HERCULES CAPITAL INC (HTGC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HTGC - US4270965084 - Common Stock
18.6199 USD
-0.22 (-1.17%)
HTGC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 235 industry peers in the Capital Markets industry. HTGC scores excellent on profitability, but there are concerns on its financial health. HTGC has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
HTGC had positive earnings in the past year.
In the past year HTGC has reported a negative cash flow from operations.
HTGC had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: HTGC reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.97%, HTGC belongs to the top of the industry, outperforming 82.55% of the companies in the same industry.
With a decent Return On Equity value of 14.04%, HTGC is doing good in the industry, outperforming 74.47% of the companies in the same industry.
The Return On Invested Capital of HTGC (6.11%) is better than 74.47% of its industry peers.
HTGC had an Average Return On Invested Capital over the past 3 years of 6.33%. This is in line with the industry average of 7.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 14.04% | ||
| ROIC | 6.11% |
ROA(3y)6.62%
ROA(5y)7.02%
ROE(3y)12.91%
ROE(5y)13.88%
ROIC(3y)6.33%
ROIC(5y)5.69%
1.3 Margins
Looking at the Profit Margin, with a value of 59.47%, HTGC belongs to the top of the industry, outperforming 93.19% of the companies in the same industry.
In the last couple of years the Profit Margin of HTGC has declined.
HTGC has a Operating Margin of 64.99%. This is amongst the best in the industry. HTGC outperforms 98.30% of its industry peers.
HTGC's Operating Margin has improved in the last couple of years.
The Gross Margin of HTGC (81.23%) is better than 85.96% of its industry peers.
In the last couple of years the Gross Margin of HTGC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 64.99% | ||
| PM (TTM) | 59.47% | ||
| GM | 81.23% |
OM growth 3Y7.36%
OM growth 5Y4.3%
PM growth 3Y-4.94%
PM growth 5Y-4%
GM growth 3Y2.12%
GM growth 5Y1.42%
2. Health
2.1 Basic Checks
Compared to 1 year ago, HTGC has more shares outstanding
The number of shares outstanding for HTGC has been increased compared to 5 years ago.
Compared to 1 year ago, HTGC has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.32, we must say that HTGC is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of HTGC (1.32) is better than 62.98% of its industry peers.
A Debt/Equity ratio of 0.98 indicates that HTGC is somewhat dependend on debt financing.
HTGC has a Debt to Equity ratio of 0.98. This is comparable to the rest of the industry: HTGC outperforms 51.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.32 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.95 indicates that HTGC may have some problems paying its short term obligations.
The Current ratio of HTGC (0.95) is worse than 60.00% of its industry peers.
HTGC has a Quick Ratio of 0.95. This is a bad value and indicates that HTGC is not financially healthy enough and could expect problems in meeting its short term obligations.
HTGC has a Quick ratio (0.95) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
HTGC shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.21%.
Measured over the past 5 years, HTGC shows a small growth in Earnings Per Share. The EPS has been growing by 7.35% on average per year.
The Revenue for HTGC has decreased by -16.09% in the past year. This is quite bad
HTGC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.00% yearly.
EPS 1Y (TTM)-7.21%
EPS 3Y16.54%
EPS 5Y7.35%
EPS Q2Q%-3.92%
Revenue 1Y (TTM)-16.09%
Revenue growth 3Y20.66%
Revenue growth 5Y13%
Sales Q2Q%10.26%
3.2 Future
HTGC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.19% yearly.
The Revenue is expected to grow by 8.69% on average over the next years. This is quite good.
EPS Next Y-2.12%
EPS Next 2Y1.13%
EPS Next 3Y1.19%
EPS Next 5YN/A
Revenue Next Year5.59%
Revenue Next 2Y7.59%
Revenue Next 3Y8.69%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.65, the valuation of HTGC can be described as very reasonable.
Based on the Price/Earnings ratio, HTGC is valued a bit cheaper than the industry average as 75.32% of the companies are valued more expensively.
HTGC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.87.
The Price/Forward Earnings ratio is 9.06, which indicates a very decent valuation of HTGC.
Based on the Price/Forward Earnings ratio, HTGC is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.46, HTGC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.65 | ||
| Fwd PE | 9.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HTGC is valued a bit cheaper than the industry average as 78.30% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 16.49 |
4.3 Compensation for Growth
HTGC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.31
EPS Next 2Y1.13%
EPS Next 3Y1.19%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 8.50%, HTGC is a good candidate for dividend investing.
HTGC's Dividend Yield is a higher than the industry average which is at 6.39.
HTGC's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.5% |
5.2 History
The dividend of HTGC is nicely growing with an annual growth rate of 7.41%!
HTGC has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
HTGC pays out 104.41% of its income as dividend. This is not a sustainable payout ratio.
