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HTGC

Hercules Capital NYSE:HTGC Stock Report

Last Price

US$12.61

Market Cap

US$1.6b

7D

4.7%

1Y

-24.5%

Updated

04 Oct, 2022

Data

Company Financials +
HTGC fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance1/6
Financial Health2/6
Dividends4/6

HTGC Stock Overview

Hercules Capital, Inc. is a business development company.

Hercules Capital Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Hercules Capital
Historical stock prices
Current Share PriceUS$12.61
52 Week HighUS$19.09
52 Week LowUS$11.16
Beta1.36
1 Month Change-6.25%
3 Month Change-8.82%
1 Year Change-24.54%
3 Year Change-4.25%
5 Year Change-1.02%
Change since IPO-2.70%

Recent News & Updates

Oct 03

Hercules Capital: Grab Its 13% Yield As Weak Holders Capitulate

Summary Hercules Capital has been hammered as it remains nearly 40% below its April 2022 highs. We believe the de-rating is justified to de-risk the execution risks in its tech-focused portfolio companies. However, long-term investors need to ask whether the battering in HTGC is sufficient to justify adding exposure at the current levels. We discuss the critical metrics for investors to assess. We expect the selling downside to subside moving ahead, given the extent of the recent downward move. Notwithstanding, the price discovery could continue to inflict near-term pain on investors. So, we encourage investors considering add exposure to layer in. Thesis Hercules Capital, Inc. (HTGC) is a leading internally-managed business development company specializing in venture debt financing, focusing on expansion or late-stage high-growth companies. Its portfolio is mainly centered on technology and life sciences companies, and it has invested in companies that growth and tech investors should be familiar with. Its public listed portfolio companies consist of familiar names like Fastly (FSLY), DocuSign (DOCU), Enphase (ENPH), and Proterra (PTRA). The company is focused on "higher-quality" companies in its underwriting process and derives most of its income from interest (>95% as of Q2). In addition, nearly 95% of its debt investments are floating-rate with a fixed floor, allowing the company to benefit from the Fed's aggressive rate hikes. Notwithstanding, its portfolio value has also been impacted significantly due to the equity bear market, leading to value compression in its portfolio companies. As a result, HTGC has collapsed nearly 40% from its April 2022 highs, as its NTM dividend yields reached 13.3%. Our assessment suggests that HTGC remains precariously configured in the near term, with the potential for more near-term downside volatility. However, we also gleaned that its valuation has likely been de-risked adequately for long-term investors to consider adding exposure at the current levels, supported by a robust dividend yield. Therefore, we postulate that the reward-to-risk profile for HTGC is attractive at the current levels but urge investors to layer in over time, leveraging on the market pessimism to add exposure. As such, we rate HTGC as a Buy, with a medium-term price target ((PT)) of $15 (an implied upside of 30%). Hercules Should Benefit From The Fed's Hawkish Push Hercules Interest income change % (Company filings) Hercules highlighted that it's a beneficiary of the Fed's aggressive rate hikes, as it lifted its interest income markedly in Q2, as seen above. The company posted a 12.1% YoY uptick in Q2's interest income, supported by its robust origination volumes. Even though we are potentially moving closer to the Fed's current median terminal rate (4.6%), Hercules Capital's financing terms are embedded with a base floor to mitigate the impact of rate reversion moving forward. Hercules Total Investment income change % and Net Investment income per share change % consensus estimates (S&P Cap IQ) Furthermore, the company emphasized that it continues to see high-quality investment opportunities, as its average credit underwriting score moved higher in Q2 despite the market downturn. As a result, it has tightened its scope of companies but does not expect origination opportunities to slow down materially. The consensus estimates (bullish) suggest that Hercules Capital's total investment income ((TTI)) growth should remain robust through 2023 amid the Fed's hawkish push, as seen above. Moreover, it's also expected to lift its net investment income ((NII)) per share growth through FQ1'23 before tapering. But The Market Is Concerned With Value Compression Hercules Industry share of portfolio fair value % (Company filings) Hercules Capital invests primarily in technology and life sciences companies, which have consistently accounted for over 80% of its portfolio fair value over the past two years. Consequently, the battering in the public market has also not spared the valuations of its portfolio companies, as Hercules Capital's net asset value ((NAV)) per share got pummeled. Hercules NAV per share change % consensus estimates (S&P Cap IQ) Notwithstanding, the consensus estimates suggest that Hercules Capital's NAV per share decline could have hit a nadir in Q2 after falling nearly 11% YoY. However, the recent battering in HTGC suggested the market could have shifted its perspective. We postulate that the market is likely pricing in a global recession that could impact its portfolio companies further. Hercules Capital suggested that it has yet to see material credit deterioration or significant challenges in its portfolio companies seeking financing at its Q2 call. However, we deduce that the market has likely de-rated HTGC further to account for more significant stumbles if the global economy moves into a deeper recession in 2023. As a result, we believe its Q3 estimates could be at risk, with a NAV per share bottom likely shifting further to Q3/Q4. Therefore, investors should be prepared for a likely cut in Hercules Capital's NAV per share estimates moving ahead, but it should have been reflected in the recent downward move. Is HTGC Stock A Buy, Sell, Or Hold? HTGC NTM NII per share multiples valuation trend (koyfin) As seen above, HTGC's P/NII per share has been sent falling well below its long-term mean, in line with the two standard deviation zone under its 10Y mean.

