Core Viewpoint - Clearway Energy, Inc. has entered into a binding agreement to acquire a 613 MWac operational solar portfolio from Deriva Energy, LLC, which is expected to enhance its growth in cash available for distribution (CAFD) per share and leverage its strengths in solar operations [1][5]. Acquisition Details - The solar portfolio spans eight states, with significant capacity in the CAISO and PJM markets, allowing Clearway to utilize its operational strengths in these regions [2]. - Clearway will co-invest in a 50/50 joint venture with Fengate Asset Management for 12 assets in the Western US, totaling 227 MWac [2]. - The overall portfolio has a weighted average contract life of 10 years, aligning with Clearway's existing fleet and providing opportunities for contract extensions and battery hybridization [2]. Financial Implications - The total long-term corporate capital investment in the portfolio is estimated to be approximately $210-230 million, with an expected 5-year annual CAFD yield over 12% [3]. - The acquisition is projected to generate an incremental average annual asset CAFD of approximately $27 million starting January 1, 2027 [3]. Transaction Timeline - The transaction is anticipated to close by the second quarter of 2026, with funding expected to be within the company's previously disclosed capital allocation framework [4]. Strategic Outlook - The acquisition is expected to deepen Clearway's presence in the CAISO and PJM markets and create additional value through proven strategies in battery hybridization and contract extensions [5]. - The company aims to achieve its 2027 CAFD per share target range of $2.50 - $2.70, supported by ongoing fleet enhancement and a robust dropdown pipeline [5]. Company Overview - Clearway Energy, Inc. is one of the largest owners of clean energy generation assets in the US, with a portfolio of approximately 12 GW of gross capacity across 27 states [6]. - The company focuses on providing stable and growing dividend income through its diversified and primarily contracted clean energy portfolio [6].

Core Insights - The article discusses the strategy of selecting high-yield dividend stocks from the Global X SuperDividend US ETF (DIV), emphasizing the importance of both yield and price stability in the current market environment [1][2][4]. Group 1: Investment Strategy - The focus is on identifying three stocks from the DIV ETF that not only offer attractive dividend yields but also exhibit favorable price patterns, minimizing the risk of capital loss [1][8]. - The article highlights the necessity of analyzing stocks for their potential to provide price gains alongside high dividend payments, particularly in a volatile market [8][16]. Group 2: Market Context - Dividend stock investing has been experiencing a downturn, with less emphasis on high, consistent dividend payouts compared to previous years [6][16]. - The current market conditions require a higher standard for what constitutes a good yield-focused total return investment, as many traditional high-yield stocks have suffered significant price declines [3][16]. Group 3: Stock Analysis - The three highlighted stocks include Verizon (VZ), Clearway Energy Class C (CWEN), and Evergy (EVRG), each with varying yields and historical volatility [10][11][12]. - VZ offers a yield of 6.3%, while CWEN is approaching a recent high with a yield above 6%, and EVRG, despite a lower yield of 3.5%, has shown promising price movement [13][14][15].

Core Insights - Clearway Energy, Inc. (NYSE:CWEN) is recognized as one of the 10 Most Promising Green Stocks according to Wall Street Analysts, supported by strong hedge fund backing and favorable analyst ratings [1] Financial Performance - In Q2 2025, Clearway Energy reported sales of $392 million, falling short of expectations compared to $429.9 million, with an EPS of $0.28 versus the anticipated $0.71 [3] - Despite the weaker quarterly performance, management highlighted an increased availability of funds for distribution and a focus on battery storage and wind repowering programs [3] Strategic Initiatives - Clearway Energy announced a $100 million at-the-market equity program on September 6, 2025, aimed at raising funds for capital expenditures, debt payments, and renewable energy expansion initiatives [2] - The company has a substantial portfolio of sustainable energy assets, totaling 12 GW across 27 states, which includes dispatchable power, solar, wind, and storage [4] - The investment pipeline and equity program are designed to strengthen Clearway Energy's position in the clean energy sector while addressing immediate performance challenges and fostering long-term growth [3]

iREIT+HOYA Capital is the premier income-focused investing service on Seeking Alpha. Our focus is on income-producing asset classes that offer the opportunity for sustainable portfolio income , diversification , and inflation hedging . Get started with a Free Two-Week Trial and take a look at our top ideas across our exclusive income-focused portfolios.It’s a common refrain that stocks are overvalued, with the so-called Buffett Indicator sitting at 219%. This ratio is measured by taking the total market cap ...

