The most recent trading session ended with Clearway Energy (CWEN) standing at $26.58, reflecting a +1.03% shift from the previouse trading day's closing. This move lagged the S&P 500's daily gain of 1.26%. On the other hand, the Dow registered a gain of 0.8%, and the technology-centric Nasdaq increased by 1.77%.

Heading into today, shares of the company created by NRG Energy to acquire and operate natural gas, solar and wind plants had lost 8.07% over the past month, lagging the Oils-Energy sector's loss of 5.1% and the S&P 500's loss of 2.82% in that time.

Analysts and investors alike will be keeping a close eye on the performance of Clearway Energy in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.12, reflecting a 62.5% decrease from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $308.01 million, up 23.7% from the prior-year quarter.

Investors might also notice recent changes to analyst estimates for Clearway Energy. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Clearway Energy currently has a Zacks Rank of #2 (Buy).

In terms of valuation, Clearway Energy is currently trading at a Forward P/E ratio of 47.12. This expresses a premium compared to the average Forward P/E of 17.47 of its industry.

Also, we should mention that CWEN has a PEG ratio of 1.76. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Alternative Energy - Other industry had an average PEG ratio of 1.84 as trading concluded yesterday.

The Alternative Energy - Other industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 73, positioning it in the top 30% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Clearway Energy, Inc. (CWEN) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research