Aug 31

Hercules Capital: 10% Yield, Wake Up And Smell The Cash Flow

Summary Hercules Capital is a well-run lender to high-growth companies, with a focus on technology and life sciences companies. The company has been able to grow its originations and portfolio while maintaining strong credit quality. It also pays an attractive 10% regular dividend yield, making it a very interesting income play. I love a good market sell-off as they present great opportunities to load up on well-respected dividend payers at high yields. For some investors, this may mean adding to moat-worthy names such as V.F. Corp. (VFC) or Comcast (CMCSA) at material discounts to historical valuations. For others, it may mean adding to top BDC names in tax advantaged retirement accounts, enabling a faster rate of compounding. This brings me to Hercules Capital (HTGC), which again is trading in bargain territory after it's fallen in sympathy with the rest of the market. In this article, I highlight why now may be the opportune time to pick up this quality stock before it reverts back to its mean, so let's get started. Why HTGC? Hercules Capital is just one of a handful of business development companies ("BDC") that's internally managed, and focuses on making loans and equity investments in emerging technologies and life sciences. Since its inception 19 years ago, Hercules has deployed over $15 billion in investment capital across 590 companies, and is in many cases, a lender of choice for entrepreneurs and venture capital firms seeking growth capital financing. Hercules stock has seen quite a bit of volatility in recent months, and patient investors have seen plenty of opportunities to load up at opportune prices. It appears that another opportunity has presented itself. As shown below, HTGC is now trading below both its 50- and 200-day moving averages, and carries an RSI score of 38.7, indicating that it's heading towards oversold territory. HTGC Stock Technicals (StockCharts) Meanwhile, its business is doing just fine, as it did a record $1.0 billion in originations across debt and equity investments during the second quarter, bringing the total originations to $1.66 billion during the first half. This signals strong demand for HTGC's capital, as many private companies in the tech and life sciences sectors are delaying their IPOs and M&A activity due to market volatility, thereby requiring more near- to medium-term funding. The portfolio is also well-managed, with nearly three-quarters (74%) of the debt portfolio being comprised of first lien senior secured loans, and 24% comprised of second lien loans with Hercules retaining the right to buy out the first lien holder. Hercules also enjoys a close direct relationship with its borrowers (comparing favorably to syndicated debtholders), and is often the sole lender of its borrowers. The borrowers, in turn, benefit from the wealth of experience from the Hercules management team, as they rely on their capital market expertise. Moreover, Hercules maintains a strong track record, with just 2 investments on non-accrual status representing just 0.1% of portfolio fair value. It also generates a healthy 11.5% effective yield on debt investments and has $780 million in available liquidity to fund its deal pipeline. Leverage does not appear to be an issue, as it maintains a statutory debt to equity ratio of 0.93, sitting well below the 2.0 regulatory limit. Factors that could drive HTGC's share price down including further tightening by the Federal Reserve, which could introduce more economic uncertainty. However, despite the hardline rhetoric, I believe the Federal Reserve will still try to maintain a fine line between controlling inflation and tanking the economy outright. Moreover, HTGC actually benefits from rising rates. As noted by the CEO during the recent conference call, the NII per share in Q2 would have been $0.35 had it seen the elevated rates during the entire quarter. This implies that the $0.35 regular dividend should be at least fully covered in Q3, holding all else at least equal.

