Hercules Capital (NYSE:HTGC) Releases Quarterly Earnings Results, Hits Estimates

Hercules Capital (NYSE:HTGC) posted its quarterly earnings data on Thursday. The financial services provider reported $0.48 earnings per share for the quarter, hitting the consensus estimate of $0.48, FiscalAI reports. Hercules Capital had a net margin of 60.05% and a return on equity of 16.13%. The company had revenue of $133.25 million for the quarter, compared to analysts’ expectations of $141.57 million.

Hercules Capital Trading Down 1.0%

Shares of HTGC traded down $0.16 during trading hours on Thursday, hitting $16.63. The company had a trading volume of 2,508,695 shares, compared to its average volume of 1,695,192. Hercules Capital has a 52-week low of $15.65 and a 52-week high of $22.04. The company has a quick ratio of 1.65, a current ratio of 1.65 and a debt-to-equity ratio of 0.98. The stock’s 50 day moving average price is $18.45 and its 200 day moving average price is $18.49. The firm has a market cap of $3.02 billion, a P/E ratio of 9.67 and a beta of 0.84.

Hercules Capital Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 4th. Stockholders of record on Wednesday, February 25th will be issued a $0.07 dividend. The ex-dividend date is Wednesday, February 25th. This represents a $0.28 annualized dividend and a dividend yield of 1.7%. Hercules Capital’s payout ratio is currently 93.02%.

Analyst Ratings Changes

Several analysts have recently weighed in on the stock. Wall Street Zen cut shares of Hercules Capital from a “buy” rating to a “hold” rating in a research report on Saturday, December 20th. Weiss Ratings restated a “buy (b-)” rating on shares of Hercules Capital in a research report on Wednesday, January 28th. Lucid Cap Mkts raised Hercules Capital to a “strong-buy” rating in a research note on Monday, December 15th. Finally, Capital One Financial set a $19.75 price objective on Hercules Capital in a research report on Monday, December 15th. One analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $20.32.

Institutional Trading of Hercules Capital

Several hedge funds and other institutional investors have recently bought and sold shares of HTGC. Marshall Wace LLP purchased a new stake in shares of Hercules Capital during the third quarter valued at approximately $11,199,000. Qube Research & Technologies Ltd raised its holdings in Hercules Capital by 425.6% during the 2nd quarter. Qube Research & Technologies Ltd now owns 580,414 shares of the financial services provider’s stock valued at $10,610,000 after buying an additional 469,989 shares during the last quarter. HRT Financial LP boosted its position in Hercules Capital by 100.9% during the 2nd quarter. HRT Financial LP now owns 558,010 shares of the financial services provider’s stock valued at $10,200,000 after buying an additional 280,198 shares during the period. Credit Agricole S A bought a new stake in Hercules Capital in the 3rd quarter worth $5,271,000. Finally, Cerity Partners LLC raised its stake in shares of Hercules Capital by 592.3% during the fourth quarter. Cerity Partners LLC now owns 197,961 shares of the financial services provider’s stock valued at $3,726,000 after acquiring an additional 169,368 shares during the last quarter. Institutional investors own 19.69% of the company’s stock.

About Hercules Capital

Hercules Capital, Inc is a specialty finance company organized as a business development company (BDC) that provides tailored debt financing solutions to high‐growth companies. Through its external management structure, Hercules Capital extends senior secured loans, subordinated debt and growth capital designed to support research and development, expansion initiatives and working capital needs. The firm primarily partners with venture capital and private equity sponsors to finance innovative enterprises across various developmental stages.

The company’s investment portfolio is concentrated in technology, life sciences and sustainable and renewable technology sectors, reflecting its focus on industries with strong growth prospects and recurring capital requirements.