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Clearway Energy, Inc. (CWEN-A)
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Clearway Energy, Inc. (CWEN-A) DCF Valuation

A meaningful DCF fair value isn't available for Clearway Energy, Inc. (CWEN-A) — its free-cash-flow and net-debt profile makes a standard discounted-cash-flow model unreliable (common for loss-makers and high-net-debt or recently-public companies), and no analyst DCF is published. Explore your own assumptions with the editable model below.

What would today's price require?

Growth the price assumes+23.1%/yr
Actual FCF growth, last 5 years+9.9%/yr

$40.43 is justified only if free cash flow grows about +23.1% a year (fading to 2.5% long-run) at a 8.7% required return — faster than the company has actually grown.

ScenarioFCF growth (fading to 2.5%)DiscountValue / share
Conservative4.3%/yr9.7%N/A
Base case7.3%/yr8.7%$2.01
Optimistic10.3%/yr7.7%$17.67
Analyst DCF (FMP)independent reference — different model$664.72

Current Price

$40.43

Market-Implied Growth

+23.1%/yr

vs +9.9% 5Y actual

Base-Case Model Value

CWEN-A DCF Fair Value Calculator

Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for CWEN-A (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.

7.3%/yr
Historical FCF CAGR: 3Y -1.6% · 5Y 9.9% · 10Y 4.9%
8.7%
2.5%
10yr

Base inputs: FCF $445.5M · 0.21B shares · net debt $8.6B

Estimated Fair Value

$9.91

-75.5% vs $40.43

Current price$40.43
Analyst DCF (FMP)$664.72

Sensitivity — fair value by discount rate × terminal growth

How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 7.3%/yr FCF growth and 10-year horizon fixed. Green = above today's $40.43; red = below. Your current case is outlined.

WACC ↓ / Terminal →1.50%2.00%2.50%3.00%3.50%
6.7%$25.35$30.35$36.55$44.42$54.76
7.7%$13.66$16.85$20.64$25.25$30.94
8.7%$5.28$7.42$9.91$12.84$16.33
9.7%$0.48$2.20$4.18$6.47
10.7%

About Clearway Energy, Inc.

Clearway Energy, Inc. is an American enterprise primarily focused on the renewable energy sector. Its operational portfolio encompasses approximately 5,000 net megawatts (MW) from installed wind and solar generation projects, complemented by an additional 2,500 net MW derived from natural gas facilities. The company, which was originally incorporated in 2012, rebranded from NRG Yield, Inc. to Clearway Energy, Inc. in August 2018. Headquartered in Princeton, New Jersey, Clearway Energy, Inc. functions as a subsidiary of Clearway Energy Group LLC.

Princeton, NJ
60 employees
Utilities / Renewable Utilities
Sector
Utilities
Industry
Renewable Utilities
CEO
Craig Cornelius