Clearway Energy (CWEN) closed at $36.82 in the latest trading session, marking a +1.77% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.41% for the day. At the same time, the Dow lost 0.83%, and the tech-heavy Nasdaq gained 0.91%.
Coming into today, shares of the company created by NRG Energy to acquire and operate natural gas, solar and wind plants had gained 7.71% in the past month. In that same time, the Oils-Energy sector gained 7.63%, while the S&P 500 gained 0.38%.
The upcoming earnings release of Clearway Energy will be of great interest to investors. The company's earnings report is expected on February 23, 2026. In that report, analysts expect Clearway Energy to post earnings of -$0.21 per share. This would mark a year-over-year decline of 800%. Simultaneously, our latest consensus estimate expects the revenue to be $304.76 million, showing a 19.05% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.18 per share and revenue of $1.42 billion, indicating changes of +190.67% and 0%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for Clearway Energy. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.28% lower. Clearway Energy is currently a Zacks Rank #3 (Hold).
With respect to valuation, Clearway Energy is currently being traded at a Forward P/E ratio of 51.22. For comparison, its industry has an average Forward P/E of 18.99, which means Clearway Energy is trading at a premium to the group.
We can also see that CWEN currently has a PEG ratio of 1.37. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Alternative Energy - Other industry held an average PEG ratio of 1.4.
The Alternative Energy - Other industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 156, this industry ranks in the bottom 37% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Clearway Energy, Inc. (CWEN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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