Clearway Energy, Inc. logo CWEN - Clearway Energy, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 12
HOLD 3
SELL 1
STRONG
SELL
0
| PRICE TARGET: $44.80 DETAILS
HIGH: $58.00
LOW: $40.00
MEDIAN: $42.00
CONSENSUS: $44.80
UPSIDE: 41.06%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 85% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Mild
Trading 1.7% above fair value
Current Price $31.76
Bear Case $25.56 19.5% downside ($25.56 - $31.76) / $31.76 = -19.5% $1.42 × 18x P/E
Fair Value $31.24 1.6% downside ($31.24 - $31.76) / $31.76 = -1.6% $1.42 × 22x P/E
Bull Case $36.92 16.2% upside ($36.92 - $31.76) / $31.76 = 16.2% $1.42 × 26x P/E

Adjust Assumptions

22.0x
1.42$

Key Value Driver

Normalized P/E multiple (22x base case)

Implied Market Multiple 22.4x

Plain-Language Summary

Applying a 22x P/E to adjusted EPS of $1.42, the base-case value is $31.24 per share. DDM cross-check: $88.47.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (16 analysts) $44.80
Analyst Range $40.00 – $58.00
Divergence from AlphaVal 30%

Warnings

The company pays out 131% of its profits as dividends. That leaves little cushion — the dividend could be cut if business slows down.
Dividend-based valuation: $88.47 (above our primary estimate by 183%). Large gaps may signal the dividend doesn't reflect full earning power.
Wall Street's average price target is $44.80 (from 16 analysts). Our estimate is 30% below the consensus -- consider that gap carefully.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples