Denali Advisors LLC Lowers Position in Hercules Capital, Inc. $HTGC

Denali Advisors LLC trimmed its position in Hercules Capital, Inc. (NYSE:HTGC) by 20.5% during the 3rd quarter, Holdings Channel.com reports. The firm owned 265,576 shares of the financial services provider’s stock after selling 68,277 shares during the period. Denali Advisors LLC’s holdings in Hercules Capital were worth $5,022,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also added to or reduced their stakes in the company. Wealth Enhancement Advisory Services LLC grew its stake in shares of 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 acquiring an additional 56,797 shares during the last quarter. International Assets Investment Management LLC boosted its stake in Hercules Capital by 308.9% in the 3rd quarter. International Assets Investment Management LLC now owns 79,555 shares of the financial services provider’s stock worth $1,493,000 after purchasing an additional 60,100 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. grew its position in Hercules Capital by 42.3% during the 3rd quarter. Sumitomo Mitsui Trust Group Inc. now owns 884,946 shares of the financial services provider’s stock valued at $16,734,000 after purchasing an additional 263,222 shares during the last quarter. Tred Avon Family Wealth LLC purchased a new stake in Hercules Capital during the 3rd quarter valued at about $1,042,000. Finally, Muzinich & Co. Inc. increased its stake in Hercules Capital by 34.5% during the 3rd quarter. Muzinich & Co. Inc. now owns 992,820 shares of the financial services provider’s stock valued at $18,774,000 after purchasing an additional 254,651 shares in the last quarter. Hedge funds and other institutional investors own 19.69% of the company’s stock.

Hercules Capital News Roundup

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 Price Performance

Shares of HTGC opened at $15.61 on Monday. The firm has a fifty day simple moving average of $18.33 and a two-hundred day simple moving average of $18.44. The firm has a market cap of $2.87 billion, a PE ratio of 8.53 and a beta of 0.84. The company has a current ratio of 1.48, a quick ratio of 1.48 and a debt-to-equity ratio of 1.03. Hercules Capital, Inc. has a 1-year low of $15.40 and a 1-year high of $22.04.

Hercules Capital (NYSE:HTGC) last issued its quarterly earnings data on Thursday, February 12th. The financial services provider reported $0.48 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 company had revenue of $133.25 million during the quarter, compared to analyst estimates of $141.57 million. During the same quarter in the previous year, the company posted $0.49 earnings per share. On average, equities analysts anticipate that Hercules Capital, Inc. will post 1.96 EPS for the current year.

Hercules Capital Cuts Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 4th. Stockholders of record on Wednesday, February 25th will be paid a $0.07 dividend. This represents a $0.28 annualized dividend and a dividend yield of 1.8%. The ex-dividend date is Wednesday, February 25th. Hercules Capital’s dividend payout ratio is 87.43%.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on HTGC. Wall Street Zen cut shares of Hercules Capital from a “buy” rating to a “hold” rating in a report on Saturday, December 20th. Keefe, Bruyette & Woods cut their target price on Hercules Capital from $20.00 to $19.00 and set an “outperform” rating on the stock in a research note on Friday. Capital One Financial set a $19.75 target price on Hercules Capital in a report on Monday, December 15th. Wells Fargo & Company lowered their price target on Hercules Capital from $18.00 to $17.00 and set an “overweight” rating on the stock in a report on Friday. Finally, Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Hercules Capital in a research report on Wednesday, January 28th. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $19.39.

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.