Aug 23

Hercules Capital: 7% From An Investment Grade Bond With 4 Years To Maturity

Hercules Capital has a rare mispriced issue with a YTM of 7%. Recently reviewed credit rating. Spreads similar to the Covid Panic even though the company is rock solid. Exchange traded debt is trading close to historical spreads in contrast. Stable balance sheet ratios limited by BDC regulations. The article was first published to members of my service Trade With Beta on 8/21/2022. I will start like this: The fixed income market is a complete mess. I have been trading this market any single day for the last 14 years and the events seen in the last 2 years are just mind-blowing. Fixed income spreads are all over the place due to a total lack of liquidity. Don't take my word for granted, try to trade them and you will most likely agree. This creates a lot of opportunities for greedy short-selling day traders like me and the funny part is that it is extremely hard to capitalize on the mispricings. The income investor on the other hand is the one to profit greatly from the opportunity. There are so many mispricings that it is hard to choose what to present to the yield-hungry public so I decided to share my third largest holding at the moment of writing because it comes with a juicy 7% yield to maturity with an investment grade credit rating. The investment in question is the 9/16/2026 2.625% HTGC bond of the BDC Hercules Capital (HTGC) with a CUSIP 427096AH5. This is a regular bond that trades on the bond market and hopefully, it is easy to be found by the CUSIP number. HTGC and its debt To make the article as small as possible and straight to the point, I will concentrate mostly on spreads. These are the regular bonds issued by HTGC in the last 5 years that have 5 years term: Historical Yield Spreads Of HTGC 5-Year Notes (Author's Spreadsheet) Before the Covid Panic of 2020, HTGC was able to issue 3 5-year bonds at a maximum spread of 2.89%. Then for a while in 2020 all credit spreads widened and the company had to issue at similar nominal yields but the spreads went to as high as 4.17%. Just a year later the company was able to issue at a lower than 2% spread to the 5-year treasury. The reason behind this might be that the bond issued in September 2021 was rated by Moody's. This is a game changer in general. At the time of writing this article, the bond in question has a very large seller at 7% YTM while the 5-year treasury is at 3.10%. The spreads are back to the levels of 2020. Does this make sense is the question we are all asking ourselves? If I have to answer based on my financial understanding, I would definitely say that given all the recent financial and political data around the world, it is quite reasonable for credit spreads to widen. With this in mind, the reader has to understand that the 7% YTM of the bonds is not some once-in-a-lifetime opportunity that will make you sleep well at night and will get you as rich as Elon Musk in a year. It is very possible that the market pricing of this bond is correct. And here comes the headache. Why would anyone recommend an investment if it is fairly priced? The simple answer to that question is that nobody at the moment has any idea what part of the market is fairly priced. If we assume that HTGC bonds have widened in relation to strong financial logic we have to examine how the credit spreads are behaving in other parts of the fixed income market. Credit profile HTGC has just recently been reviewed by Fitch and received a BBB- rating. Moody's is also considering HTGC to be an investment grade issuer: HTGC Credit Rating (Moody's) The public doubts rating agencies but in entities as simple as BDC and Closed-end funds one has to be pretty sure that the analysts whose professional duty is to evaluate credibility, are most likely giving a fair assessment. The BDC structure is regulated by law and most BDCs are not even willing to leverage to the max even though they are now allowed to take more leverage compared to CEFs. Credit spreads in investment grade preferred stocks Here I have chosen to show the spreads of 3 of the largest and most significant issuers of preferred stocks BAC, FRC, and PSA: Yield Spreads (FRC, BAC, PSA) (Author's Spreadsheet) The current spreads for BAC are 0.3% lower than the average, for FRC are 0.08% lower than the average and for PSA are 0.47% lower than the average for the examined period. The picture is quite similar to any of the high-quality preferred stock. None of them at the moment has widened significantly and all of them are at least 0.4% lower compared to 2020 levels. Credit spreads in investment grade exchange-traded debt Here I have chosen the only comparable bonds and keep in mind that there is not much ETD with 5-year terms so the benchmark here is the 30-year treasury again: Baby Bond Spreads (Author's Spreadsheet) On average, any bond from the list issued in 2020 has narrowed its spread by 0.72%. So definitely the investment grade ones with longer maturity have not widened their spreads to treasuries and none of them is trading at the spreads seen in 2020. This has to mean that HTGC is as distressed as 2020 because otherwise, the current pricing of the bonds makes no sense at all. How distressed is HTGC at the moment? Just opening our favorite website to see the sentiment: HTGC Sentiment And News (Seeking Alpha) In addition to the rise in dividends and 5 out of 7 articles being a buy recommendation, I have to remind you that the public pays $14.85 to own the common stock and this is 39% above book value. Since HTGC is a simple BDC this means that the public is so certain in the alpha generated by management that the public is just fine overpaying the NAV to receive this tasty 9.43% dividend yield. There is just no way that the market consensus is to pay a 40% premium while the market consensus for the bonds is to widen the credit spread to Covid levels. Something here is totally wrong. HTGC company profile and a hypothetical proposal to management As per the last report, the company has $2.87 bln of assets with $1.54 bln of debt and $1.3bln of equity. The Assets yield is around 10%, the fees and general and administrative expenses are around 2.2% and the interest plus loan fees stand at 3.6% on debt and 1.9% of total assets. The ROE is close to 12%. If everything stands still and there is no increase in non-performing loans one can expect to generate 12% ROE from the company. When HTGC trades at a 40% premium to book value one can expect to earn 8.5% on his investment in HTGC. Most of the debt HTGC holds in its portfolio is so far away from investment grade and still, the debt of the company is investment grade. Now imagine for a second if the same management creates a simple CEF that invests in the bonds of HTGC at a 7% yield. This CEF will most likely get an A rating by any rating agency. It will be possible for the fund to finance at way lower rates. Here is a simple calculation for the management of HTGC assuming they create a term structure CEF invested in their own bond with interest expense on the term preferred A-rated preferred stock of the fund of 4% and 1% in management fees: Hypothetical CEF Invested In HTGC Notes (Author's Research)

