Hercules Capital, Inc. (NYSE:HTGC) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

Hercules Capital, Inc. (NYSE:HTGC) has received an average rating of “Moderate Buy” from the eight research firms that are covering the stock, MarketBeat reports. Three investment analysts have rated the stock with a hold rating, four have issued a buy rating and one has assigned a strong buy rating to the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $18.4643.

A number of equities research analysts recently issued reports on HTGC shares. LADENBURG THALM/SH SH lowered their price objective on Hercules Capital from $21.00 to $20.00 and set a “buy” rating on the stock in a research note on Friday, July 31st. Weiss Ratings reiterated a “hold (c)” rating on shares of Hercules Capital in a research report on Wednesday, June 17th. Citizens Jmp reduced their target price on shares of Hercules Capital from $24.00 to $22.00 and set a “market outperform” rating for the company in a research note on Wednesday, April 22nd. Piper Sandler boosted their price target on shares of Hercules Capital from $16.50 to $17.00 and gave the company a “neutral” rating in a research report on Wednesday, May 6th. Finally, Keefe, Bruyette & Woods dropped their price target on shares of Hercules Capital from $19.00 to $18.00 and set an “outperform” rating on the stock in a research note on Thursday, April 16th.

Hedge Funds Weigh In On Hercules Capital

Large investors have recently made changes to their positions in the stock. Integrated Wealth Concepts LLC lifted its holdings in Hercules Capital by 5.9% during the 1st quarter. Integrated Wealth Concepts LLC now owns 17,241 shares of the financial services provider’s stock worth $331,000 after purchasing an additional 959 shares in the last quarter. Empowered Funds LLC grew its holdings in Hercules Capital by 85.9% during the 1st quarter. Empowered Funds LLC now owns 22,854 shares of the financial services provider’s stock valued at $439,000 after buying an additional 10,559 shares in the last quarter. Focus Partners Wealth increased its position in shares of Hercules Capital by 26.0% during the first quarter. Focus Partners Wealth now owns 15,747 shares of the financial services provider’s stock valued at $302,000 after buying an additional 3,250 shares during the period. Northwestern Mutual Wealth Management Co. increased its position in shares of Hercules Capital by 81.8% during the second quarter. Northwestern Mutual Wealth Management Co. now owns 4,780 shares of the financial services provider’s stock valued at $87,000 after buying an additional 2,151 shares during the period. Finally, Invesco Ltd. lifted its holdings in shares of Hercules Capital by 1.6% in the second quarter. Invesco Ltd. now owns 78,951 shares of the financial services provider’s stock worth $1,443,000 after buying an additional 1,252 shares in the last quarter. 19.69% of the stock is owned by institutional investors.

Hercules Capital Stock Performance

NYSE:HTGC opened at $17.18 on Thursday. The company has a market capitalization of $3.22 billion, a P/E ratio of 8.55 and a beta of 0.79. The business has a fifty day simple moving average of $15.89 and a two-hundred day simple moving average of $15.74. The company has a debt-to-equity ratio of 1.03, a current ratio of 1.37 and a quick ratio of 1.37. Hercules Capital has a 1 year low of $13.70 and a 1 year high of $19.67.

Hercules Capital (NYSE:HTGC) last issued its quarterly earnings results on Thursday, July 30th. The financial services provider reported $0.50 EPS for the quarter, beating analysts’ consensus estimates of $0.48 by $0.02. The firm had revenue of $134.41 million for the quarter, compared to analysts’ expectations of $146.71 million. Hercules Capital had a return on equity of 16.01% and a net margin of 67.68%.The business’s revenue for the quarter was up 8.4% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.50 EPS. On average, analysts expect that Hercules Capital will post 1.95 earnings per share for the current year.

Hercules Capital Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, August 18th. Shareholders of record on Tuesday, August 11th will be issued a dividend of $0.40 per share. This represents a $1.60 dividend on an annualized basis and a yield of 9.3%. The ex-dividend date of this dividend is Tuesday, August 11th. This is a positive change from Hercules Capital’s previous quarterly dividend of $0.07. Hercules Capital’s payout ratio is presently 79.60%.

Hercules Capital Company Profile

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.