Keefe, Bruyette & Woods Issues Pessimistic Forecast for Hercules Capital (NYSE:HTGC) Stock Price

Hercules Capital (NYSE:HTGC) had its price objective reduced by stock analysts at Keefe, Bruyette & Woods from $20.00 to $19.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm currently has an “outperform” rating on the financial services provider’s stock. Keefe, Bruyette & Woods’ target price would indicate a potential upside of 21.70% from the company’s current price.

A number of other brokerages have also recently commented on HTGC. Capital One Financial set a $19.75 price target on Hercules Capital in a research report on Monday, December 15th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Hercules Capital in a report on Wednesday, January 28th. Piper Sandler lowered shares of Hercules Capital from an “overweight” rating to a “neutral” rating and cut their target price for the stock from $20.50 to $17.50 in a research report on Friday. Lucid Cap Mkts raised shares of Hercules Capital to a “strong-buy” rating in a research report on Monday, December 15th. Finally, Wells Fargo & Company dropped their price target on shares of Hercules Capital from $18.00 to $17.00 and set an “overweight” rating on the stock in a research note on Friday. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $19.39.

Hercules Capital Stock Down 6.0%

Hercules Capital stock opened at $15.61 on Friday. The company has a quick ratio of 1.65, a current ratio of 1.65 and a debt-to-equity ratio of 0.98. The company has a market capitalization of $2.84 billion, a P/E ratio of 8.53 and a beta of 0.84. The firm has a 50 day moving average price of $18.33 and a 200-day moving average price of $18.44. Hercules Capital has a twelve month low of $15.40 and a twelve month high of $22.04.

Hercules Capital (NYSE:HTGC) last posted its quarterly earnings data on Thursday, February 12th. The financial services provider reported $0.48 EPS for the quarter, meeting the consensus estimate of $0.48. Hercules Capital had a return on equity of 16.17% and a net margin of 63.80%.The business had revenue of $133.25 million for the quarter, compared to the consensus estimate of $141.57 million. During the same quarter in the prior year, the business earned $0.49 earnings per share. As a group, equities analysts predict that Hercules Capital will post 1.96 EPS for the current year.

Institutional Trading of Hercules Capital

A number of hedge funds and other institutional investors have recently bought and sold shares of HTGC. CWM LLC boosted its holdings in Hercules Capital by 79.6% in the 2nd quarter. CWM LLC now owns 1,381 shares of the financial services provider’s stock valued at $25,000 after purchasing an additional 612 shares during the period. Assetmark Inc. raised its position in shares of Hercules Capital by 173.4% in the second quarter. Assetmark Inc. now owns 1,386 shares of the financial services provider’s stock worth $25,000 after buying an additional 879 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC bought a new stake in Hercules Capital during the fourth quarter valued at $27,000. GHP Investment Advisors Inc. purchased a new position in Hercules Capital during the second quarter worth about $27,000. Finally, Caitlin John LLC bought a new position in Hercules Capital in the 3rd quarter worth about $29,000. Institutional investors own 19.69% of the company’s stock.

Key Headlines Impacting Hercules Capital

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

• Positive Sentiment: Q4 operational strength: originations rose sharply year‑over‑year and management described a strong quarter with record performance and rising investment income — factors that support future yield and portfolio growth. MSN: Q4 originations rise
• Neutral Sentiment: Dividend/debt optionality highlighted: management is weighing a supplemental dividend and the use of new debt against current valuation — a potential shareholder return but with balance‑sheet implications; outcome will be a near‑term catalyst. Yahoo: Dividend and debt considerations
• Negative Sentiment: Analysts cut targets: Keefe, Bruyette & Woods lowered its price target to $19 (still an outperform) and Wells Fargo trimmed its target to $17 while maintaining overweight — downward revisions reduce headline upside and likely pressured the stock. Benzinga: Analyst target cuts
• Negative Sentiment: Earnings nuance — EPS met estimates but revenue missed and expenses rose year‑over‑year; EPS of $0.48 matched consensus but revenue was $133.3M vs. $141.6M expected, and operating costs increased, which dented the headline print. Zacks: Q4 results
• Negative Sentiment: High trading volume and near‑term uncertainty: the stock saw elevated volume on the print and mixed messages on capital allocation (dividend vs. debt), creating selling pressure until the board provides clearer guidance. MarketBeat: Earnings & materials

Hercules Capital Company Profile

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.