Shareholder Returns

HTGCUS Capital MarketsUS Market
7D4.7%1.2%1.0%
1Y-24.5%-22.2%-20.0%

Return vs Industry: HTGC underperformed the US Capital Markets industry which returned -22.2% over the past year.

Return vs Market: HTGC underperformed the US Market which returned -20% over the past year.

Price Volatility

Is HTGC's price volatile compared to industry and market?
HTGC volatility
HTGC Average Weekly Movement5.0%
Capital Markets Industry Average Movement0.4%
Market Average Movement6.8%
10% most volatile stocks in US Market15.5%
10% least volatile stocks in US Market2.8%

Stable Share Price: HTGC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: HTGC's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
200390Scott Bluesteinhttps://www.htgc.com

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.

Hercules Capital Fundamentals Summary

How do Hercules Capital's earnings and revenue compare to its market cap?
HTGC fundamental statistics
Market CapUS$1.59b
Earnings (TTM)US$12.21m
Revenue (TTM)US$279.93m

130.2x

P/E Ratio

5.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
HTGC income statement (TTM)
RevenueUS$279.93m
Cost of RevenueUS$0
Gross ProfitUS$279.93m
Other ExpensesUS$267.72m
EarningsUS$12.21m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.097
Gross Margin100.00%
Net Profit Margin4.36%
Debt/Equity Ratio112.9%

How did HTGC perform over the long term?

See historical performance and comparison

Dividends

15.9%

Current Dividend Yield

1,307%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is HTGC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HTGC?

Other financial metrics that can be useful for relative valuation.

HTGC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue10.6x
Enterprise Value/EBITDA14.1x
PEG Ratio1.1x

Price to Earnings Ratio vs Peers

How does HTGC's PE Ratio compare to its peers?

HTGC PE Ratio vs Peers
The above table shows the PE ratio for HTGC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average24.8x
GCMG Grosvenor Capital Management
11.2x50.8%US$1.5b
IPOF Social Capital Hedosophia Holdings VI
23.3xn/aUS$1.4b
JWSM Jaws Mustang Acquisition
38.2xn/aUS$1.3b
CVII Churchill Capital Corp VII
26.4xn/aUS$1.7b
HTGC Hercules Capital
130.2x123.9%US$1.6b

Price-To-Earnings vs Peers: HTGC is expensive based on its Price-To-Earnings Ratio (130.2x) compared to the peer average (24.8x).


Price to Earnings Ratio vs Industry

How does HTGC's PE Ratio compare vs other companies in the US Capital Markets Industry?

Price-To-Earnings vs Industry: HTGC is expensive based on its Price-To-Earnings Ratio (130.2x) compared to the US Capital Markets industry average (25x)


Price to Earnings Ratio vs Fair Ratio

What is HTGC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HTGC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio130.2x
Fair PE Ratio80.9x

Price-To-Earnings vs Fair Ratio: HTGC is expensive based on its Price-To-Earnings Ratio (130.2x) compared to the estimated Fair Price-To-Earnings Ratio (80.9x).


