Clearway Energy Valuation
Is CWEN * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of CWEN * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: CWEN * (MX$599) is trading below our estimate of fair value (MX$1282.28)
Significantly Below Fair Value: CWEN * is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for CWEN *?
Key metric: As CWEN * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is CWEN *'s PE Ratio? | |
|---|---|
| PE Ratio | 25x |
| Earnings | US$122.00m |
| Market Cap | US$5.45b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 10.3x |
| Enterprise Value/EBITDA | 13.8x |
| PEG Ratio | 1.1x |
Price to Earnings Ratio vs Peers
How does CWEN *'s PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 29.7x | ||
EGIE3 Engie Brasil Energia | 7.7x | -14.0% | R$31.9b |
ORA Ormat Technologies | 40.5x | 11.4% | US$4.8b |
ANE Corporación Acciona Energías Renovables | 34.1x | 14.5% | €6.3b |
MEL Meridian Energy | 36.4x | 6.6% | NZ$15.3b |
CWEN * Clearway Energy | 25x | 23.0% | Mex$5.4b |
Price-To-Earnings vs Peers: CWEN * is good value based on its Price-To-Earnings Ratio (25x) compared to the peer average (29.7x).
Price to Earnings Ratio vs Industry
How does CWEN *'s PE Ratio compare vs other companies in the Global Renewable Energy Industry?
| 18 Companies | Price / Earnings | Estimated Growth | Market Cap |
|---|---|---|---|
| 18 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Earnings vs Industry: CWEN * is expensive based on its Price-To-Earnings Ratio (25x) compared to the Global Renewable Energy industry average (14.1x).
Price to Earnings Ratio vs Fair Ratio
What is CWEN *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 25x |
| Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate CWEN *'s Price-To-Earnings Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Insufficient data to show price forecast.
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