Clearway Energy, Inc. Increases Quarterly Dividend to $0.4033 per Share

Rhea-AI Summary

Clearway Energy, Inc. (CWEN) announced a quarterly dividend increase of 1.7% to $0.4033 per share, totaling $1.6132 annually. The dividend is payable on March 15, 2024, to shareholders of record as of March 1, 2024.

Positive

• Clearway Energy, Inc. declares a quarterly dividend increase of 1.7% to $0.4033 per share.
• The annualized dividend is $1.6132 per share, up from $1.5856 per share in the fourth quarter of 2023.
• The dividend will be paid on March 15, 2024, to shareholders of record as of March 1, 2024.

Negative

• None.

Financial Analyst

The announcement of Clearway Energy's increased dividend is a positive signal to investors, reflecting the company's confidence in its financial health and future earnings potential. The modest increase of 1.7% is in line with inflationary adjustments and suggests a conservative approach to capital distribution. Investors typically view such increases as a sign of stability and a commitment to returning value to shareholders. However, the incremental rise also indicates that the company is balancing the return of capital with the need to reinvest in operations and growth initiatives.

From a financial perspective, the dividend yield and payout ratio are key metrics to watch. Assuming the stock price remains stable, the yield will be slightly higher, which may attract income-focused investors. The payout ratio, which is the proportion of earnings paid out as dividends, will need to be sustainable for the dividend to be considered secure. If the company's earnings grow at a similar pace, the modest dividend increase should not strain its financials.

Market Research Analyst

Clearway Energy operates in the renewable energy sector, which is highly competitive and capital-intensive. The increase in dividend may be a strategic move to remain attractive to investors compared to other energy stocks, especially in a market that is increasingly valuing sustainable and environmentally friendly investments. The renewable energy market is expected to grow significantly and Clearway Energy's ability to provide consistent and growing dividends could position it well among its peers.

It is important to assess the company's growth prospects and operational efficiency in the context of the broader industry trends. Investors should consider whether Clearway Energy is investing adequately in new technologies and expansion efforts to capitalize on the growing demand for renewable energy. The company's performance relative to its competitors could also impact its stock valuation in the long-term.

PRINCETON, N.J., Feb. 15, 2024 (GLOBE NEWSWIRE) -- Clearway Energy, Inc. (NYSE: CWEN, CWEN.A) today announced that on February 14, 2024, its Board of Directors declared a quarterly dividend on each of the Company’s Class A and Class C common stock of $0.4033 per share payable on March 15, 2024, to shareholders of record as of March 1, 2024. This quarterly dividend represents $1.6132 per share on an annualized basis, an increase of 1.7% over the fourth quarter 2023 dividend of $0.3964 per share, or $1.5856 per share annualized.

About Clearway Energy

Clearway Energy, Inc. is one of the largest renewable energy owners in the US with over 5,500 net MW of installed wind and solar generation projects. The Company's over 8,000 net MW of assets also include approximately 2,500 net MW of environmentally-sound, highly efficient natural gas generation facilities. Through this environmentally-sound diversified and primarily contracted portfolio, Clearway Energy endeavors to provide its investors with stable and growing dividend income. Clearway Energy, Inc.’s Class C and Class A common stock are traded on the New York Stock Exchange under the symbols CWEN and CWEN.A, respectively. Clearway Energy, Inc. is sponsored by its controlling investor, Clearway Energy Group LLC. For more information, visit investor.clearwayenergy.com.

Forward Looking Statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are subject to certain risks, uncertainties and assumptions and typically can be identified by the use of words such as “expect,” “estimate,” “should,” “anticipate,” “forecast,” “plan,” “guidance,” “believe” and similar terms. Although Clearway Energy, Inc. believes that the expectations are reasonable, it can give no assurance that these expectations will prove to be correct, and actual results may vary materially.

What is the quarterly dividend declared by Clearway Energy, Inc. (CWEN)?

Clearway Energy, Inc. declared a quarterly dividend of $0.4033 per share.

When will the dividend be payable to shareholders of Clearway Energy, Inc. (CWEN)?

The dividend will be payable on March 15, 2024, to shareholders of record as of March 1, 2024.

What is the annualized dividend per share for Clearway Energy, Inc. (CWEN)?

The annualized dividend per share is $1.6132, representing a 1.7% increase over the previous quarter.