Hercules Capital, Inc. (NYSE:HTGC) Receives Average Rating of “Moderate Buy” from Analysts

Hercules Capital, Inc. (NYSE:HTGC) has received a consensus recommendation of “Moderate Buy” from the eight brokerages that are covering the stock, Marketbeat Ratings reports. Three equities research analysts have rated the stock with a hold recommendation, four have assigned a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year target price among analysts that have updated their coverage on the stock in the last year is $18.7083.

A number of analysts have recently issued reports on HTGC shares. Wells Fargo & Company reduced their price target on shares of Hercules Capital from $18.00 to $17.00 and set an “overweight” rating for the company in a research report on Friday, February 13th. Weiss Ratings downgraded shares of Hercules Capital from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, February 24th. UBS Group cut their target price on shares of Hercules Capital from $19.50 to $15.00 and set a “neutral” rating for the company in a research report on Friday, March 13th. Lucid Cap Mkts raised shares of Hercules Capital to a “strong-buy” rating in a research note on Monday, December 15th. Finally, Capital One Financial set a $19.75 price target on shares of Hercules Capital in a report on Monday, December 15th.

Hercules Capital News Roundup

Here are the key news stories impacting Hercules Capital this week:

• Positive Sentiment: There was a brief intraday bounce noted recently, showing the stock can rally on short‑term flows despite pressure — a sign traders can create short‑term moves even as headlines turn negative. Hercules Capital (HTGC) Advances
• Neutral Sentiment: Valuation and investor‑note pieces are re‑examining whether current prices reflect long‑term value vs. near‑term risk; these analyses are useful for longer‑term shareholders weighing whether recent weakness is a buying opportunity or warning sign. Is It Time To Reassess Hercules Capital?
• Negative Sentiment: Hagens Berman filed a securities class action after the Hunterbrook report; the complaint cites alleged copying of Google Ventures sourcing, misstated marks and questions about PIK loans — allegations that directly target the firm’s underwriting and disclosure practices. Hagens Berman Class Action Notice
• Negative Sentiment: Multiple plaintiff firms (Glancy, Faruqi, Pomerantz, Rosen, Levi & Korsinsky, Robbins, Schall, etc.) are actively soliciting lead plaintiffs and reminding investors of a May 19, 2026 deadline — the concentrated legal solicitations amplify headline risk and the probability of expensive, drawn‑out litigation. Glancy Lead Plaintiff Notice
• Negative Sentiment: Some firms quantify near‑term investor damages (Levi & Korsinsky citing a $1.22 per‑share decline after the corrective report) and analysts/columnists warn that any software‑sector markdowns or loan revaluations could turn the apparent valuation discount into realized losses. That elevates downside risk for holders. Levi & Korsinsky Investor Alert

Insider Buying and Selling

In other news, CEO Scott Bluestein acquired 30,000 shares of the company’s stock in a transaction that occurred on Tuesday, February 24th. The shares were purchased at an average price of $15.08 per share, for a total transaction of $452,400.00. Following the completion of the acquisition, the chief executive officer owned 2,509,379 shares of the company’s stock, valued at approximately $37,841,435.32. This represents a 1.21% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Thomas J. Fallon acquired 20,000 shares of the business’s stock in a transaction that occurred on Tuesday, February 17th. The shares were acquired at an average cost of $15.88 per share, for a total transaction of $317,600.00. Following the transaction, the director owned 120,369 shares of the company’s stock, valued at approximately $1,911,459.72. This represents a 19.93% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last 90 days, insiders acquired 117,015 shares of company stock worth $1,749,620. Insiders own 1.80% of the company’s stock.

Institutional Trading of Hercules Capital

Several large investors have recently added to or reduced their stakes in HTGC. Wealth Enhancement Advisory Services LLC boosted its holdings in Hercules Capital by 173.3% in the third quarter. Wealth Enhancement Advisory Services LLC now owns 89,575 shares of the financial services provider’s stock worth $1,605,000 after purchasing an additional 56,797 shares in the last quarter. International Assets Investment Management LLC raised its holdings in Hercules Capital by 308.9% during the third quarter. International Assets Investment Management LLC now owns 79,555 shares of the financial services provider’s stock valued at $1,493,000 after buying an additional 60,100 shares in the last quarter. Tred Avon Family Wealth LLC acquired a new stake in shares of Hercules Capital in the third quarter worth about $1,042,000. Sumitomo Mitsui Trust Group Inc. lifted its position in shares of Hercules Capital by 42.3% in the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 884,946 shares of the financial services provider’s stock worth $16,734,000 after buying an additional 263,222 shares during the last quarter. Finally, Muzinich & Co. Inc. boosted its stake in shares of Hercules Capital by 34.5% during the 3rd quarter. Muzinich & Co. Inc. now owns 992,820 shares of the financial services provider’s stock worth $18,774,000 after acquiring an additional 254,651 shares in the last quarter. 19.69% of the stock is owned by institutional investors.

Hercules Capital Stock Performance

Shares of HTGC stock opened at $14.55 on Thursday. Hercules Capital has a 1-year low of $13.70 and a 1-year high of $19.67. The company has a current ratio of 1.48, a quick ratio of 1.48 and a debt-to-equity ratio of 1.03. The company has a market capitalization of $2.67 billion, a price-to-earnings ratio of 7.95 and a beta of 0.83. The stock’s fifty day simple moving average is $15.68 and its 200-day simple moving average is $17.38.

Hercules Capital (NYSE:HTGC) last announced its quarterly earnings data on Thursday, February 12th. The financial services provider reported $0.48 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.48. Hercules Capital had a return on equity of 15.97% and a net margin of 63.80%.The firm had revenue of $133.25 million during the quarter, compared to the consensus estimate of $141.57 million. During the same period in the prior year, the business earned $0.49 EPS. On average, sell-side analysts predict that Hercules Capital will post 1.96 earnings per share for the current fiscal year.

Hercules Capital Cuts Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, March 4th. Shareholders of record on Wednesday, February 25th were paid a $0.07 dividend. The ex-dividend date was Wednesday, February 25th. This represents a $0.28 dividend on an annualized basis and a yield of 1.9%. Hercules Capital’s payout ratio is 87.43%.

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.