Key Takeaways From Hercules Capital Analyst Ratings

Analysts' ratings for Hercules Capital HTGC over the last quarter vary from bullish to bearish, as provided by 6 analysts.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Hercules Capital, revealing an average target of $20.75, a high estimate of $22.00, and a low estimate of $19.00. Witnessing a positive shift, the current average has risen by 4.64% from the previous average price target of $19.83.

Deciphering Analyst Ratings: An In-Depth Analysis

The perception of Hercules Capital by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Hercules Capital. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Hercules Capital compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Hercules Capital's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Hercules Capital's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Hercules Capital analyst ratings.

All You Need to Know About Hercules Capital

Hercules Capital Inc is a specialty finance company engaged in providing senior secured loans to high-growth, venture capital-backed companies in a variety of technology, life sciences, and sustainable and renewable technology industries. It invests majorly in structured debt with warrants and, to a lesser extent, in senior debt and equity investments. The company lends to and invests in portfolio companies in various technology-related industries including technology, drug discovery and development, biotechnology, life sciences, healthcare, and sustainable and renewable technology.

Financial Milestones: Hercules Capital's Journey

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Challenges: Hercules Capital's revenue growth over 3 months faced difficulties. As of 31 March, 2024, the company experienced a decline of approximately -1.53%. This indicates a decrease in top-line earnings. When compared to others in the Financials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 78.6%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Hercules Capital's ROE stands out, surpassing industry averages. With an impressive ROE of 4.93%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 2.56%, the company showcases effective utilization of assets.

Debt Management: Hercules Capital's debt-to-equity ratio surpasses industry norms, standing at 0.94. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

The Core of Analyst Ratings: What Every Investor Should Know

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

This article was generated by Benzinga's automated content engine and reviewed by an editor.