HERCULES CAPITAL INC (HTGC) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HTGC - US4270965084 - Common Stock
17.48 USD
+0.18 (+1.04%)
17.48 USD
0 (0%)
HTGC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 237 industry peers in the Capital Markets industry. While HTGC has a great profitability rating, there are quite some concerns on its financial health. HTGC is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
HTGC had positive earnings in the past year.
HTGC had a negative operating cash flow in the past year.
HTGC had positive earnings in each of the past 5 years.
In multiple years HTGC reported negative operating cash flow during the last 5 years.
1.2 Ratios
HTGC has a Return On Assets of 6.97%. This is amongst the best in the industry. HTGC outperforms 82.28% of its industry peers.
With a decent Return On Equity value of 14.04%, HTGC is doing good in the industry, outperforming 74.26% of the companies in the same industry.
With a decent Return On Invested Capital value of 6.11%, HTGC is doing good in the industry, outperforming 73.84% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for HTGC is in line with the industry average of 6.95%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 14.04% | ||
| ROIC | 6.11% |
ROA(3y)6.62%
ROA(5y)7.02%
ROE(3y)12.91%
ROE(5y)13.88%
ROIC(3y)6.33%
ROIC(5y)5.69%
1.3 Margins
HTGC has a Profit Margin of 59.47%. This is amongst the best in the industry. HTGC outperforms 93.25% of its industry peers.
HTGC's Profit Margin has declined in the last couple of years.
HTGC's Operating Margin of 64.99% is amongst the best of the industry. HTGC outperforms 98.31% of its industry peers.
In the last couple of years the Operating Margin of HTGC has grown nicely.
HTGC has a better Gross Margin (81.23%) than 86.08% of its industry peers.
HTGC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 64.99% | ||
| PM (TTM) | 59.47% | ||
| GM | 81.23% |
OM growth 3Y7.36%
OM growth 5Y4.3%
PM growth 3Y-4.94%
PM growth 5Y-4%
GM growth 3Y2.12%
GM growth 5Y1.42%
2. Health
2.1 Basic Checks
HTGC has more shares outstanding than it did 1 year ago.
The number of shares outstanding for HTGC has been increased compared to 5 years ago.
Compared to 1 year ago, HTGC has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.25, we must say that HTGC is in the distress zone and has some risk of bankruptcy.
HTGC has a Altman-Z score of 1.25. This is in the better half of the industry: HTGC outperforms 62.03% of its industry peers.
A Debt/Equity ratio of 0.98 indicates that HTGC is somewhat dependend on debt financing.
HTGC's Debt to Equity ratio of 0.98 is in line compared to the rest of the industry. HTGC outperforms 51.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.25 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.95 indicates that HTGC may have some problems paying its short term obligations.
HTGC has a worse Current ratio (0.95) than 60.76% of its industry peers.
A Quick Ratio of 0.95 indicates that HTGC may have some problems paying its short term obligations.
HTGC has a Quick ratio of 0.95. This is in the lower half of the industry: HTGC underperforms 60.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
The earnings per share for HTGC have decreased by -7.21% in the last year.
The Earnings Per Share has been growing slightly by 7.35% on average over the past years.
HTGC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -16.09%.
Measured over the past years, HTGC shows a quite strong growth in Revenue. The Revenue has been growing by 13.00% on average per year.
EPS 1Y (TTM)-7.21%
EPS 3Y16.54%
EPS 5Y7.35%
EPS Q2Q%-3.92%
Revenue 1Y (TTM)-16.09%
Revenue growth 3Y20.66%
Revenue growth 5Y13%
Sales Q2Q%10.26%
3.2 Future
Based on estimates for the next years, HTGC will show a small growth in Earnings Per Share. The EPS will grow by 0.26% on average per year.
The Revenue is expected to grow by 8.69% on average over the next years. This is quite good.
EPS Next Y-2.35%
EPS Next 2Y1%
EPS Next 3Y0.26%
EPS Next 5YN/A
Revenue Next Year5.37%
Revenue Next 2Y7.45%
Revenue Next 3Y8.69%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.06 indicates a reasonable valuation of HTGC.
Based on the Price/Earnings ratio, HTGC is valued a bit cheaper than 73.84% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.47, HTGC is valued rather cheaply.
The Price/Forward Earnings ratio is 8.53, which indicates a very decent valuation of HTGC.
HTGC's Price/Forward Earnings ratio is rather cheap when compared to the industry. HTGC is cheaper than 80.59% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of HTGC to the average of the S&P500 Index (34.42), we can say HTGC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.06 | ||
| Fwd PE | 8.53 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HTGC is valued a bit cheaper than the industry average as 77.64% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 15.76 |
4.3 Compensation for Growth
HTGC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.23
EPS Next 2Y1%
EPS Next 3Y0.26%
5. Dividend
5.1 Amount
HTGC has a Yearly Dividend Yield of 9.25%, which is a nice return.
Compared to an average industry Dividend Yield of 8.60, HTGC pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, HTGC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.25% |
5.2 History
The dividend of HTGC is nicely growing with an annual growth rate of 7.41%!
HTGC has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
HTGC pays out 104.41% of its income as dividend. This is not a sustainable payout ratio.