Share Price vs Fair Value

What is the Fair Price of HTGC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HTGC ($12.61) is trading below our estimate of fair value ($21.85)

Significantly Below Fair Value: HTGC is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is Hercules Capital forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


123.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HTGC's forecast earnings growth (123.9% per year) is above the savings rate (1.9%).

Earnings vs Market: HTGC's earnings (123.9% per year) are forecast to grow faster than the US market (14.7% per year).

High Growth Earnings: HTGC's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: HTGC's revenue (15.9% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: HTGC's revenue (15.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if HTGC's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Hercules Capital performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


18.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: HTGC has a large one-off loss of $140.8M impacting its June 30 2022 financial results.

Growing Profit Margin: HTGC's current net profit margins (4.4%) are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: HTGC's earnings have grown by 18.3% per year over the past 5 years.

Accelerating Growth: HTGC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: HTGC had negative earnings growth (-96.4%) over the past year, making it difficult to compare to the Capital Markets industry average (33.2%).


Return on Equity

High ROE: HTGC's Return on Equity (1%) is considered low.


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Financial Health

How is Hercules Capital's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: HTGC's short term assets ($140.8M) exceed its short term liabilities ($38.6M).

Long Term Liabilities: HTGC's short term assets ($140.8M) do not cover its long term liabilities ($1.5B).


Debt to Equity History and Analysis

Debt Level: HTGC's net debt to equity ratio (104.2%) is considered high.

Reducing Debt: HTGC's debt to equity ratio has increased from 91.6% to 112.9% over the past 5 years.

Debt Coverage: HTGC's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: HTGC's interest payments on its debt are well covered by EBIT (3.7x coverage).


Balance Sheet


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Dividend

What is Hercules Capital current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


15.86%

Current Dividend Yield

Dividend Yield vs Market

Hercules Capital Dividend Yield vs Market
How does Hercules Capital dividend yield compare to the market?
SegmentDividend Yield
Company (Hercules Capital)15.9%
Market Bottom 25% (US)1.6%
Market Top 25% (US)4.6%
Industry Average (Capital Markets)2.9%
Analyst forecast in 3 Years (Hercules Capital)12.1%

Notable Dividend: HTGC's dividend (15.86%) is higher than the bottom 25% of dividend payers in the US market (1.64%).

High Dividend: HTGC's dividend (15.86%) is in the top 25% of dividend payers in the US market (4.63%)


Stability and Growth of Payments

Stable Dividend: HTGC's dividends per share have been stable in the past 10 years.

Growing Dividend: HTGC's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (1306.5%), HTGC's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: HTGC is paying a dividend but the company has no free cash flows.


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Management

How experienced are the management team and are they aligned to shareholders interests?

5.3yrs

Average management tenure


CEO

Scott Bluestein (44 yo)

3.25yrs

Tenure

US$7,410,986

Compensation

Mr. Scott Bluestein serves as Chief Executive Officer, President and Director at Hercules Capital, Inc. since July 18, 2019. He is responsible for the Hercules lending policies and risk management practice...


CEO Compensation Analysis

Scott Bluestein's Compensation vs Hercules Capital Earnings
How has Scott Bluestein's remuneration changed compared to Hercules Capital's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

US$12m

Mar 31 2022n/an/a

US$105m

Dec 31 2021US$7mUS$650k

US$172m

Sep 30 2021n/an/a

US$319m

Jun 30 2021n/an/a

US$339m

Mar 31 2021n/an/a

US$318m

Dec 31 2020US$8mUS$650k

US$226m

Sep 30 2020n/an/a

US$120m

Jun 30 2020n/an/a

US$96m

Mar 31 2020n/an/a

US$83m

Dec 31 2019US$8mUS$594k

US$173m

Sep 30 2019n/an/a

US$111m

Jun 30 2019n/an/a

US$128m

Mar 31 2019n/an/a

US$132m

Dec 31 2018US$11mUS$515k

US$76m

Sep 30 2018n/an/a

US$111m

Jun 30 2018n/an/a

US$109m

Mar 31 2018n/an/a

US$90m

Dec 31 2017US$3mUS$500k

US$78m

Sep 30 2017n/an/a

US$74m

Jun 30 2017n/an/a

US$72m

Mar 31 2017n/an/a

US$48m

Dec 31 2016US$3mUS$433k

US$67m

Sep 30 2016n/an/a

US$67m

Jun 30 2016n/an/a

US$41m

Mar 31 2016n/an/a

US$34m

Dec 31 2015US$2mUS$420k

US$41m

Compensation vs Market: Scott's total compensation ($USD7.41M) is above average for companies of similar size in the US market ($USD5.50M).

