CLEARWAY ENERGY INC-C (CWEN) Stock Fundamental Analysis
USA - NYSE:CWEN - US18539C2044 - Common Stock
30.34 USD
+0.29 (+0.97%)
30.589 USD
+0.25 (+0.82%)
Overall CWEN gets a fundamental rating of 4 out of 10. We evaluated CWEN against 20 industry peers in the Independent Power and Renewable Electricity Producers industry. CWEN has only an average score on both its financial health and profitability. CWEN is valied quite expensively at the moment, while it does show a decent growth rate. CWEN also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year CWEN was profitable.
CWEN had a positive operating cash flow in the past year.
Each year in the past 5 years CWEN has been profitable.
In the past 5 years CWEN always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.47%, CWEN is in line with its industry, outperforming 50.00% of the companies in the same industry.
CWEN has a Return On Equity of 4.11%. This is comparable to the rest of the industry: CWEN outperforms 55.00% of its industry peers.
CWEN's Return On Invested Capital of 1.22% is on the low side compared to the rest of the industry. CWEN is outperformed by 60.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CWEN is below the industry average of 4.08%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.47% | ||
| ROE | 4.11% | ||
| ROIC | 1.22% |
ROA(3y)1.96%
ROA(5y)1.3%
ROE(3y)11.36%
ROE(5y)7.65%
ROIC(3y)1.38%
ROIC(5y)1.8%
1.3 Margins
CWEN has a Profit Margin (5.31%) which is in line with its industry peers.
In the last couple of years the Profit Margin of CWEN has grown nicely.
CWEN's Operating Margin of 16.41% is fine compared to the rest of the industry. CWEN outperforms 65.00% of its industry peers.
In the last couple of years the Operating Margin of CWEN has declined.
CWEN's Gross Margin of 64.32% is fine compared to the rest of the industry. CWEN outperforms 75.00% of its industry peers.
CWEN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.41% | ||
| PM (TTM) | 5.31% | ||
| GM | 64.32% |
OM growth 3Y-11.92%
OM growth 5Y-10%
PM growth 3Y17.41%
PM growth 5YN/A
GM growth 3Y-0.76%
GM growth 5Y-1.04%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CWEN is destroying value.
CWEN has about the same amout of shares outstanding than it did 1 year ago.
Compared to 5 years ago, CWEN has more shares outstanding
CWEN has a better debt/assets ratio than last year.
2.2 Solvency
CWEN has an Altman-Z score of 0.44. This is a bad value and indicates that CWEN is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of CWEN (0.44) is comparable to the rest of the industry.
The Debt to FCF ratio of CWEN is 15.50, which is on the high side as it means it would take CWEN, 15.50 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 15.50, CWEN is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
CWEN has a Debt/Equity ratio of 4.46. This is a high value indicating a heavy dependency on external financing.
CWEN has a worse Debt to Equity ratio (4.46) than 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.46 | ||
| Debt/FCF | 15.5 | ||
| Altman-Z | 0.44 |
ROIC/WACC0.19
WACC6.37%
2.3 Liquidity
A Current Ratio of 1.42 indicates that CWEN should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.42, CWEN is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
CWEN has a Quick Ratio of 1.34. This is a normal value and indicates that CWEN is financially healthy and should not expect problems in meeting its short term obligations.
CWEN has a Quick ratio of 1.34. This is in the better half of the industry: CWEN outperforms 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.42 | ||
| Quick Ratio | 1.34 |
3. Growth
3.1 Past
The earnings per share for CWEN have decreased strongly by -13.33% in the last year.
Measured over the past years, CWEN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.45% on average per year.
Looking at the last year, CWEN shows a quite strong growth in Revenue. The Revenue has grown by 14.65% in the last year.
CWEN shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.85% yearly.
EPS 1Y (TTM)-13.33%
EPS 3Y19.45%
EPS 5YN/A
EPS Q2Q%-34.88%
Revenue 1Y (TTM)14.65%
Revenue growth 3Y2.16%
Revenue growth 5Y5.85%
Sales Q2Q%7.1%
3.2 Future
The Earnings Per Share is expected to grow by 12.60% on average over the next years. This is quite good.
Based on estimates for the next years, CWEN will show a small growth in Revenue. The Revenue will grow by 6.27% on average per year.
EPS Next Y-10.58%
EPS Next 2Y14.78%
EPS Next 3Y12.6%
EPS Next 5YN/A
Revenue Next Year1.6%
Revenue Next 2Y6.92%
Revenue Next 3Y6.27%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
CWEN is valuated quite expensively with a Price/Earnings ratio of 46.68.
Based on the Price/Earnings ratio, CWEN is valued a bit cheaper than the industry average as 70.00% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of CWEN to the average of the S&P500 Index (27.86), we can say CWEN is valued expensively.
Based on the Price/Forward Earnings ratio of 30.70, the valuation of CWEN can be described as expensive.
Based on the Price/Forward Earnings ratio, CWEN is valued a bit cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.32, CWEN is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.68 | ||
| Fwd PE | 30.7 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CWEN.
Based on the Price/Free Cash Flow ratio, CWEN is valued cheaper than 95.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.92 | ||
| EV/EBITDA | 13.76 |
4.3 Compensation for Growth
A more expensive valuation may be justified as CWEN's earnings are expected to grow with 12.60% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y14.78%
EPS Next 3Y12.6%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.14%, CWEN is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.14, CWEN pays a better dividend. On top of this CWEN pays more dividend than 85.00% of the companies listed in the same industry.
