Clean Energy Fuels Corp. (CLNE) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Clean Energy Fuels Corp. (CLNE) Energy Operations & Outlook

Clean Energy Fuels Corp. delivers alternative fueling solutions, primarily renewable natural gas (RNG), for vehicle fleets across North America. With a network of fueling stations and a focus on RNG production, the company addresses the growing demand for sustainable transportation fuels in the heavy-duty vehicle sector.

What Is the Investment Thesis for CLNE?

Clean Energy Fuels Corp. presents a compelling investment case centered on the increasing demand for sustainable transportation fuels and the company's strategic focus on RNG. The company's extensive network of fueling stations and its growing RNG production capacity position it to capitalize on the shift towards cleaner energy sources in the transportation sector. Key value drivers include the expansion of RNG supply, strategic partnerships with fleet operators, and the monetization of environmental credits. The company's negative profit margin of -52.2% raises concerns, but the long-term growth potential of the RNG market and Clean Energy's established infrastructure offer significant upside. The company's beta of 2.03 indicates higher volatility compared to the market. Upcoming regulations favoring low-carbon fuels could serve as a catalyst, while potential delays in RNG project development represent a risk.

Based on FMP financials and quantitative analysis

CLNE Key Highlights

• Clean Energy Fuels Corp. operates approximately 548 fueling stations in 42 states in the United States and 25 fueling stations in Canada as of December 31, 2021, providing a wide network for alternative fuel distribution.
• The company serves approximately 1,000 fleet customers operating approximately 48,000 vehicles as of December 31, 2021, demonstrating a substantial customer base.
• Clean Energy Fuels Corp. focuses on renewable natural gas (RNG), aligning with the increasing demand for sustainable transportation fuels.
• The company's gross margin is 4.0%, indicating a need for improvement in cost management and pricing strategies.
• Clean Energy Fuels Corp. has a market capitalization of $478M, reflecting its current market valuation.

Who Are CLNE's Competitors?

CLNE is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are CLNE's Key Strengths?

• Extensive network of fueling stations.
• Focus on renewable natural gas (RNG).
• Established relationships with fleet operators.
• Expertise in fueling infrastructure development.

What Are CLNE's Weaknesses?

• Negative profit margin.
• Dependence on government incentives and regulations.
• Exposure to commodity price fluctuations.
• Limited geographic diversification.

What Could Drive CLNE Stock Higher?

• Increasing government incentives and regulations supporting the use of alternative fuels, such as the Renewable Fuel Standard and Low Carbon Fuel Standards.
• Growing corporate sustainability initiatives driving demand for renewable natural gas (RNG) from fleet operators.
• Potential expansion of RNG production capacity through new projects and acquisitions.
• Strategic partnerships with major fleet operators to secure long-term fuel supply agreements.

What Are the Key Risks for CLNE?

• Financial-distress signal — its Altman Z-Score of -0.58 sits in the distress zone (elevated bankruptcy risk).
• Negative return on equity (-17.3%) — the business is not currently generating profit on shareholder capital.
• Changes in government regulations and incentives could negatively impact the economics of alternative fuels.
• Technological advancements in other alternative fuel technologies, such as electric vehicles, could reduce demand for natural gas.
• Exposure to commodity price fluctuations, particularly natural gas prices, could affect profitability.
• Delays in RNG project development and permitting could hinder the company's growth plans.

What Are the Growth Opportunities for CLNE?

