Hercules Capital Inc. (HTGC) and Its Peers Contrasting side by side.

As Mortgage Investment company, Hercules Capital Inc. (NYSE:HTGC) is competing with its competitors based on the risk, analyst recommendations, profitability, dividends, earnings and valuation, institutional ownership.

Insider and Institutional Ownership

Hercules Capital Inc. has 37.6% of its shares held by institutional investors & an average of 46.22% institutional ownership for its rivals. On other hand Hercules Capital Inc. has 3.48% of its shares held by company insiders & an average of 7.41% insiders ownership for its rivals.


On first table we have Hercules Capital Inc. and its rivals’ return on equity, net margins and return on assets.

Net Margins Return on Equity Return on Assets
Hercules Capital Inc. 36.54% 0.00% 0.00%
Industry Average 38.03% 15.58% 4.43%

Earnings & Valuation

In next table we are comparing Hercules Capital Inc. and its rivals’ gross revenue, valuation and net income.

Net Income Gross Revenue Price/Earnings Ratio
Hercules Capital Inc. 75.92M 207.75M 16.23
Industry Average 133.98M 352.30M 14.07

Hercules Capital Inc. has lower revenue, but higher P/E Ratio than its rivals. With presently higher price-to-earnings ratio Hercules Capital Inc. is more expensive than its competitors.

Analyst Recommendations

Table 3 provides summary of current ratings for Hercules Capital Inc. and its rivals.

Sell Ratings Hold Ratings Buy Ratings Rating Score
Hercules Capital Inc. 0 1 2 2.67
Industry Average 1.00 1.78 1.40 2.45

$13.88 is the average price target of Hercules Capital Inc., with a potential upside of 9.29%. The potential upside of the competitors is 47.99%. The analysts’ opionion based on the results delivered earlier is that Hercules Capital Inc. is looking more favorable than its competitors.


Here are the Weekly, Monthly, Quarterly, Half Yearly, Yearly and YTD Performance of Hercules Capital Inc. and its rivals.

Performance (W) Performance (M) Performance (Q) Performance (HY) Performance (Y) Performance (YTD)
Hercules Capital Inc. -4.06% 2.51% 9.78% 0.01% 13.47% 21.9%
Industry Average 3.63% 7.78% 10.81% 7.74% 17.05% 20.65%

For the past year Hercules Capital Inc. has stronger performance than Hercules Capital Inc.’s rivals.


$1.24 per share with a dividend yield of 9.76% is the annual dividend that Hercules Capital Inc. pays. On the other side, 7.44% is the dividend yield of Hercules Capital Inc.’s rivals.

Hercules Capital, Inc., formerly known as Hercules Technology Growth Capital, Inc., is a business development company specializing in providing venture debt, debt, senior secured loans, and growth capital to privately held venture capital-backed companies at all stages of development including select publicly listed companies and select special opportunity lower middle market companies that require additional capital to fund acquisitions, recapitalizations and refinancings 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; convertible, subordinated and/or mezzanine loans; domestic and international expansion; vendor financing; revenue acceleration by sales and marketing development, and manufacturing expansion. It provides asset-based financing with a focus on cash flow; accounts receivable facilities; equipment loans/leases; equipment acquisition; facilities build-out and/or expansion; working capital revolving lines of credit; inventory. The firm also provides bridge financing to IPO or mergers and acquisitions or technology acquisition; dividend recapitalizations and other sources of investor liquidity; cash flow financing to protect against share price volatility; competitor acquisition; pre-IPO financing for extra cash on the balance sheet; public company financing to continue asset growth and production capacity; public company financing to continue asset growth and production capacity; short-term bridge financing; and strategic and intellectual property acquisition financings. It also focuses on customized financing solutions, seed and early stage financing. The firm invests primarily in structured debt with warrants and, to a lesser extent, in senior debt and equity investments. The firm generally seeks to invest in companies that have been operating for at least six to 12 months prior to the date of their investment. It prefers to invest in technology, energy technology, and life sciences. Within technology the firm focuses on advanced specialty materials and chemicals; communication and networking, consumer and business products; consumer products and services, digital media and consumer internet; electronics and computer hardware; enterprise software and services; healthcare services; information services; internet consumer and business services; media, content and information; mobile; resource management; security software; semiconductors; semiconductors and hardware; and software sector. Within energy technology, it invests in agriculture; clean technology; energy and renewable technology, fuels and power technology; geothermal; smart grid and energy efficiency and monitoring technologies; solar; and wind. Within life sciences, the firm invests in biopharmaceuticals; biotechnology tools; diagnostics; drug discovery, development and delivery; medical devices and equipment; surgical devices; therapeutics; pharma services; and specialty pharmaceuticals. It also invests in educational services. The firm invests primarily in United States based companies and considers investment in the West Coast, Mid-Atlantic regions, Southeast and Midwest; particularly in the areas of software, biotech and information services. It invests generally between $1 million to $40 million in companies with revenues of $10 million to $200 million, generating EBITDA of $2 million to $15 million, focused primarily on business services, communications, electronics, hardware, and healthcare services. The firm invests primarily in private companies but also have investments in public companies. For equity investments, the firm seeks to represent a controlling interest in its portfolio companies which may exceed 25% of the voting securities of such companies. The firm seeks to invest a limited portion of its assets in equipment-based loans to early-stage prospective portfolio companies. These loans are generally for amounts up to $3.0 million but may be up to $15.0 million for certain energy technology venture investments. The firm allows certain debt investments have the right to convert a portion of the debt investment into equity. It also co-invests with other private equity firms. The firm seeks to exit its investments through initial public offering, a private sale of equity interest to a third party, a merger or an acquisition of the company or a purchase of the equity position by the company or one of its stockholders. The firm has structured debt with warrants which typically have maturities of between two and seven years with an average of three years; senior debt with an investment horizon of less than three years; equipment loans with an investment horizon ranging from three to four years; and equity related securities with an investment horizon ranging from three to seven years. Hercules Capital, Inc. was founded in December 2003 and is based in Palo Alto, California with additional offices in North America.