CWEN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.14% |
5.2 History
The dividend of CWEN is nicely growing with an annual growth rate of 15.88%!
CWEN has paid a dividend for at least 10 years, which is a reliable track record.
As CWEN did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)15.88%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
CWEN pays out 455.26% of its income as dividend. This is not a sustainable payout ratio.
The dividend of CWEN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP455.26%
EPS Next 2Y14.78%
EPS Next 3Y12.6%
30.34
+0.29 (+0.97%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryIndependent Power and Renewable Electricity Producers
Earnings (Last)
Earnings (Next)
Inst Owners76.54%
Inst Owner Change0%
Ins Owners0.03%
Ins Owner Change0.91%
Market Cap6.13B
Analysts83.75
Price Target39.61 (30.55%)
Short Float %10.62%
Short Ratio3.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.14% |
Yearly Dividend1.65
Dividend Growth(5Y)15.88%
DP455.26%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)24.85%
Min EPS beat(2)-62.82%
Max EPS beat(2)112.53%
EPS beat(4)1
Avg EPS beat(4)-11.16%
Min EPS beat(4)-62.82%
Max EPS beat(4)112.53%
EPS beat(8)3
Avg EPS beat(8)78.82%
EPS beat(12)5
Avg EPS beat(12)64.77%
EPS beat(16)6
Avg EPS beat(16)75.05%
Revenue beat(2)0
Avg Revenue beat(2)-6.27%
Min Revenue beat(2)-9.94%
Max Revenue beat(2)-2.6%
Revenue beat(4)1
Avg Revenue beat(4)-2.59%
Min Revenue beat(4)-13.81%
Max Revenue beat(4)15.99%
Revenue beat(8)1
Avg Revenue beat(8)-6.57%
Revenue beat(12)3
Avg Revenue beat(12)-5.74%
Revenue beat(16)3
Avg Revenue beat(16)-8.41%
PT rev (1m)0.29%
PT rev (3m)2.16%
EPS NQ rev (1m)9.59%
EPS NQ rev (3m)8.68%
EPS NY rev (1m)18.04%
EPS NY rev (3m)-40.5%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)2.17%
Revenue NY rev (1m)-0.48%
Revenue NY rev (3m)-1.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.68 | ||
| Fwd PE | 30.7 | ||
| P/S | 4.28 | ||
| P/FCF | 10.92 | ||
| P/OCF | 7.87 | ||
| P/B | 3.32 | ||
| P/tB | N/A | ||
| EV/EBITDA | 13.76 |
EPS(TTM)0.65
EY2.14%
EPS(NY)0.99
Fwd EY3.26%
FCF(TTM)2.78
FCFY9.16%
OCF(TTM)3.85
OCFY12.7%
SpS7.08
BVpS9.14
TBVpS-2.13
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.47% | ||
| ROE | 4.11% | ||
| ROCE | 1.55% | ||
| ROIC | 1.22% | ||
| ROICexc | 1.24% | ||
| ROICexgc | 1.47% | ||
| OM | 16.41% | ||
| PM (TTM) | 5.31% | ||
| GM | 64.32% | ||
| FCFM | 39.25% |
ROA(3y)1.96%
ROA(5y)1.3%
ROE(3y)11.36%
ROE(5y)7.65%
ROIC(3y)1.38%
ROIC(5y)1.8%
ROICexc(3y)1.44%
ROICexc(5y)1.86%
ROICexgc(3y)1.78%
ROICexgc(5y)2.29%
ROCE(3y)1.75%
ROCE(5y)2.28%
ROICexcg growth 3Y-17.63%
ROICexcg growth 5Y-15.57%
ROICexc growth 3Y-15.48%
ROICexc growth 5Y-15.05%
OM growth 3Y-11.92%
OM growth 5Y-10%
PM growth 3Y17.41%
PM growth 5YN/A
GM growth 3Y-0.76%
GM growth 5Y-1.04%
F-Score5
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.46 | ||
| Debt/FCF | 15.5 | ||
| Debt/EBITDA | 7.78 | ||
| Cap/Depr | 26.3% | ||
| Cap/Sales | 15.15% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.49% | ||
| Profit Quality | 739.47% | ||
| Current Ratio | 1.42 | ||
| Quick Ratio | 1.34 | ||
| Altman-Z | 0.44 |
F-Score5
WACC6.37%
ROIC/WACC0.19
Cap/Depr(3y)28.49%
Cap/Depr(5y)26.49%
Cap/Sales(3y)16.18%
Cap/Sales(5y)14.12%
Profit Quality(3y)416.97%
Profit Quality(5y)797.18%
High Growth Momentum
Growth
EPS 1Y (TTM)-13.33%
EPS 3Y19.45%
EPS 5YN/A
EPS Q2Q%-34.88%
EPS Next Y-10.58%
EPS Next 2Y14.78%
EPS Next 3Y12.6%
EPS Next 5YN/A
Revenue 1Y (TTM)14.65%
Revenue growth 3Y2.16%
Revenue growth 5Y5.85%
Sales Q2Q%7.1%
Revenue Next Year1.6%
Revenue Next 2Y6.92%
Revenue Next 3Y6.27%
Revenue Next 5YN/A
EBIT growth 1Y62.07%
EBIT growth 3Y-10.02%
EBIT growth 5Y-4.74%
EBIT Next Year322.18%
EBIT Next 3Y70.51%
EBIT Next 5YN/A
FCF growth 1Y-2.6%
FCF growth 3Y-3.41%
FCF growth 5Y14.17%
OCF growth 1Y8.65%
OCF growth 3Y3.88%
OCF growth 5Y10.05%