailing four quarters. Its 2018 estimates have risen to $2.51 per share from $2.50 per share in the last 60 days.
Zacks Editor-in-Chief Goes "All In" on This Stock
Full disclosure, Kevin Matras now has more of his own money in one particular stock than in any other. He believes in its short-term profit potential and also in its prospects to more than double by 2019. Today he reveals and explains his surprising move in a new Special Report.
Download it free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CMS Energy Corporation (CMS) : Free Stock Analysis Report
FirstEnergy Corporation (FE) : Free Stock Analysis Report
PPL Corporation (PPL) : Free Stock Analysis Report
Atlantic Power Corporation (AT) : Free Stock Analysis Report
To read this article on Zacks.com click here.