HTGC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP104.41%
EPS Next 2Y1.13%
EPS Next 3Y1.19%
NYSE:HTGC (1/6/2026, 1:03:48 PM)
18.6199
-0.22 (-1.17%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners28.19%
Inst Owner Change0%
Ins Owners1.73%
Ins Owner Change-1.27%
Market Cap3.38B
Revenue(TTM)516.85M
Net Income(TTM)307.37M
Analysts84.29
Price Target21.22 (13.96%)
Short Float %2.8%
Short Ratio4.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.5% |
Yearly Dividend1.85
Dividend Growth(5Y)7.41%
DP104.41%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.18%
Min EPS beat(2)0.34%
Max EPS beat(2)4.02%
EPS beat(4)2
Avg EPS beat(4)-1.44%
Min EPS beat(4)-5.11%
Max EPS beat(4)4.02%
EPS beat(8)3
Avg EPS beat(8)-0.29%
EPS beat(12)7
Avg EPS beat(12)1.81%
EPS beat(16)9
Avg EPS beat(16)1.52%
Revenue beat(2)2
Avg Revenue beat(2)1.72%
Min Revenue beat(2)0.25%
Max Revenue beat(2)3.19%
Revenue beat(4)2
Avg Revenue beat(4)-1.68%
Min Revenue beat(4)-6.05%
Max Revenue beat(4)3.19%
Revenue beat(8)4
Avg Revenue beat(8)5.13%
Revenue beat(12)8
Avg Revenue beat(12)4.68%
Revenue beat(16)9
Avg Revenue beat(16)3.06%
PT rev (1m)-0.63%
PT rev (3m)-1.95%
EPS NQ rev (1m)-0.06%
EPS NQ rev (3m)1.49%
EPS NY rev (1m)0.01%
EPS NY rev (3m)0.31%
Revenue NQ rev (1m)1.69%
Revenue NQ rev (3m)1.31%
Revenue NY rev (1m)0.21%
Revenue NY rev (3m)-0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.65 | ||
| Fwd PE | 9.06 | ||
| P/S | 6.55 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.55 | ||
| P/tB | 1.55 | ||
| EV/EBITDA | 16.49 |
EPS(TTM)1.93
EY10.37%
EPS(NY)2.06
Fwd EY11.04%
FCF(TTM)-2.2
FCFYN/A
OCF(TTM)-2.2
OCFYN/A
SpS2.84
BVpS12.05
TBVpS12.05
PEG (NY)N/A
PEG (5Y)1.31
Graham Number22.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 14.04% | ||
| ROCE | 7.74% | ||
| ROIC | 6.11% | ||
| ROICexc | 6.15% | ||
| ROICexgc | 6.16% | ||
| OM | 64.99% | ||
| PM (TTM) | 59.47% | ||
| GM | 81.23% | ||
| FCFM | N/A |
ROA(3y)6.62%
ROA(5y)7.02%
ROE(3y)12.91%
ROE(5y)13.88%
ROIC(3y)6.33%
ROIC(5y)5.69%
ROICexc(3y)6.48%
ROICexc(5y)5.92%
ROICexgc(3y)6.5%
ROICexgc(5y)5.93%
ROCE(3y)8.02%
ROCE(5y)7.21%
ROICexgc growth 3Y12.85%
ROICexgc growth 5Y8.03%
ROICexc growth 3Y12.87%
ROICexc growth 5Y8%
OM growth 3Y7.36%
OM growth 5Y4.3%
PM growth 3Y-4.94%
PM growth 5Y-4%
GM growth 3Y2.12%
GM growth 5Y1.42%
F-Score1
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.4 | ||
| Cap/Depr | 17.58% | ||
| Cap/Sales | 0.01% | ||
| Interest Coverage | 4.18 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | 1.32 |
F-Score1
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)222.71%
Cap/Depr(5y)145.29%
Cap/Sales(3y)0.12%
Cap/Sales(5y)0.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.21%
EPS 3Y16.54%
EPS 5Y7.35%
EPS Q2Q%-3.92%
EPS Next Y-2.12%
EPS Next 2Y1.13%
EPS Next 3Y1.19%
EPS Next 5YN/A
Revenue 1Y (TTM)-16.09%
Revenue growth 3Y20.66%
Revenue growth 5Y13%
Sales Q2Q%10.26%
Revenue Next Year5.59%
Revenue Next 2Y7.59%
Revenue Next 3Y8.69%
Revenue Next 5YN/A
EBIT growth 1Y-18.05%
EBIT growth 3Y29.54%
EBIT growth 5Y17.86%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-212.35%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-213.28%
OCF growth 3YN/A
OCF growth 5YN/A
HERCULES CAPITAL INC / HTGC FAQ
What is the fundamental rating for HTGC stock?
ChartMill assigns a fundamental rating of 4 / 10 to HTGC.
What is the valuation status of HERCULES CAPITAL INC (HTGC) stock?
ChartMill assigns a valuation rating of 5 / 10 to HERCULES CAPITAL INC (HTGC). This can be considered as Fairly Valued.
How profitable is HERCULES CAPITAL INC (HTGC) stock?
HERCULES CAPITAL INC (HTGC) has a profitability rating of 7 / 10.
How financially healthy is HERCULES CAPITAL INC?
The financial health rating of HERCULES CAPITAL INC (HTGC) is 1 / 10.
Can you provide the expected EPS growth for HTGC stock?
The Earnings per Share (EPS) of HERCULES CAPITAL INC (HTGC) is expected to decline by -2.12% in the next year.