Renewable utility, 12.9 GW clean energy, P/TB 0.38, AGI 8. | Analysis date: 2026-03-13
Clearway Energy is one of the largest owners of clean energy in the US (12.9 GW across 27 states). AGI score 8 reflects strong demand for clean power from data centers. The Class A shares trade at an extreme discount: P/TB of 0.38. You are buying $1 of renewable energy assets for $0.38. The company pays a 4.76% dividend and has 12-year weighted average contract duration.
Clearway Energy owns and operates ~12.9 GW of generation capacity: ~10.1 GW renewable (wind, solar, BESS) and ~2.8 GW flexible gas generation. 98% of 2025 generation from renewables. Revenue $1.43B, OCF $688M. Sponsored by Clearway Energy Group (CEG). Long-term contracted assets with 12-year weighted average remaining term. 203.8M shares outstanding across Class A and Class C.
| Metric | FY2020 | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|---|
| Revenue | $280M | $1.3B | $1.2B | $1.3B | $1.4B | $1.4B |
| Net Income | -$73M | -$75M | $1.1B | -$14M | -$63M | -$231M |
| Operating Cash Flow | $545M | $701M | $787M | $702M | $770M | $688M |
| Capital Expenditures | $124M | $151M | $112M | $212M | $287M | $319M |
| Operating Income | $28M | $267M | $1.5B | $263M | $196M | $160M |
| Balance Sheet (Latest FY) | Value |
|---|---|
| Total Assets | $16.7B |
| Cash & Equivalents | $231M |
| Property, Plant & Equipment | $11.6B |
| Intangible Assets | $2.4B |
| Long-Term Debt | $7.9B |
| Stockholders Equity | $5.8B |
| Tangible Book Value | $3.5B |
| Tangible Book / Share | $16.94 |
| Shares Outstanding | 203,773,674 |
| Year | Shares Outstanding | Change |
|---|---|---|
| FY2020 | 201,635,990 | - |
| FY2021 | 201,856,166 | +0.1% |
| FY2022 | 201,972,813 | +0.1% |
| FY2023 | 202,080,794 | +0.1% |
| FY2024 | 202,147,579 | +0.0% |
| FY2025 | 203,773,674 | +0.8% |
Total equity is $5.8B. PP&E is $11.6B. Total assets $16.7B. At a market cap of ~$4.6B, you are buying $16.7B in assets (mostly physical power plants) for 28 cents on the dollar. Even after subtracting $9.4B debt, the equity value on books is $5.8B vs $4.6B market cap. The contracted cash flows ($688M OCF) on 12-year average terms provide extraordinary visibility.
AI data centers are driving record demand for clean power, especially from companies with sustainability commitments. Clearway's 10.1 GW of renewable capacity is exactly what hyperscalers need for PPAs. New contract terms are improving (higher prices, longer duration). As old contracts expire, they can be re-priced higher.
Class A shares have limited voting rights (Class C has control). CEG (the sponsor) extracts management fees and has significant control. The company is a yieldco designed to pay dividends, not grow aggressively. Net income is negative (-$231M) due to depreciation and interest costs. High leverage: $9.4B debt on $16.7B assets (56% debt/assets).
As a highly leveraged yield vehicle, CWEN-A is sensitive to interest rates. Rising rates increase refinancing costs on $9.4B debt and make the 4.76% dividend yield less attractive. Changes in tax credits (IRA) could affect project economics.
| Current Price | $37.99 |
| Bull Case Price (by 2030-2035) | $120 |
| 10x Entry Price (Bull Case / 10) | $12 |
| Current Price vs 10x Entry | $37.99 ABOVE entry zone |
Rationale: If power prices rise 50% on contracts + 5 GW new capacity at higher PPAs, CAFD doubles to $800M+ on 200M shares. At 20x CAFD = $80-120/share. Entry for 10x: $12/share. Need interest rate spike + renewable policy reversal.
CWEN-A at $37.99: Trading well above the 10x entry zone (would need a significant pullback for 10x potential).
AGI Score 8/10 — Strong AGI beneficiary.
Floor estimate: Tangible book value per share is $16.94. Current price is well above tangible book: downside protection comes from cash flows, not assets.
Data sources: SEC EDGAR XBRL, yfinance, 10-K filings. Analysis date: 2026-03-13.