Zacks Research Has Pessimistic Outlook of HTGC Q2 Earnings

Hercules Capital, Inc. (NYSE:HTGC) – Equities research analysts at Zacks Research dropped their Q2 2025 earnings per share (EPS) estimates for Hercules Capital in a research note issued on Monday, December 30th. Zacks Research analyst R. Department now forecasts that the financial services provider will post earnings of $0.48 per share for the quarter, down from their previous estimate of $0.49. The consensus estimate for Hercules Capital’s current full-year earnings is $2.01 per share. Zacks Research also issued estimates for Hercules Capital’s FY2025 earnings at $1.95 EPS and FY2026 earnings at $1.98 EPS.

Several other research firms have also recently commented on HTGC. Keefe, Bruyette & Woods upgraded Hercules Capital from a “market perform” rating to an “outperform” rating and boosted their target price for the company from $19.50 to $21.50 in a research note on Thursday, December 12th. Wells Fargo & Company lifted their price target on shares of Hercules Capital from $20.00 to $21.00 and gave the company an “overweight” rating in a research note on Tuesday, October 29th. Finally, JMP Securities reaffirmed a “market outperform” rating and issued a $22.00 target price on shares of Hercules Capital in a research report on Friday, December 6th. One analyst has rated the stock with a hold rating and four have given a buy rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $20.90.

Hercules Capital Stock Performance

HTGC opened at $20.38 on Wednesday. The company has a debt-to-equity ratio of 0.94, a current ratio of 1.61 and a quick ratio of 1.61. The company has a market capitalization of $3.31 billion, a price-to-earnings ratio of 10.09 and a beta of 1.36. Hercules Capital has a 1 year low of $16.54 and a 1 year high of $21.78. The business’s 50-day moving average price is $19.38 and its two-hundred day moving average price is $19.64.

Hercules Capital (NYSE:HTGC) last announced its earnings results on Wednesday, October 30th. The financial services provider reported $0.51 EPS for the quarter, hitting the consensus estimate of $0.51. The firm had revenue of $125.25 million for the quarter, compared to the consensus estimate of $125.80 million. Hercules Capital had a net margin of 65.07% and a return on equity of 17.88%. During the same period last year, the company posted $0.52 EPS.

Institutional Investors Weigh In On Hercules Capital

Large investors have recently added to or reduced their stakes in the business. Tectonic Advisors LLC increased its holdings in shares of Hercules Capital by 17.0% in the third quarter. Tectonic Advisors LLC now owns 433,032 shares of the financial services provider’s stock valued at $8,505,000 after purchasing an additional 62,826 shares during the last quarter. Mackenzie Financial Corp boosted its holdings in shares of Hercules Capital by 77.0% during the 2nd quarter. Mackenzie Financial Corp now owns 31,632 shares of the financial services provider’s stock worth $647,000 after buying an additional 13,765 shares during the period. BNP Paribas Financial Markets grew its stake in Hercules Capital by 511.2% in the 3rd quarter. BNP Paribas Financial Markets now owns 53,068 shares of the financial services provider’s stock valued at $1,042,000 after buying an additional 44,386 shares during the last quarter. Advisors Asset Management Inc. raised its holdings in Hercules Capital by 9.3% in the 3rd quarter. Advisors Asset Management Inc. now owns 406,985 shares of the financial services provider’s stock valued at $7,993,000 after acquiring an additional 34,718 shares during the period. Finally, Franklin Resources Inc. lifted its position in Hercules Capital by 28.0% during the third quarter. Franklin Resources Inc. now owns 387,225 shares of the financial services provider’s stock worth $7,667,000 after acquiring an additional 84,780 shares during the last quarter. Institutional investors own 19.69% of the company’s stock.

Hercules Capital Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, November 20th. Stockholders of record on Wednesday, November 13th were issued a $0.48 dividend. The ex-dividend date of this dividend was Wednesday, November 13th. This represents a $1.92 dividend on an annualized basis and a dividend yield of 9.42%. Hercules Capital’s payout ratio is 79.21%.

About Hercules Capital

Hercules Capital, Inc is a business development company. The firm specializing in providing venture debt, debt, senior secured loans, and growth capital to privately held venture capital-backed companies at all stages of development from startups to expansion stage including select publicly listed companies and select special opportunity lower middle market companies that require additional capital to fund acquisitions, recapitalizations and refinancing and established-stage companies.