The dividend of HTGC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP104.41%
EPS Next 2Y1%
EPS Next 3Y0.26%
17.48
+0.18 (+1.04%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners27.52%
Inst Owner Change-37.38%
Ins Owners1.75%
Ins Owner Change-1.37%
Market Cap3.18B
Revenue(TTM)516.85M
Net Income(TTM)307.37M
Analysts81.43
Price Target21.36 (22.2%)
Short Float %2.46%
Short Ratio3.64
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.25% |
Yearly Dividend1.85
Dividend Growth(5Y)7.41%
DP104.41%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.18%
Min EPS beat(2)0.34%
Max EPS beat(2)4.02%
EPS beat(4)2
Avg EPS beat(4)-1.44%
Min EPS beat(4)-5.11%
Max EPS beat(4)4.02%
EPS beat(8)3
Avg EPS beat(8)-0.29%
EPS beat(12)7
Avg EPS beat(12)1.81%
EPS beat(16)9
Avg EPS beat(16)1.52%
Revenue beat(2)2
Avg Revenue beat(2)1.72%
Min Revenue beat(2)0.25%
Max Revenue beat(2)3.19%
Revenue beat(4)2
Avg Revenue beat(4)-1.68%
Min Revenue beat(4)-6.05%
Max Revenue beat(4)3.19%
Revenue beat(8)4
Avg Revenue beat(8)5.13%
Revenue beat(12)8
Avg Revenue beat(12)4.68%
Revenue beat(16)9
Avg Revenue beat(16)3.06%
PT rev (1m)-1.33%
PT rev (3m)-1.33%
EPS NQ rev (1m)1.36%
EPS NQ rev (3m)1.1%
EPS NY rev (1m)-0.3%
EPS NY rev (3m)0.3%
Revenue NQ rev (1m)-0.38%
Revenue NQ rev (3m)-0.7%
Revenue NY rev (1m)-0.38%
Revenue NY rev (3m)0.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.06 | ||
| Fwd PE | 8.53 | ||
| P/S | 6.14 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.45 | ||
| P/tB | 1.45 | ||
| EV/EBITDA | 15.76 |
EPS(TTM)1.93
EY11.04%
EPS(NY)2.05
Fwd EY11.73%
FCF(TTM)-2.2
FCFYN/A
OCF(TTM)-2.2
OCFYN/A
SpS2.84
BVpS12.05
TBVpS12.05
PEG (NY)N/A
PEG (5Y)1.23
Graham Number22.88
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.97% | ||
| ROE | 14.04% | ||
| ROCE | 7.74% | ||
| ROIC | 6.11% | ||
| ROICexc | 6.15% | ||
| ROICexgc | 6.16% | ||
| OM | 64.99% | ||
| PM (TTM) | 59.47% | ||
| GM | 81.23% | ||
| FCFM | N/A |
ROA(3y)6.62%
ROA(5y)7.02%
ROE(3y)12.91%
ROE(5y)13.88%
ROIC(3y)6.33%
ROIC(5y)5.69%
ROICexc(3y)6.48%
ROICexc(5y)5.92%
ROICexgc(3y)6.5%
ROICexgc(5y)5.93%
ROCE(3y)8.02%
ROCE(5y)7.21%
ROICexgc growth 3Y12.85%
ROICexgc growth 5Y8.03%
ROICexc growth 3Y12.87%
ROICexc growth 5Y8%
OM growth 3Y7.36%
OM growth 5Y4.3%
PM growth 3Y-4.94%
PM growth 5Y-4%
GM growth 3Y2.12%
GM growth 5Y1.42%
F-Score1
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.4 | ||
| Cap/Depr | 17.58% | ||
| Cap/Sales | 0.01% | ||
| Interest Coverage | 4.18 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | 1.25 |
F-Score1
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)222.71%
Cap/Depr(5y)145.29%
Cap/Sales(3y)0.12%
Cap/Sales(5y)0.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.21%
EPS 3Y16.54%
EPS 5Y7.35%
EPS Q2Q%-3.92%
EPS Next Y-2.35%
EPS Next 2Y1%
EPS Next 3Y0.26%
EPS Next 5YN/A
Revenue 1Y (TTM)-16.09%
Revenue growth 3Y20.66%
Revenue growth 5Y13%
Sales Q2Q%10.26%
Revenue Next Year5.37%
Revenue Next 2Y7.45%
Revenue Next 3Y8.69%
Revenue Next 5YN/A
EBIT growth 1Y-18.05%
EBIT growth 3Y29.54%
EBIT growth 5Y17.86%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-212.35%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-213.28%
OCF growth 3YN/A
OCF growth 5YN/A
HERCULES CAPITAL INC / HTGC FAQ
What is the fundamental rating for HTGC stock?
ChartMill assigns a fundamental rating of 4 / 10 to HTGC.
Can you provide the valuation status for HERCULES CAPITAL INC?
ChartMill assigns a valuation rating of 5 / 10 to HERCULES CAPITAL INC (HTGC). This can be considered as Fairly Valued.
How profitable is HERCULES CAPITAL INC (HTGC) stock?
HERCULES CAPITAL INC (HTGC) has a profitability rating of 7 / 10.
Can you provide the financial health for HTGC stock?
The financial health rating of HERCULES CAPITAL INC (HTGC) is 1 / 10.
What is the earnings growth outlook for HERCULES CAPITAL INC?
The Earnings per Share (EPS) of HERCULES CAPITAL INC (HTGC) is expected to decline by -2.35% in the next year.