Core Insights - High-yielding dividend stocks are becoming harder to find as the S&P 500's dividend yield has dropped to less than 1.2%, nearing its lowest level on record [1][2] Group 1: Clearway Energy - Clearway Energy offers a dividend yield of 6.3%, supported by long-term, fixed-rate power purchase agreements (PPAs) that provide stable cash flow [4][5] - The company plans to distribute 70% to 80% of its cash flows as dividends while investing the remainder in renewable energy projects, aiming for over 20% cash flow per share growth in the next two years, which could lead to a dividend increase of more than 10% by the end of 2027 [5][6] - Clearway has multiple growth drivers, including repowering wind farms and acquiring new projects, with expectations of 5% to 8% annual cash flow growth beyond 2027 [6] Group 2: Realty Income - Realty Income has a dividend yield of 5.4% and pays dividends monthly, making it attractive for passive income investors [8] - The REIT has a strong history of dividend increases, having raised its payment 132 times since 1994, with a compound annual growth rate of 4.2% [8][9] - Realty Income's diversified portfolio and long-term triple net leases provide stable cash flow, with a significant $14 trillion investment opportunity in NNN real estate [9] Group 3: Verizon - Verizon leads the group with a 6.4% dividend yield, supported by substantial cash flows from consumer and business services [10][11] - The company expects $38 billion in operating cash flow this year, allowing for investments in network expansion, acquisitions, and debt repayment [11] - Verizon has a strong track record of dividend increases, recently marking its 19th consecutive annual increase, with expectations for continued growth [12] Group 4: Investment Opportunity - Clearway Energy, Realty Income, and Verizon are highlighted as strong options for investors seeking high-yielding dividends backed by solid financial profiles and consistent dividend growth [13]

Company Performance - Clearway Energy (CWEN) closed at $28.51, reflecting a +1.53% increase from the previous day, outperforming the S&P 500's daily gain of 0.44% [1] - Over the past month, Clearway Energy shares experienced a loss of 6.68%, underperforming the Oils-Energy sector's gain of 3.62% and the S&P 500's gain of 4.03% [2] Earnings Expectations - Clearway Energy is expected to report an EPS of $0.44, which represents a 41.94% increase from the prior-year quarter, with a projected quarterly revenue of $431.88 million, down 11.14% from the year-ago period [3] - For the entire fiscal year, earnings are projected at $0.72 per share and revenue at $1.45 billion, indicating changes of -4% and +6% respectively from the prior year [4] Analyst Estimates and Rankings - Recent adjustments to analyst estimates for Clearway Energy are crucial as they reflect short-term business trends, with positive revisions indicating a favorable business outlook [4] - The Zacks Rank system currently rates Clearway Energy at 3 (Hold), with a recent downward shift of 12.93% in the consensus EPS estimate over the past month [6] Valuation Metrics - Clearway Energy is trading at a Forward P/E ratio of 38.8, significantly higher than the industry average Forward P/E of 20.16, suggesting a premium valuation [7] - The company has a PEG ratio of 1.24, compared to the Alternative Energy - Other industry's average PEG ratio of 2.43, indicating a more favorable growth expectation relative to its valuation [8] Industry Context - The Alternative Energy - Other industry, part of the Oils-Energy sector, holds a Zacks Industry Rank of 180, placing it in the bottom 28% of over 250 industries, suggesting weaker performance compared to higher-ranked industries [9]

Core Viewpoint - Clearway Energy is positioned as a compelling investment opportunity in the renewable energy sector, focusing on wind, solar, and water power, with a strong emphasis on dividend growth supported by free cash flow [1][2][5]. Group 1: Dividend and Financial Metrics - Clearway Energy offers a forward dividend yield of over 6%, appealing to income and dividend growth investors [2]. - The annual dividend is $1.78, with a dividend payout ratio of 273.85%, although the payout ratio based on cash available for distribution (CAFD) is healthier at 70% to 80% [6][7]. - The company has a dividend increase track record of 2 years, indicating a commitment to returning value to shareholders [6]. Group 2: Growth and Expansion Plans - Clearway has a clear growth strategy supported by strong cash flow, allowing for reinvestment in upgrading existing facilities and acquiring new ones [9]. - Recent acquisitions include facilities in Washington and California, along with new projects in Utah, California, and Texas [10]. - Repowering projects in Texas and West Virginia aim to enhance efficiency and extend the lifespan of existing equipment, which is expected to drive new business and contract extensions [11]. Group 3: Analyst and Institutional Support - The stock has a 12-month price forecast of $36.40, indicating a potential upside of 30.77% from the current price of $27.84 [12]. - Institutional ownership exceeds 85%, with a trend of buying activity outpacing selling [13]. - Analysts rate the stock as a Moderate Buy, with a consensus price target suggesting a 25% upside, reflecting positive sentiment towards the stock [13].

