Hercules Capital Stock Dividend Information and Analysis

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A Grayscale of the Temple of Hercules Victor
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Hercules Capital is a business development company that has been paying dividends to its shareholders for many years.

Hercules Capital's dividend history is impressive, with a consistent track record of paying dividends since its initial public offering in 2005.

The company has a strong history of increasing its dividend payout over time, with a current dividend yield of around 11%.

Hercules Capital's dividend payout ratio is relatively low, which suggests that the company has a solid financial foundation to support its dividend payments.

The company's dividend policy is to pay a quarterly dividend of $0.32 per share, which translates to an annual dividend of $1.28 per share.

Hercules Capital's dividend is typically paid out around 20-30 days after the end of each quarter.

Hercules Capital Dividend

Hercules Capital is a dividend paying company with a current yield of 9.08% that is well covered by earnings.

The company has a strong history of paying supplemental dividends to shareholders, with a quarterly dividend of $0.40 per share and a supplemental dividend of $0.08 per share declared on October 28.

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Hercules Capital's dividend yield is in the top 25% of dividend payers in the US market, with a trailing-12-month yield of nearly 10%.

The company's dividend yield is also higher than the bottom 25% of dividend payers in the US market, with a dividend yield of 1.41%.

Here's a comparison of Hercules Capital's dividend yield to the market:

As you can see, Hercules Capital's dividend yield is significantly higher than the market average, making it an attractive option for income-minded investors.

Dividend Information

Hercules Capital is a dividend-paying company with a current yield of 9.08% that is well covered by earnings.

The company's dividend yield is a significant draw for income-minded investors, with a trailing yield of over 8% based on its ordinary quarterly payout. Adding its supplemental dividend, the trailing-12-month yield jumps up to nearly 10%.

Here are some key dividend metrics for Hercules Capital:

The company's dividend payout ratio is 79%, which means its payments are covered by earnings.

Worth the Risk for Certain Investors

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Hercules Capital is a compelling investment prospect for income-seeking investors willing to take on some risk. The stock's current dividend yield of just over 8% is higher than usual, and its consistent ordinary quarterly dividends make it an attractive option.

You can expect an effective yield paired with the stock's modest long-term price-growth track record to put you in the ballpark of an annualized rate of return of 10%. This is in line with the S&P 500's typical yearly return.

The private lending market is quickly becoming a desirable alternative to conventional stocks, with industry research firm Preqin predicting the global private credit market will nearly double in size between 2022 and 2028. This growing demand should help Hercules Capital maintain its premium pricing.

Hercules Capital has a strong track record of leading over 250 of its borrowers to an IPO or acquisition, making it a highly regarded name in the business. This should help the BDC secure more cost-effective capital, attracting more of the private lending market's most attractive borrowers.

Hercules Capital, Inc. (HTGC)

Credit: youtube.com, Cheap Dividend Stocks and Highest Paying Dividend Stocks 2023: Hercules Capital Stock I HTGC Stock

Hercules Capital, Inc. (HTGC) is a business development company that offers a significant dividend yield.

Its trailing dividend yield is a little over 8%, based on its ordinary quarterly payout.

Adding its supplemental dividend to the mix cranks the trailing-12-month yield up to nearly 10%.

This is a big draw for income-minded investors, but it's essential to dig deeper into the company's details before investing.

Hercules Capital may be a great dividend stock for some investors, but it's a lousy one for others.

Key Details

Here's the "Key Details" section of the article:

The dividend yield on Hercules Capital stock is a relatively low -4.7%. This means that investors can expect a smaller return on their investment in the form of dividends.

The total shareholder yield, on the other hand, is 4.4%. This takes into account not just dividends, but also share buybacks and other forms of return on investment.

A future dividend yield of 8.1% is projected, which could be attractive to investors looking for a potentially higher return.

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Hercules Capital's dividend growth rate is 2.4%, which indicates a relatively stable and predictable dividend stream.

The company's payout ratio is 79%, which means that nearly 80% of its earnings are being distributed to shareholders in the form of dividends.

Here's a breakdown of the key dividend metrics:

Frequently Asked Questions

How does Hercules Capital make money?

Hercules Capital generates income from debt investments and capital gains from equity-related investments, aiming to maximize total portfolio return. By diversifying its investments, the company seeks to balance current income with long-term growth.

Teresa Halvorson

Senior Writer

Teresa Halvorson is a skilled writer with a passion for financial journalism. Her expertise lies in breaking down complex topics into engaging, easy-to-understand content. With a keen eye for detail, Teresa has successfully covered a range of article categories, including currency exchange rates and foreign exchange rates.

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