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Clearway Energy, Inc. (CWEN.A)
:CWEN.A
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Clearway Energy (CWEN.A) AI Stock Analysis

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CWEN.A

Clearway Energy

(NYSE:CWEN.A)

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Neutral 70 (OpenAI - 4o)
Rating:70Neutral
Price Target:
$36.00
▲(20.81% Upside)
Clearway Energy's overall stock score is driven by a positive earnings call and strong technical indicators. The company's financial performance is mixed, with concerns about revenue growth and leverage. Valuation is fair, with an attractive dividend yield. The stock's bullish momentum is tempered by overbought conditions, suggesting caution.

Clearway Energy (CWEN.A) vs. SPDR S&P 500 ETF (SPY)

Clearway Energy Business Overview & Revenue Model

Company DescriptionClearway Energy, Inc. is a leading renewable energy company based in the United States, primarily focused on the development, ownership, and operation of clean energy projects. The company operates in the renewable energy sector, with a diverse portfolio that includes wind, solar, and energy storage facilities. Clearway Energy aims to provide sustainable energy solutions while contributing to a cleaner environment and reducing dependence on fossil fuels.
How the Company Makes MoneyClearway Energy generates revenue primarily through the sale of electricity produced by its renewable energy assets. The company enters into long-term Power Purchase Agreements (PPAs) with utilities and other energy buyers, which provide a stable and predictable revenue stream. Additionally, Clearway may earn revenue from the sale of Renewable Energy Certificates (RECs) and tax incentives associated with renewable energy production. The company's strategic partnerships with various stakeholders in the energy sector, including governmental entities and private companies, further enhance its earnings potential by expanding its project development capabilities and market reach.

Clearway Energy Earnings Call Summary

Earnings Call Date:Nov 04, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Mar 02, 2026
Earnings Call Sentiment Positive
The earnings call reflects a positive outlook for Clearway Energy, with strong growth targets and a robust development pipeline. The company is well-positioned to meet its financial goals, though there are concerns about the potential environmental impact of flexible generation and the need for equity issuance.
Q3-2025 Updates
Positive Updates
Narrowed Financial Guidance
Clearway Energy has narrowed its financial guidance for 2025 to the top half of its originally set range, driven by strong performance in the third quarter and successful acquisitions.
2030 Financial Target
Clearway Energy has established a 2030 CAFD per share goal of $2.90 to $3.10, translating to a 7% to 8% growth CAGR from the 2025 guidance midpoint.
Robust Development Pipeline
Clearway Group's development program for 2028 and 2029 includes over 6.5 gigawatts of projects, which is far more than needed to meet the top end of the 2030 goal.
Strong M&A Performance
Clearway has completed three transactions with CAFD yields above 12%, including the Deriva Solar portfolio acquisition, leveraging core strengths in solar assets.
Successful Sponsor-Enabled Growth
All previously committed investments are on track, with new opportunities identified for the 2026 COD year, including the Royal Slope project in Washington State.
Negative Updates
Reliance on Flexible Generation
The strategy includes developing natural gas resources alongside renewables, which may face challenges due to environmental concerns and market volatility.
Potential Equity Issuances
Clearway plans to issue moderate discrete amounts of equity, which may dilute existing shareholders. The timing and market conditions for these issuances remain uncertain.
Company Guidance
During Clearway Energy, Inc.'s Third Quarter 2025 Conference Call, the company provided a comprehensive update on its financial guidance and strategic outlook. For 2025, the company narrowed its financial guidance to the top half of its originally set range due to strong third-quarter performance and successful integration of new acquisitions. It set a 2030 CAFD per share target of $2.90 to $3.10, translating to a 7% to 8% CAGR from the 2025 midpoint. Clearway aims to achieve this by leveraging its late-stage pipeline, which has grown fourfold since 2017, and by strategically using retained cash flow, debt, and modest equity issuances to fund growth. The company also plans to maintain a long-term payout ratio below 70%, supporting competitive EPS growth. Looking beyond 2030, Clearway is well-positioned with a robust development pipeline, including over 6.5 gigawatts of projects for 2028 and 2029, expecting CAFD yields of 10.5% or better. The call emphasized Clearway's commitment to delivering sustainable growth through its diversified growth pathways and prudent capital management.

