2026 Stock Market Predictions: Small-Cap Stocks to Rise
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 04 2026
0mins
Should l Buy CWEN?
Source: Fool
- Small-Cap Surge: In 2026, small- and mid-cap stocks are expected to take the lead, with Mirum Pharmaceuticals nearly doubling its share price in 2025, indicating strong potential for small-cap investments in the upcoming year.
- AI Investment Returns: While some predict an AI bubble burst, a shift from hype to tangible returns is anticipated in 2026, with Alphabet's Google Cloud expected to gain traction, particularly as customers opt for its TPUs over Nvidia's GPUs.
- Renewable Energy Rebound: Despite reduced support from the Trump administration, stocks like Brookfield Renewable and Clearway Energy are predicted to continue rising in 2026, driven by strong AI growth and increased energy demand for data centers.
- Midterm Election Impact: The 2026 midterm elections are likely to introduce market volatility, as historically seen, and if Democrats regain control of Congress, it could influence stock performance, particularly for cannabis-related companies like Green Thumb Industries and Trulieve Cannabis.
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Analyst Views on CWEN
Wall Street analysts forecast CWEN stock price to fall
7 Analyst Rating
6 Buy
1 Hold
0 Sell
Strong Buy
Current: 40.060
Low
34.00
Averages
39.29
High
50.00
Current: 40.060
Low
34.00
Averages
39.29
High
50.00
About CWEN
Clearway Energy, Inc. is the owner of clean energy generation assets. It invests in energy infrastructure and focuses on investments in clean energy and owns sustainable and long-term contracted assets across North America. Its portfolio comprises approximately 12.7 gigawatts (GW) of gross capacity in 27 states, including 9.9 GW of wind, solar, and energy storage and over 2.8 GW of dispatchable power generation providing critical grid reliability services. Its operating facilities include Carlsbad, El Segundo, GenConn Devon, GenConn Middletown, Marsh Landing and Walnut Creek. Its utility-scale solar projects include Agua Caliente, Alpine, Avenal, Avra Valley, Blythe, Daggett 3, Desert Sunlight 250, Kansas South, and others. Its wind projects include Black Rock, Buffalo Bear, Cedro Hill, and others. It also operates the 137-megawatt (MW) Tuolumne Wind Project in Klickitat County, Washington and the 109 MW Catalina Solar facility in Kern County, California.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- NextPower Buyback Announcement: NextPower announced a $350 million share buyback, prompting several analysts to raise their price targets, with UBS setting a Street-high target of $140, reflecting over 20% upside from current market prices and confidence in future growth.
- Bloom Energy's Surging Orders: Bloom Energy's fuel cell systems have become critical in the AI data center buildout, with a backlog exceeding $20 billion, and management raised 2026 guidance to $3.3 billion following its Q4 2025 report, showcasing strong market demand.
See More
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- NextEra Energy Performance: NextEra Energy reported mixed quarterly results on January 27, and despite a 13% stock price increase over the past month, its RSI value of 70.3 suggests a possible price correction risk, closing at $89.47.
- Market Reaction: NextEra Energy's stock rose 0.3% on Friday, reflecting a cautious optimism in the market despite a lukewarm response to its earnings report, with a 52-week high of $90.99 indicating potential resistance levels.
- Investor Caution: With rising RSI indicators, investors should remain vigilant regarding these utility stocks, especially in a volatile market, as overbought conditions may lead to short-term price adjustments.
See More
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- Stable Earnings in Clean Energy: Clearway Energy boasts a dividend yield exceeding 5%, ensuring stable cash flow through long-term fixed-rate contracts, with expectations of 7% to 8% annual cash flow per share growth by 2030, supporting ongoing dividend increases.
- REIT Stability Advantage: NNN REIT offers a dividend yield over 5.5%, generating stable rental income from single-tenant, triple-net-leased properties, having increased dividends for 36 consecutive years, showcasing strong financial flexibility and investment potential.
- Pipeline Industry Growth Potential: Oneok has a 5.5% dividend yield, supported by long-term contracts and government-regulated revenue structures, enabling over 25 years of dividend stability, with plans for 3% to 4% annual growth in the future.
- Telecom Giant Expansion Strategy: Verizon's dividend yield exceeds 7%, leveraging the $20 billion acquisition of Frontier to expand its broadband network and enhance cross-selling capabilities, expected to support future dividend growth, having achieved a 19-year growth streak.
See More
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- Dividend Stability: Verizon has increased its dividend for 19 consecutive years, currently boasting a yield of over 7%, supported by stable wireless and internet revenues that enhance its financial robustness for future dividend growth.
- Long-Term Contract Security: Oneok offers a 5.5% dividend yield, with stable cash flow derived from long-term fixed contracts, reflecting over 25 years of consistent dividend growth backed by a strong financial foundation and expansion capabilities.
- Investment Return Potential: NNN REIT has a dividend yield exceeding 5.5%, with stable rental income from single-tenant properties, allocating 70% of its cash flow to dividends, ensuring long-term investment returns and financial flexibility.
- Clean Energy Outlook: Clearway Energy's dividend yield is over 5%, with expectations of 7% to 8% compound annual cash flow growth per share through 2030, providing robust support for continued dividend increases.
See More
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- Asset Portfolio Advantage: Clearway Energy owns 12.7 GW of clean generation assets across wind, solar, and natural gas, ensuring stable cash flow under long-term power purchase agreements, which provides a 5% dividend yield, enhancing its market appeal.
- Significant Growth Potential: The company anticipates a 7% to 8% compound annual growth rate in cash flow per share through 2030, which not only supports future dividend increases but also provides a strong financial foundation for expansion in the clean energy sector.
- Investment Flexibility: Through its strategic relationship with parent company Clearway Energy Group, Clearway can acquire operating clean power assets, further diversifying its portfolio and enhancing revenue-generating capabilities, facilitating capital recycling.
- Long-Term Return Expectations: With a 5% dividend yield and earnings growth exceeding 5% annually, Clearway Energy is projected to achieve total annualized returns above 10% over the next decade, showcasing strong return potential from a lower-risk investment.
See More
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- Clean Energy Asset Scale: Clearway Energy owns 12.7 gigawatts of wind, solar, energy storage, and natural gas capacity, making it one of the largest owners of clean generation assets in the U.S., showcasing its strong competitive position in the clean energy market.
- Stable Cash Flow: The company secures stable cash flow through long-term power purchase agreements (PPAs) with a target dividend payout ratio below 70%, allowing it to provide a 5% current dividend yield while retaining sufficient funds for reinvestment.
- Growth Visibility: Clearway expects to grow its cash flow per share at a compound annual growth rate of 7% to 8% through 2030, with strategic relationships with its parent company providing financial flexibility to support future dividend increases.
- Investment Opportunities: The company enhances its market position and growth potential by investing in organic expansion and acquiring operating clean power assets, recycling capital to support new renewable energy development projects.
See More