• Growth opportunity 1: Expansion of RNG Production Capacity: Clean Energy Fuels can significantly expand its RNG production by developing new projects and acquiring existing RNG facilities. The market for RNG is projected to grow substantially as more fleets transition to cleaner fuels. The company's focus on dairy and livestock waste RNG projects provides a sustainable and cost-effective source of fuel. Securing long-term contracts with RNG suppliers and investing in advanced production technologies will enhance Clean Energy's competitive advantage. This expansion could increase revenue by an estimated 20% within the next three years.
• Growth opportunity 2: Strategic Partnerships with Fleet Operators: Forming strategic partnerships with large fleet operators, such as trucking companies and public transit agencies, can drive significant growth for Clean Energy Fuels. These partnerships can involve long-term fuel supply agreements, joint development of fueling infrastructure, and collaborative marketing initiatives. By becoming the preferred fuel provider for major fleets, Clean Energy can secure a stable revenue stream and expand its market share. The market size for fleet fueling is estimated to be $100+ billion annually, offering substantial opportunities for growth. These partnerships could increase fuel sales by 15% annually.
• Growth opportunity 3: Development of New Fueling Stations: Expanding its network of fueling stations in strategic locations is crucial for Clean Energy Fuels to capture a larger share of the alternative fuel market. The company should focus on developing stations along major transportation corridors and in areas with high demand for RNG. Utilizing data analytics to identify optimal locations and offering incentives to attract fleet customers will enhance the effectiveness of this strategy. The investment in new fueling stations is projected to increase revenue by 10% within the next two years.
• Growth opportunity 4: Monetization of Environmental Credits: Clean Energy Fuels can generate significant revenue by monetizing environmental credits, such as Renewable Identification Numbers (RINs) and Low Carbon Fuel Standards (LCFS) credits. These credits are generated from the production and sale of RNG as a vehicle fuel. By actively participating in the environmental credit markets and optimizing its credit management strategies, Clean Energy can enhance its profitability. The market for environmental credits is estimated to be worth billions of dollars annually, providing a substantial revenue opportunity. Efficient monetization of credits could add 5% to the bottom line.
• Growth opportunity 5: Expansion into New Geographies: While primarily focused on the United States and Canada, Clean Energy Fuels can explore opportunities to expand into new geographies with favorable regulatory environments and growing demand for alternative fuels. Europe and Asia are potential markets for expansion, particularly in countries with strong commitments to reducing greenhouse gas emissions. Conducting thorough market research and forming partnerships with local players will be essential for successful expansion. International expansion could increase revenue by 8% within five years.

What Opportunities Does CLNE Have?

• Expansion of RNG production capacity.
• Strategic partnerships with fleet operators.
• Development of new fueling stations.
• Monetization of environmental credits.
• Expansion into new geographies.

What Threats Does CLNE Face?

• Competition from traditional fuel providers.
• Changes in government regulations and incentives.
• Technological advancements in alternative fuel technologies.
• Economic downturn affecting transportation demand.

What Are CLNE's Competitive Advantages?

• Extensive network of fueling stations provides a competitive advantage in distributing alternative fuels.
• Focus on renewable natural gas (RNG) aligns with the growing demand for sustainable transportation fuels.
• Long-term relationships with fleet operators create a stable customer base.
• Expertise in designing, building, and operating fueling infrastructure provides a barrier to entry for new competitors.

What Does CLNE Do?

Clean Energy Fuels Corp., incorporated in 2001 and headquartered in Newport Beach, California, emerged as a response to the growing need for cleaner transportation fuels. The company provides natural gas, particularly renewable natural gas (RNG), as an alternative fuel for vehicle fleets, primarily in the United States and Canada. Its services encompass the supply of RNG, compressed natural gas (CNG), and liquefied natural gas (LNG) tailored for medium and heavy-duty vehicles. Clean Energy also offers comprehensive operation and maintenance services for both public and private vehicle fleet fueling stations. Beyond fuel supply, Clean Energy designs, builds, operates, and maintains fueling stations, providing end-to-end solutions for its customers. The company also sells and services compressors and other equipment critical for RNG production and fueling station functionality. Clean Energy transports and sells CNG, RNG, and LNG through virtual natural gas pipelines and interconnects, expanding its reach and service capabilities. The company actively participates in the market for U.S. federal, state, and local government credits, such as Renewable Identification Numbers and Low Carbon Fuel Standards credits, generated from RNG as a vehicle fuel. Clean Energy also focuses on developing, owning, and operating dairy and other livestock waste RNG projects, contributing to sustainable energy production. As of December 31, 2021, Clean Energy served approximately 1,000 fleet customers operating approximately 48,000 vehicles, supported by its network of approximately 548 fueling stations in 42 U.S. states and 25 stations in Canada. The company serves diverse sectors, including heavy-duty trucking, airports, refuse, public transit, industrial, institutional energy users, and government fleets.

