HTGC

Company Overview — What Does Hercules Capital, Inc. Do?

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. The firm provides growth capital financing solutions for capital extension; management buy-out and corporate spin-out financing solutions; company, asset specific, or intellectual property acquisition financing; convertible, subordinated and/or mezzanine loans; domestic and international corporate expansion; vendor financing; revenue acceleration by sales and marketing development, and manufacturing expansion. It provides asset-based financing with a focus on cash flow; accounts receivable facilities; equipment loans or leases; equipment acquisition; facilities build-out and/or expansion; working capital revolving lines of credit; inventory. The firm also provides bridge financing to IPO or mergers and acquisitions or technology acquisition; dividend recapitalizations and other sources of investor liquidity; cash flow financing to protect against share price volatility; competitor acquisition; pre-IPO financing for extra cash on the balance sheet; public company financing to continue asset growth and production capacity; short-term bridge financing; and strategic and intellectual property acquisition financings. It also focuses on customized financing solutions, emerging growth, mid venture, and late venture financing. The firm invests primarily in structured debt with warrants and, to a lesser extent, in senior debt and equity investments. The firm generally seeks to invest in companies that have been operating for at least six to 12 months prior to the date of their investment. It prefers to invest in technology, energy technology, sustainable and renewable technology, and life sciences. Within technology the firm focuses on advanced specialty materials and chemicals; communication and networking, consumer and business products; consumer products and services, digital media and consumer internet; electronics and computer hardware; enterprise software and services; gaming; healthcare services; information services; business services; media, content and information; mobile; resource management; security software; semiconductors; semiconductors and hardware; and software sector. Within energy technology, it invests in agriculture; clean technology; energy and renewable technology, fuels and power technology; geothermal; smart grid and energy efficiency and monitoring technologies; solar; and wind. Within life sciences, the firm invests in biopharmaceuticals; biotechnology tools; diagnostics; drug discovery, development and delivery; medical devices and equipment; surgical devices; therapeutics; pharma services; and specialty pharmaceuticals. It also invests in educational services. The firm invests primarily in United States based companies and considers investment in the West Coast, Mid-Atlantic regions, Southeast and Midwest; particularly in the areas of software, biotech and information services. The firm prefers to invest between $10 million to $250 million in equity per transactions. It invests generally between $1 million to $40 million in companies focused primarily on business services, communications, electronics, hardware, and healthcare services. The firm invests primarily in private companies but also have investments in public companies. For equity investments, the firm seeks to represent a controlling interest in its portfolio companies which may exceed 25% of the voting securities of such companies. The firm seeks to invest a limited portion of its assets in equipment-based loans to early-stage prospective portfolio companies. These loans are generally for amounts up to $3 million but may be up to $15 million for certain energy technology venture investments. The firm allows certain debt investments have the right to convert a portion of the debt investment into equity. It also co-invests with other private equity firms. The firm seeks to exit its investments through initial public offering, a private sale of equity interest to a third party, a merger or an acquisition of the company or a purchase of the equity position by the company or one of its stockholders. The firm has structured debt with warrants which typically have maturities of between two and seven years with an average of three years; senior debt with an investment horizon of less than three years; equipment loans with an investment horizon ranging from three to four years; and equity related securities with an investment horizon ranging from three to seven years. The firm prefers to invest through its balance sheet capital. The firm formerly known as Hercules Technology Growth Capital, Inc. Hercules Capital, Inc. was founded in December 2003 and is based in Palo Alto, California with additional offices in Connecticut; Boston, Massachusetts; San Diego, California; Westport, Connecticut; Elmhurst, Illinois; Santa Monica, California; McLean, Virginia; New York, New York; Radnor, Pennsylvania; and Washington, District of Columbia and London, United Kingdom. Hercules Capital, Inc. (HTGC) is classified as a mid-cap stock in the Real Estate sector. The company is led by CEO Scott Bluestein and employs approximately 100 people, headquartered in Palo Alto, California. With a market capitalization of $2.7B, HTGC is one of the notable companies in the Real Estate sector.

Hercules Capital, Inc. (HTGC) Stock Rating — Reduce (April 2026)

As of April 2026, Hercules Capital, Inc. receives a Reduce rating with a composite score of 36.1/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.HTGC ranks #3,396 out of 4,446 stocks in our coverage universe. Within the Real Estate sector, Hercules Capital, Inc. ranks #46 of 57 stocks, placing it in the lower half of its Real Estate peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

HTGC Stock Price and 52-Week Range

Hercules Capital, Inc. (HTGC) currently trades at $14.95. The stock gained $0.21 (1.4%) in the most recent trading session. The 52-week high for HTGC is $19.67, which means the stock is currently trading -24.0% from its annual peak. The 52-week low is $13.84, putting the stock 8.1% above its annual trough. Recent trading volume was 1.1M shares, reflecting moderate market activity.