Compensation vs Earnings: Scott's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: HTGC's management team is seasoned and experienced (5.3 years average tenure).


Board Members

Experienced Board: HTGC's board of directors are considered experienced (3.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: HTGC insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

NYSE:HTGC Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
19 Aug 22BuyUS$1,266Wade LooIndividual81US$15.63
26 May 22BuyUS$5,981Christian FollmannIndividual420US$14.24
26 May 22SellUS$5,977Christian FollmannIndividual420US$14.23
12 May 22BuyUS$148,800Thomas FallonIndividual10,000US$14.88
24 Mar 22BuyUS$1,342Wade LooIndividual75US$17.89

Ownership Breakdown

What is the ownership structure of HTGC?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders1,710,1031.4%
Institutions30,335,40424.1%
General Public94,025,47474.6%

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 9.9%.


Top Shareholders

Top 25 shareholders own 16.39% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
1.68%
Sound Income Strategies, LLC
2,117,766$26.7m3.62%3.71%
1.41%
Van Eck Associates Corporation
1,780,910$22.5m-4.86%0.04%
1.3%
T. Rowe Price Group, Inc.
1,637,228$20.6m-8.04%no data
0.98%
Two Sigma Advisers, LP
1,237,500$15.6m36.09%0.04%
0.98%
Border To Coast Pensions Partnership Limited
1,234,173$15.6m0%0.14%
0.93%
Morgan Stanley, Investment Banking and Brokerage Investments
1,171,937$14.8m25.97%no data
0.85%
Scott Bluestein
1,065,782$13.4m-2.02%no data
0.73%
Advisors Capital Management, LLC
917,401$11.6m3.95%0.35%
0.68%
BlackRock, Inc.
856,108$10.8m12.9%no data
0.6%
Two Sigma Investments, LP
755,999$9.5m-22.22%0.03%
0.57%
Legal & General Investment Management Limited
717,843$9.1m12.94%no data
0.54%
Wells Fargo & Company, Securities and Brokerage Investments
683,346$8.6m-0.93%no data
0.52%
S&T Bank, Wealth Management Group
650,643$8.2m-0.7%1.39%
0.51%
Leeward Investments, LLC
649,100$8.2m-18.49%0.35%
0.51%
Gilman Hill Asset Management, LLC
641,091$8.1m22.5%1.77%
0.45%
UBS Asset Management
572,429$7.2m7.73%no data
0.41%
JPMorgan Chase & Co, Brokerage and Securities Investments
518,974$6.5m2.5%0.01%
0.38%
LPL Financial Corporation, Asset Management Arm
475,496$6.0m26.47%0.01%
0.36%
Muzinich & Co., Inc.
452,554$5.7m-6.54%3.69%
0.35%
Nikko Asset Management Co., Ltd.
439,315$5.5m-6.72%no data
0.34%
McKinley Capital Management, LLC
425,992$5.4m0.76%0.63%
0.34%
Advisors Asset Management, Inc.
422,927$5.3m-1.67%0.1%
0.33%
McGowan Group Asset Management, Inc.
421,196$5.3m0.06%1.09%
0.33%
Stifel Asset Management Corp.
418,305$5.3m1.52%0.01%
0.32%
Confluence Investment Management LLC
404,170$5.1m-2.16%0.08%

Company Information

Hercules Capital, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Hercules Capital, Inc.
  • Ticker: HTGC
  • Exchange: NYSE
  • Founded: 2003
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Implied Market Cap: US$1.590b
  • Shares outstanding: 126.07m
  • Website: https://www.htgc.com

Number of Employees


Location

  • Hercules Capital, Inc.
  • 400 Hamilton Avenue
  • Suite 310
  • Palo Alto
  • California
  • 94301
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HTGCNYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2005
19HDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2005
0J4MLSE (London Stock Exchange)YesCommon StockGBUSDJun 2005

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/04 00:00
End of Day Share Price2022/10/04 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.