What Products and Services Does CLNE Offer?

• Supplies renewable natural gas (RNG), compressed natural gas (CNG), and liquefied natural gas (LNG) for medium and heavy-duty vehicles.
• Offers operation and maintenance services for public and private vehicle fleet customer stations.
• Designs, builds, operates, and maintains fueling stations.
• Sells and services compressors and other equipment used in RNG production and fueling stations.
• Transports and sells CNG, RNG, and LNG through virtual natural gas pipelines and interconnects.
• Sells U.S. federal, state, and local government credits, such as Renewable Identification Numbers and Low Carbon Fuel Standards credits.
• Develops, owns, and operates dairy and other livestock waste RNG projects.

How Does CLNE Make Money?

• Generates revenue from the sale of RNG, CNG, and LNG to vehicle fleets.
• Provides operation and maintenance services for fueling stations, creating recurring revenue.
• Sells equipment and services related to RNG production and fueling infrastructure.
• Monetizes environmental credits, such as RINs and LCFS credits.

What Industry Does CLNE Operate In?

Clean Energy Fuels Corp. operates within the oil & gas refining & marketing industry, which is undergoing a significant transformation due to increasing environmental concerns and regulations. The demand for cleaner transportation fuels, particularly renewable natural gas (RNG), is growing, driven by government incentives and corporate sustainability initiatives. The competitive landscape includes traditional fuel providers and other alternative fuel companies.

Who Are CLNE's Key Customers?

• Heavy-duty trucking companies seeking to reduce emissions and fuel costs.
• Airports operating ground support equipment and shuttle fleets.
• Refuse collection companies transitioning to cleaner fuel options.
• Public transit agencies aiming to reduce their carbon footprint.
• Industrial and institutional energy users looking for sustainable energy solutions.
• Government fleets committed to using alternative fuels.

Company Profile

Clean Energy Fuels Corp. operates in the Oil & Gas Refining & Marketing industry within the Energy sector. It is headquartered in Newport Beach, US. The company is led by CEO Andrew J. Littlefair. CLNE has traded publicly since 2007.

F-Score 6/9Financial Health

Clean Energy Fuels Corp.'s Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of -0.58 places it in the distress zone, a signal of elevated financial risk.

ROE -17%Key Financial Metrics

Return on equity for Clean Energy Fuels Corp. stands at -17.3%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -9.6%, showing how much profit it generates from its asset base. Its free cash flow yield is 4.1%, a gauge of the cash the business throws off relative to its market value. A current ratio of 2.46 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is -22.1%, the inverse of the P/E and a quick read on earnings relative to price.

CLNE Valuation & Market Position

With a $478M market cap, Clean Energy Fuels Corp. sits in the small-cap segment of the market. Relative to its peer group, CLNE's quantitative score of 16/100 is below the peer average of 58/100.

FY2026 estForward Outlook

Wall Street analysts project Clean Energy Fuels Corp. revenue of about $456.4M for fiscal 2026, with EPS near $-0.01. The estimate reflects 3 contributing analysts.

Net buyingInsider Activity

Over the past six months, Clean Energy Fuels Corp. insiders filed 3 SEC Form 4 transactions — 0 sales and 3 purchases. On net that is roughly 89K shares acquired (about $69K) — insiders putting money in tends to read as conviction.

CLNE Financials

CLNE Latest News

CLNE Analyst Consensus

CLNE MoonshotScore

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Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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