Hercules Capital, Inc. HCXY

FinancialsInvestment Banking & Investment ServicesUnited States of America

Last close 24.19 USD on Nov 1, 2026, +1.0% year to date

Quant rating

Quant rating C Rank 484 of 799 in Financials

Growth B 216 of 799
Valuation B 302 of 799
Quality D 620 of 799
Revisions B 255 of 799
Momentum D 629 of 799

Wall Street consensus Buy (1.78)Average target 19.50 USD −19.4%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 3.1B
Enterprise value: 5.4B
52-week range: 23.78 – 25.62
3-year range: 23.10 – 25.80
Dividend yield: 6.46%
Beta (5 years): 0.18
Shares outstanding: 190M
Next earnings: Feb 12, 2027

About the company

Hercules Capital, Inc. is a specialty finance company. The Company is focused on providing senior secured loans to venture capital-backed and institutional-backed companies in a variety of technology and life sciences industries. It is structured as an internally managed, non-diversified, closed-end investment company. Its business objectives are to increase its net income, net investment income, and net asset value, through its investments in primarily structured debt or senior secured debt instruments of venture capital-backed and institutional-backed companies across a variety of technology-related industries at attractive yields. It invests in a range of companies active in the technology industry sub-sectors characterized by products or services that require advanced technologies, including computer software and hardware, networking systems, semiconductors, telecommunications equipment and media, semiconductor capital equipment, information technology infrastructure, and others.

Growth and profitability fiscal year ends December 31

Growth and profitability by fiscal year
	2025	2024	2023	2022	2021	5Y avg
Revenue (mil)	532	494	461	322	281	–
Revenue growth	7.9%	7.1%	43.2%	14.5%	−2.2%	13.1%
EPS (basic, normalized)	1.91	2.00	2.09	1.48	1.29	–
EPS growth	−4.5%	−4.3%	41.2%	14.7%	–	–
Gross margin	80.6%	82.6%	83.2%	80.6%	77.5%	80.9%
Net margin	63.3%	52.7%	72.5%	31.0%	61.4%	56.2%
ROE	–	17.2%	19.0%	13.6%	11.5%	15.3%

Balance sheet, last quarter
Cash & short-term investments (mil)	48.3
Current ratio	–
Long-term debt (mil)	2,335
Net debt (mil)	2,287
Total equity (mil)	2,325
Net debt / equity	0.98x

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			Book value per share			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	P/B	Mean est.	Growth	P/E
2025 actual	532	+7.9%	10.2x	12.13	+6.5%	2.0x	1.91	−4.5%	12.7x
2026	581	+9.0%	9.4x	12.33	+1.7%	2.0x	1.93	+1.2%	12.5x
2027	624	+7.5%	8.7x	12.69	+2.9%	1.9x	1.94	+0.4%	12.5x
2028	708	+13.4%	7.7x	13.08	+3.1%	1.8x	1.94	0.0%	12.5x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2026	581	+0.2%	+0.2%	0.0%	1.93	+0.1%	0.0%	−0.5%
2027	624	+1.0%	+1.0%	+2.2%	1.94	−1.3%	−1.3%	−2.2%
2028	708	+3.4%	+3.4%	+9.3%	1.94	+0.7%	+0.9%	+0.6%

Earnings surprises EPS beat in 3 of the last 4 quarters

Reported results versus consensus, last 10 fiscal quarters
Quarter ended	Mar 2024	Jun 2024	Sep 2024	Dec 2024	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Sales reported (mil)	122	125	125	122	120	137	138	137	142	149
Sales mean (mil)	119	128	124	127	122	131	135	139	141	145
Surprise	+2.1%	−2.0%	+1.0%	−4.2%	−2.2%	+5.3%	+2.3%	−1.1%	+0.3%	+2.5%
EPS reported	0.50	0.51	0.51	0.49	0.45	0.50	0.49	0.48	0.48	0.50
EPS mean	0.50	0.51	0.51	0.51	0.46	0.47	0.48	0.49	0.48	0.48
Surprise	+0.9%	−0.4%	−0.2%	−3.2%	−3.1%	+6.1%	+2.3%	−2.5%	+0.7%	+3.4%

Peer comparison Investment Banking & Investment Services

Peers in the same industry group, by market capitalization
Company	Market cap	Net debt/EBITDA	Net margin	P/B	FY1 P/E	FY2 P/E	FY1 EV/EBITDA	FY2 EV/EBITDA
HCXY Hercules Capital, Inc.	3.1B	–	63.3%	1.37x	12.5x	12.5x	–	–
AB AllianceBernstein Holding LP	3.2B	0.00x	90.1%	2.62x	10.3x	9.5x	2.6x	2.5x
AAMI Acadian Asset Management Inc.	3.2B	0.64x	14.2%	25.03x	16.1x	14.2x	11.2x	10.1x
HTGC Hercules Capital, Inc.	3.1B	–	63.3%	1.37x	8.6x	8.5x	–	–
WT WisdomTree, Inc.	3.1B	4.11x	22.0%	7.51x	17.4x	15.7x	12.7x	11.7x
DBRG Digitalbridge Group, Inc.	3.0B	2.06x	91.0%	–	–	–	–	–
Mean		1.70x	57.3%	7.58x	13.0x	12.1x	8.8x	8.1x
Median		1.35x	63.3%	2.62x	12.5x	12.5x	11.2x	10.1x