Core Viewpoint - Clearway Energy is positioned for significant growth, offering an attractive dividend yield of 6.4% and potential for cash flow increases through 2027, making it a compelling investment opportunity [2][12]. Growth Potential - Clearway Energy has successfully sold its thermal infrastructure assets for $1.9 billion and is reinvesting that capital into higher-return renewable energy assets [4]. - The company has secured new contracts and identified projects that will generate power and cash flow in the coming years, providing visibility into its growth trajectory [5]. - Clearway expects to generate $2.08 per share in cash available for dividends this year, with projections of $2.50 to $2.70 per share by 2027, indicating over a 20% increase [6]. Dividend Growth - The current annualized dividend rate is over $1.78 per share, with a target to grow it to around $1.98 per share by 2027, representing an increase of more than 11% [7]. - The company anticipates a 5% to 8% annual growth rate in cash available for dividends through 2027 and beyond, supporting its dividend growth strategy [11]. Long-term Strategy - Clearway is pursuing additional wind repowering projects and exploring battery storage options, which will enhance cash flows from its existing portfolio [8]. - The company has a significant opportunity to acquire new renewable energy projects from its parent company, Clearway Energy Group, with a late-stage pipeline representing over $1.5 billion in investment opportunities [9]. Financial Flexibility - Clearway has demonstrated financial flexibility by acquiring renewable energy assets from third parties, including the Catalina Solar project for $127 million and Tuolumne Wind for $61 million [10].

Core Viewpoint - Clearway Energy's stock has underperformed compared to the broader market and the Oils-Energy sector, with a notable decline over the past month [1] Financial Performance - Clearway Energy's upcoming earnings per share (EPS) is projected at $0.53, representing a 70.97% increase year-over-year [2] - Quarterly revenue is expected to be $443 million, reflecting an 8.85% decrease from the same period last year [2] - For the entire fiscal year, earnings are estimated at $0.8 per share and revenue at $1.44 billion, indicating increases of 6.67% and 4.88% respectively from the previous year [3] Analyst Estimates - Recent adjustments to analyst estimates for Clearway Energy indicate short-term business trends, with positive revisions suggesting optimism about profitability [3] - The Zacks Consensus EPS estimate has decreased by 9.1% over the past month, and Clearway Energy currently holds a Zacks Rank of 3 (Hold) [5] Valuation Metrics - Clearway Energy is trading at a Forward P/E ratio of 35.82, which is a premium compared to the industry average of 20.02 [6] - The company has a PEG ratio of 1.15, which is lower than the industry average PEG ratio of 2.43 [6] Industry Context - Clearway Energy operates within the Alternative Energy - Other industry, which is ranked 182 out of over 250 industries, placing it in the bottom 27% [7] - The Zacks Industry Rank indicates that the top 50% of rated industries outperform the bottom half by a factor of 2 to 1 [7]

Group 1: Enterprise Products Partners - Enterprise Products Partners has $6 billion in organic expansion projects expected to enter commercial service by the end of this year, with additional projects set to start in 2026, providing stable cash flow for continued distribution increases [1] - The current yield for Enterprise Products Partners is 6.9%, supported by stable cash flow from fee-based income derived from long-term contracts and regulated rate structures [2] - The company has a strong balance sheet, allowing for continued growth beyond the current year [1] Group 2: Clearway Energy - Clearway Energy aims to pay out 70%-80% of its stable cash flow as dividends, with expected cash available for dividends rising from $2.08 per share this year to $2.50-$2.70 per share by 2027, supporting a 5%-8% annual dividend growth target [3] - The company offers a 6.3% dividend yield, backed by predictable cash flow from long-term power purchase agreements with utilities and corporate buyers [4] Group 3: Vici Properties - Vici Properties has a current dividend yield of 5.4%, with a portfolio that includes long-term net leases that escalate rents in line with inflation, providing stable and rising rental income [6][8] - The REIT has extended its dividend growth streak to eight years, achieving a 6.6% compound annual growth rate during this period [8] Group 4: Verizon - Verizon has a dividend yield of 6.4% and is projected to generate between $19.5 billion and $20.5 billion in free cash flow this year, sufficient to cover its annual dividend commitment of less than $12 billion [9][10] - The company has a strong financial profile that supports strategic investments, including a $20 billion acquisition of Frontier Communications to enhance its fiber network [10][11] Group 5: W.P. Carey - W.P. Carey offers a 5.4% dividend yield, with a diversified portfolio secured by long-term net leases that provide stable cash flow [12] - The company has invested $1.3 billion in new properties this year and aims for an investment volume target of $1.4 billion to $1.8 billion [13][14] Group 6: Overall Market Context - The S&P 500 currently has a historically low dividend yield of 1.2%, making high-yield dividend stocks like Clearway Energy, Enterprise Products Partners, Verizon, Vici Properties, and W.P. Carey attractive for income-seeking investors [5][15]