Clearway Energy Financial Statement Overview

Summary
Clearway Energy shows mixed financial performance. While profitability has improved with a higher net profit margin, revenue growth is negative, and leverage remains high. Cash flow metrics indicate good cash generation, but the decline in free cash flow growth is concerning. Overall, the company needs to address revenue growth and leverage to enhance financial stability.
Income Statement
65
Positive
Clearway Energy's income statement shows mixed results. The TTM gross profit margin is strong at 50.5%, but has declined from previous years. The net profit margin improved significantly to 20.1% TTM, indicating better profitability. However, revenue growth has been negative recently, with a -3.98% decline TTM, which is a concern. The EBIT and EBITDA margins are healthy, though they have decreased compared to prior periods.
Balance Sheet
55
Neutral
The balance sheet reveals high leverage with a debt-to-equity ratio of 1.61 TTM, which is an improvement from previous years but still indicates significant debt levels. The return on equity is low at 2.03% TTM, reflecting modest returns for shareholders. The equity ratio is stable, suggesting a balanced asset structure, but the high debt remains a risk.
Cash Flow
60
Neutral
Cash flow analysis shows a decline in free cash flow growth at -21.71% TTM, which is concerning. However, the operating cash flow to net income ratio is strong at 1.02, indicating good cash generation relative to net income. The free cash flow to net income ratio is also solid at 0.63, suggesting efficient cash utilization.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.38B1.37B1.31B1.19B1.29B1.20B
Gross Profit698.00M870.00M841.00M755.00M835.00M833.00M
EBITDA1.05B1.08B1.03B2.20B904.00M879.00M
Net Income276.00M88.00M79.00M582.00M51.00M25.00M
Balance Sheet
Total Assets16.07B14.33B14.70B12.31B12.81B10.59B
Cash, Cash Equivalents and Short-Term Investments251.00M332.00M535.00M657.00M179.00M268.00M
Total Debt9.22B7.75B8.66B7.36B8.27B7.31B
Total Liabilities10.28B8.77B9.71B8.28B9.51B7.88B
Stockholders Equity5.71B2.06B2.10B2.23B1.83B1.82B
Cash Flow
Free Cash Flow440.00M483.00M408.00M675.00M550.00M421.00M
Operating Cash Flow703.00M770.00M702.00M787.00M701.00M545.00M
Investing Cash Flow-790.00M-725.00M-523.00M1.13B88.00M-62.00M
Financing Cash Flow54.00M-363.00M-124.00M-1.57B-600.00M-435.00M

Clearway Energy Technical Analysis

Technical Analysis Sentiment
Positive
Last Price29.80
Price Trends
50DMA
28.81
Positive
100DMA
28.91
Positive
200DMA
27.53
Positive
Market Momentum
MACD
1.04
Negative
RSI
76.62
Negative
STOCH
91.41
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CWEN.A, the sentiment is Positive. The current price of 29.8 is below the 20-day moving average (MA) of 30.47, above the 50-day MA of 28.81, and above the 200-day MA of 27.53, indicating a bullish trend. The MACD of 1.04 indicates Negative momentum. The RSI at 76.62 is Negative, neither overbought nor oversold. The STOCH value of 91.41 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CWEN.A.

Clearway Energy Risk Analysis

Clearway Energy disclosed 49 risk factors in its most recent earnings report. Clearway Energy reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Clearway Energy Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
74
Outperform
$3.14B24.306.96%1.00%45.09%50.54%
71
Outperform
$6.91B52.025.45%0.45%6.07%12.07%
70
Neutral
$7.07B14.1213.20%5.69%2.54%124.89%
66
Neutral
$17.65B18.105.60%3.62%6.62%11.55%
62
Neutral
$2.74B25.087.64%33.19%486.74%
62
Neutral
$3.79B-4.45%14.26%20.99%
56
Neutral
$7.98B-38.17%3.32%5.93%-39.88%
* Utilities Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CWEN.A
Clearway Energy
33.28
8.66
35.17%
ORA
Ormat Techno
114.47
31.14
37.37%
BEPC
Brookfield Renewable
44.18
15.03
51.56%
RNW
ReNew Energy Global
7.40
2.03
37.80%
FLNC
Fluence Energy
21.79
0.12
0.55%
EE
Excelerate Energy, Inc. Class A
27.88
0.24
0.87%

Clearway Energy Corporate Events

Clearway Energy Reports Strong Q3 2025 Results
Nov 5, 2025

Clearway Energy, Inc. is a leading company in the renewable energy sector, primarily focusing on clean energy generation across the United States. With a diverse portfolio that includes wind, solar, and energy storage, Clearway Energy is committed to providing sustainable energy solutions and reliable grid services.

Clearway Energy, Inc. Reports Q2 2025 Financial Results
Aug 6, 2025

Clearway Energy, Inc. is a prominent player in the clean energy sector, focusing on the ownership and operation of renewable energy generation assets across the United States. The company is known for its extensive portfolio, which includes wind, solar, and energy storage facilities, contributing significantly to the transition towards sustainable energy solutions.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Nov 06, 2025