Is HTGC Overvalued or Undervalued? — Valuation Analysis

Hercules Capital, Inc. (HTGC) carries a value factor score of 53/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 3.78x, compared to the Real Estate sector average of 32.31x — a discount of 88%. The price-to-book ratio stands at 1.27x, versus the sector average of 1.18x. The price-to-sales ratio is 3.41x, compared to 0.80x for the average Real Estate stock. On an enterprise value basis, HTGC trades at 8.01x EV/EBITDA, versus 8.62x for the sector.

Overall, HTGC's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.

Hercules Capital, Inc. Profitability — ROE, Margins, and Quality Score

Hercules Capital, Inc. (HTGC) earns a quality factor score of 10/100, signaling below-average profitability metrics relative to the broader market. The return on equity (ROE) is 33.6%, compared to the Real Estate sector average of 1.5%, which demonstrates strong shareholder value creation. Return on assets (ROA) comes in at 16.7% versus the sector average of 0.8%.

On a margin basis, Hercules Capital, Inc. reports gross margins of 56.0%, compared to 26.0% for the sector. The operating margin is 44.0% (sector: 3.7%). Net profit margin stands at 88.5%, versus 1.8% for the average Real Estate stock. Revenue growth is running at -32.6% on a trailing basis, compared to 6.1% for the sector. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.

HTGC Debt, Balance Sheet, and Financial Health

Hercules Capital, Inc. has a debt-to-equity ratio of 98.0%, compared to the Real Estate sector average of 60.0%. Leverage is within a manageable range for the industry, though investors should monitor debt trends over time. Total debt on the balance sheet is $2.15B. Cash and equivalents stand at $29M.

HTGC has a beta of 0.72, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for Hercules Capital, Inc. is 81/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.

Hercules Capital, Inc. Revenue and Earnings History — Quarterly Trend

In TTM 2026, Hercules Capital, Inc. reported revenue of $814M and earnings per share (EPS) of $0.66. Net income for the quarter was $736M. Gross margin was 56.0%. Operating income came in at $276M.

In Q3 2025, Hercules Capital, Inc. reported revenue of $197M and earnings per share (EPS) of $0.66. Net income for the quarter was $176M. Gross margin was 56.0%. Revenue grew -34.4% year-over-year compared to Q3 2024. Operating income came in at $87M.

In Q2 2025, Hercules Capital, Inc. reported revenue of $141M and earnings per share (EPS) of $0.44. Net income for the quarter was $119M. Gross margin was 78.0%. Revenue grew -51.7% year-over-year compared to Q2 2024. Operating income came in at $31M.

In Q1 2025, Hercules Capital, Inc. reported revenue of $175M and earnings per share (EPS) of $0.29. Net income for the quarter was $157M. Gross margin was 56.7%. Revenue grew -41.8% year-over-year compared to Q1 2024. Operating income came in at $76M.

Over the past 8 quarters, Hercules Capital, Inc. has demonstrated a growth trajectory, with revenue expanding from $301M to $814M. Investors analyzing HTGC stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

HTGC Dividend Yield and Income Analysis

Hercules Capital, Inc. (HTGC) currently pays a dividend yield of 10.0%. At this yield, a $10,000 investment in HTGC stock would generate approximately $$999.00 in annual dividend income. With a net margin of 88.5%, the dividend appears well-covered by earnings, suggesting sustainable payouts going forward.

HTGC Momentum and Technical Analysis Profile

Hercules Capital, Inc. (HTGC) has a momentum factor score of 27/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 40/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 65/100 reflects moderate short selling activity.

HTGC vs Competitors — Real Estate Sector Ranking and Peer Comparison

Within the Real Estate sector, Hercules Capital, Inc. (HTGC) ranks #46 out of 57 stocks based on the Blank Capital composite score. This places HTGC in the lower half of all Real Estate stocks in our coverage universe. Key competitors and sector peers include Urban Edge Properties (UE) with a score of 51.9/100, Kennedy-Wilson Holdings, Inc. (KW) with a score of 48.0/100, AMREP CORP. (AXR) with a score of 49.0/100, GETTY REALTY CORP /MD/ (GTY) with a score of 53.1/100, and Curbline Properties Corp. (CURB) with a score of 50.5/100.

Comparing HTGC against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full HTGC vs S&P 500 (SPY) comparison to assess how Hercules Capital, Inc. stacks up against the broader market across all factor dimensions.

HTGC Next Earnings Date

No upcoming earnings date has been announced for Hercules Capital, Inc. (HTGC) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy HTGC? — Investment Thesis Summary

The quantitative profile for Hercules Capital, Inc. suggests caution. The quality score of 10/100 flags below-average profitability. Momentum is weak at 27/100, a headwind for near-term performance. Low volatility (stability score 81/100) reduces downside risk.

In summary, Hercules Capital, Inc. (HTGC) earns a Reduce rating with a composite score of 36.1/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on HTGC stock.

Related Resources for HTGC Investors

Explore more research and tools: HTGC vs S&P 500 comparison, top Real Estate stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare HTGC head-to-head with peers: HTGC vs UE, HTGC vs KW, HTGC vs AXR.