Technical analysis

1M−1.6%
3M−0.2%
1Y+1.1%
3Y+26.5%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, Hercules Capital, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Total revenue	532	494	461	322	281	287
Cost of revenue	103	86.0	77.5	62.3	63.1	66.9
Gross profit	429	408	383	259	218	220
Selling, general & administrative expenses	103	92.6	88.3	79.6	72.9	63.2
Research & development	–	–	–	–	–	–
Interest expense (income), operating	–	–	–	–	–	–
Unusual expense (income)	0.2	0.2	0	3.7	4.4	–
Other operating expenses	−15.2	−10.8	−9.1	−8.3	−5.0	0
Operating income	342	326	304	184	146	157
Net interest income (expense)	−1.8	−62.7	33.4	−82.3	28.6	70.1
Gain (loss) on sale of assets	–	–	–	–	–	–
Other non-operating income (expense)	0	0	0	0	0	0
Net income before taxes	340	263	337	102	174	227
Provision for taxes	–	–	–	–	–	–
Minority interest	–	–	–	–	–	–
Equity in affiliates	–	–	–	–	–	–
U.S. GAAP adjustment	–	–	–	–	–	–
Net income before extraordinary items	340	263	337	102	174	227
Extraordinary items	–	–	–	–	–	–
Net income	340	263	337	102	174	227
EBIT, normalized	342	326	304	188	150	157
EBITDA, normalized	342	326	304	188	150	158
Basic EPS, normalized	1.91	2.00	2.09	1.48	1.29	–

Balance sheet in millions of USD, fiscal years

Balance sheet, Hercules Capital, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Assets
Cash & short-term investments	57.0	113	98.9	15.8	133	198
Receivables	37.3	32.6	32.7	31.7	17.4	19.1
Total inventory	–	–	–	–	–	–
Prepaid expenses	–	–	–	–	–	–
Other current assets	–	–	–	–	–	–
Total current assets	–	–	–	–	–	–
Property, plant & equipment	14.8	16.8	4.8	5.0	6.8	9.3
Goodwill	–	–	–	–	–	–
Intangibles	–	–	–	–	–	–
Long-term investments	4,467	3,660	3,248	2,964	2,435	2,354
Note receivable	–	–	–	–	–	–
Other long-term assets	103	155	164	59.9	159	261
Total assets	4,584	3,832	3,417	3,029	2,600	2,624
Liabilities
Accounts payable	–	–	–	–	–	–
Payable/accrued	65.3	54.9	54.2	47.5	47.8	36.3
Accrued expenses	16.3	18.2	5.2	5.5	7.4	9.3
Short-term debt	0	0	0	0	0	0
Current portion of long-term debt	–	–	–	–	–	–
Other current liabilities	–	–	–	–	–	–
Total current liabilities	–	–	–	–	–	–
Long-term debt	2,286	1,769	1,555	1,574	1,236	1,287
Minority interest	–	–	–	–	–	–
Other liabilities	81.5	73.1	59.4	53.0	55.2	45.7
Total liabilities	2,368	1,842	1,614	1,627	1,291	1,332
Shareholders' equity
Preferred stock	–	–	–	–	–	–
Common stock	0.2	0.2	0.2	0.1	0.1	0.1
Additional paid-in capital	2,115	1,900	1,663	1,341	1,092	1,158
Retained earnings (accumulated deficit)	101	88.9	140	59.9	217	133
Treasury stock	–	–	–	–	–	–
Other equity	0	0	0	0	0	0
Total equity	2,216	1,990	1,803	1,401	1,309	1,292
Total liabilities & shareholders' equity	4,584	3,832	3,417	3,029	2,600	2,624

Cash flow statement in millions of USD, fiscal years

Cash flow statement, Hercules Capital, Inc., fiscal years, most recent first
	2025	2024	2023	2022	2021	2020
Operating activities
Net income	340	263	337	102	174	227
Depreciation, depletion & amortization	0.3	0.5	0.2	0.2	0.3	0.4
Deferred taxes	–	–	–	–	–	–
Non-cash items	878	978	952	609	1,171	703
Changes in working capital	−1,644	−1,359	−1,222	−1,136	−1,217	−723
Cash from operations	−426	−118	68.3	−425	129	208
Investing activities
Capital expenditures	−0.1	−0.7	−0.9	−0.1	−0.1	−0.1
Other investing cash flows	0	0	0	0	0	0
Cash from investing	−0.1	−0.7	−0.9	−0.1	−0.1	−0.1
Financing activities
Financing cash flow items	−23.4	−11.8	−23.9	−15.5	−15.1	−6.9
Cash dividends paid	−326	−303	−274	−245	−176	−152
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	718	435	320	575	−39.2	74.2
Cash from financing	369	119	22.7	315	−230	−85.0
Foreign exchange effects	–	–	–	–	–	–
Net change in cash	−57.0	0.4	90.1	−110	−101	123
Free cash flow	−426	−119	67.4	−425	129	208

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 1, 2026 after market close.