Why CLEARWAY ENERGY INC-C (NYSE:CWEN) qualifies as a good dividend investing stock.

Last update: Apr 3, 2025

CLEARWAY ENERGY INC-C (NYSE:CWEN) has caught the attention of dividend investors as a stock worth considering. CWEN excels in profitability, solvency, and liquidity, all while providing a decent dividend. Let's delve into the details.

Deciphering CWEN's Dividend Rating

ChartMill assigns a proprietary Dividend Rating to each stock. The score is computed by evaluating various valuation aspects, like the yield, the history, the dividend growth and sustainability. CWEN was assigned a score of 8 for dividend:

CWEN has a Yearly Dividend Yield of 5.96%, which is a nice return.
Compared to an average industry Dividend Yield of 4.55, CWEN pays a better dividend. On top of this CWEN pays more dividend than 95.00% of the companies listed in the same industry.
CWEN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
The dividend of CWEN is nicely growing with an annual growth rate of 15.88%!
CWEN has paid a dividend for at least 10 years, which is a reliable track record.
As CWEN did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
CWEN's earnings are growing more than its dividend. This makes the dividend growth sustainable.

What does the Health looks like for CWEN

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of CWEN, the assigned 5 reflects its health status:

CWEN has a better Altman-Z score (0.50) than 65.00% of its industry peers.
CWEN's Debt to FCF ratio of 14.87 is amongst the best of the industry. CWEN outperforms 90.00% of its industry peers.
CWEN has a Current ratio of 1.49. This is in the better half of the industry: CWEN outperforms 70.00% of its industry peers.
The Quick ratio of CWEN (1.40) is better than 70.00% of its industry peers.

What does the Profitability looks like for CWEN

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. CWEN was assigned a score of 5 for profitability:

Looking at the Profit Margin, with a value of 6.42%, CWEN is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
In the last couple of years the Profit Margin of CWEN has grown nicely.
CWEN has a better Gross Margin (63.46%) than 75.00% of its industry peers.

More Best Dividend stocks can be found in our Best Dividend screener.

For an up to date full fundamental analysis you can check the fundamental report of CWEN

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.