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HTGC stock quote has been a consistent performer in the market, with a history of providing attractive yields to investors. It has a strong track record of paying dividends.
One of the key reasons investors are drawn to HTGC stock is its focus on lending to small businesses and middle-market companies. This niche focus allows the company to tap into a lucrative market.
HTGC's business model is built on originating and investing in senior secured loans, which provides a relatively stable source of returns. This stability is a major draw for investors seeking predictable income.
Investors who have held onto HTGC stock for the long term have been rewarded with steady gains and dividend payments.
Financial Performance
Hercules Capital's revenue has seen significant growth, increasing by 43.20% in 2023 to $460.67 million, up from $321.69 million the previous year.
The company's earnings have also seen a substantial increase, with a 234.55% jump to $334.14 million in 2023.
Here's a quick look at Hercules Capital's revenue growth over the years:
The company's strong financial performance is a testament to its effective management and investment strategies.
Price History & Performance
Hercules Capital's share price has reached a 52-week high of $21.78 and a low of $16.72.
The current share price is $21.01, a 4.63% increase over the past month.
In the past year, the share price has risen by 18.03%, and over the past five years, it has increased by 43.51%.
Here's a breakdown of the share price changes over different time periods:
Dividend Powerhouse for Long-Term Investors
Hercules Capital is a strong income investment due to its internal management and high-quality, conservatively managed portfolio. The company has delivered impressive returns, outperforming the S&P 500.
In 2023, Hercules Capital's revenue was $460.67 million, an increase of 43.20% compared to the previous year's $321.69 million. This significant growth is a testament to the company's financial health.
HTGC has a history of paying regular dividends, with a current payout of $0.4000 per share. The company has a qualified dividend status, which means it meets certain requirements to be considered a qualified dividend.
The dividend capture strategy for HTGC involves buying shares one day before the ex-dividend date and selling them when the price recovers. According to historical data, the average price recovery is around 2.47%, with an average yield on cost of 2.47%.
Here's a summary of HTGC's dividend growth over the years:
The company's dividend growth has been consistent, with a 1-year growth rate of 1.27% in 2024. HTGC's dividend yield is attractive, with a regular dividend yield of around 8.4%.
Dividend Information
Hercules Capital's dividend yield is quite attractive, coming in at around 8.4% for regular dividends.
HTGC has a history of delivering impressive returns, outperforming the S&P 500 in the past.
To capture the dividend, you can buy HTGC shares one day before the ex-dividend date, which is typically the day after the purchase date.
The upcoming ex-dividend date for HTGC is February 28, 2025, so you'll want to buy your shares by February 27, 2025.
After buying the shares, you can sell them when the price recovers, with an average price recovery of 2.47% on cost.
This strategy may not guarantee future results, but it can be a good way to capture the dividend income from HTGC.
Stock Overview
HTGC stock has a valuation score of 5/6, indicating it's trading at a discount to its fair value, with a price 37.5% below our estimate.
The company's past performance is solid, with earnings growing 15.6% per year over the past 5 years.
HTGC's financial health is decent, with a score of 3/6, suggesting some areas for improvement.
The stock's dividend yield is attractive, with a score of 4/6, but as with any investment, there are trade-offs to consider.
Here's a breakdown of HTGC's fundamental analysis scores:
Company Information
Hercules Capital is the largest non-bank lender to venture capital-backed companies at all stages of development in various industries.
Hercules has over a decade of experience in venture debt, which has allowed it to develop innovative financing solutions that fit within a company's capital structure and business objectives.
The company is recognized as the industry leader and understands the flexibility that venture capital-backed companies need to reach critical milestones.
Hercules has a strong capital base and a geographic presence that has made it the lender of choice for more than 480 innovative companies.
Its deep sector expertise has enabled Hercules to work closely with companies, even through challenging times, to help them achieve their business objectives.
Hercules' experience and expertise have positioned it as a trusted partner for venture capital-backed companies in various industries.
Frequently Asked Questions
What is the stock price prediction for HTGC?
According to 8 analysts, the predicted stock price for HTGC is $20.31, a 1.96% increase from the current price of $19.92. This forecast is based on a range of estimates from $17.5 to $22.5.
Is Hercules Capital a buy or sell?
Based on valuation metrics, Hercules Capital may not be the best investment choice for value investors. Consider further analysis before making a decision.
Sources
- https://www.dividend.com/stocks/financials/asset-management/investment-management/htgc-hercules-technology-growth-capital/
- https://stockanalysis.com/stocks/htgc/
- https://simplywall.st/stocks/us/diversified-financials/nyse-htgc/hercules-capital
- https://www.zacks.com/stock/quote/HTGC
- https://www.fool.com/quote/nyse/htgc/
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