Clearway Energy, Inc. (NYSE:CWEN) is a prominent player in the renewable energy sector, originally established by NRG Energy to acquire and operate energy assets. The company focuses on providing clean energy solutions and is part of the Oils-Energy sector, which includes 247 companies. Within this sector, Clearway Energy holds a strong position, ranked #7 in the Zacks Sector Rank.
On February 24, 2025, CWEN reported earnings per share (EPS) of $0.03, which was below the estimated $0.13. The company's revenue for the period was $256 million, falling short of the anticipated $299.7 million. Despite this, Clearway Energy holds a Zacks Rank of #2 (Buy), indicating a positive outlook. This ranking suggests that the company has potential to outperform the market in the short term.
Clearway Energy's performance is often compared to its peers, such as Enterprise Products Partners (EPD). The company is anticipated to surpass earnings estimates in its upcoming quarterly report, as highlighted by Zacks Investment Research. However, the market expects a year-over-year decline in earnings despite higher revenues for the quarter ending December 2024. This could impact the stock price, depending on whether the actual earnings exceed or miss expectations.
The company's financial metrics provide insight into its valuation and financial health. CWEN has a price-to-earnings (P/E) ratio of approximately 25.82, indicating how much investors are willing to pay per dollar of earnings. Its price-to-sales ratio is about 3.73, reflecting the company's market value compared to its revenue. The enterprise value to sales ratio is around 8.91, suggesting the company's total valuation relative to its sales.
Additionally, CWEN's enterprise value to operating cash flow ratio is approximately 16.28, highlighting the company's valuation in relation to its cash flow from operations. The debt-to-equity ratio is about 1.39, indicating the proportion of debt used to finance the company's assets relative to shareholders' equity. Lastly, the current ratio is about 1.49, suggesting that the company has a good level of liquidity to cover its short-term liabilities.
