Sound Income Strategies LLC Grows Stock Position in Hercules Capital, Inc. $HTGC

Key Points

• Sound Income Strategies LLC increased its holdings in Hercules Capital, Inc. by 1.9% during the second quarter, now owning approximately 2,930,340 shares, which represent about 3.1% of its investment portfolio.
• Hercules Capital recently announced a quarterly dividend of $0.47 per share, reflecting an increase from its previous dividend of $0.40, and offering a yield of 9.8%.
• Analysts have a consensus rating of "Moderate Buy" for Hercules Capital, with price targets ranging from $19.00 to $24.00 following positive earnings reports surpassing expectations.

Sound Income Strategies LLC boosted its position in shares of Hercules Capital, Inc. (NYSE:HTGC - Free Report) by 1.9% during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The firm owned 2,930,340 shares of the financial services provider's stock after acquiring an additional 55,885 shares during the period. Hercules Capital accounts for about 3.1% of Sound Income Strategies LLC's investment portfolio, making the stock its 3rd largest position. Sound Income Strategies LLC owned about 1.67% of Hercules Capital worth $53,567,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Dakota Wealth Management raised its stake in Hercules Capital by 1.6% during the 2nd quarter. Dakota Wealth Management now owns 37,985 shares of the financial services provider's stock worth $694,000 after acquiring an additional 600 shares during the period. Border to Coast Pensions Partnership Ltd raised its position in shares of Hercules Capital by 7.1% during the second quarter. Border to Coast Pensions Partnership Ltd now owns 375,000 shares of the financial services provider's stock valued at $6,855,000 after buying an additional 25,000 shares during the last quarter. Kingstone Capital Partners Texas LLC bought a new stake in shares of Hercules Capital during the second quarter valued at approximately $522,447,000. Capital Advisory Group Advisory Services LLC raised its position in shares of Hercules Capital by 4.4% during the second quarter. Capital Advisory Group Advisory Services LLC now owns 90,904 shares of the financial services provider's stock valued at $1,662,000 after buying an additional 3,851 shares during the last quarter. Finally, Gilman Hill Asset Management LLC raised its position in shares of Hercules Capital by 0.3% during the second quarter. Gilman Hill Asset Management LLC now owns 570,379 shares of the financial services provider's stock valued at $10,427,000 after buying an additional 1,706 shares during the last quarter. Institutional investors own 19.69% of the company's stock.

Hercules Capital Trading Up 0.1%

Shares of HTGC opened at $19.12 on Monday. The company's fifty day moving average is $19.27 and its 200 day moving average is $18.47. Hercules Capital, Inc. has a fifty-two week low of $15.65 and a fifty-two week high of $22.04. The stock has a market capitalization of $3.47 billion, a PE ratio of 12.66 and a beta of 0.95. The company has a debt-to-equity ratio of 0.96, a quick ratio of 1.68 and a current ratio of 1.68.

Hercules Capital (NYSE:HTGC - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The financial services provider reported $0.50 earnings per share for the quarter, topping the consensus estimate of $0.47 by $0.03. Hercules Capital had a net margin of 51.46% and a return on equity of 16.54%. The company had revenue of $137.46 million for the quarter, compared to analysts' expectations of $129.47 million. During the same quarter in the previous year, the business posted $0.51 earnings per share. Hercules Capital's quarterly revenue was up 10.0% on a year-over-year basis. Sell-side analysts expect that Hercules Capital, Inc. will post 1.96 earnings per share for the current fiscal year.

Hercules Capital Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, August 19th. Shareholders of record on Tuesday, August 12th were given a dividend of $0.47 per share. This represents a $1.88 dividend on an annualized basis and a yield of 9.8%. This is a positive change from Hercules Capital's previous quarterly dividend of $0.40. The ex-dividend date was Tuesday, August 12th. Hercules Capital's dividend payout ratio (DPR) is presently 105.96%.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on HTGC shares. UBS Group lifted their price objective on shares of Hercules Capital from $18.50 to $19.00 and gave the company a "neutral" rating in a research report on Wednesday, July 16th. Citigroup reiterated an "outperform" rating on shares of Hercules Capital in a research report on Monday, August 4th. Piper Sandler lifted their price objective on shares of Hercules Capital from $20.00 to $21.00 and gave the company an "overweight" rating in a research report on Friday, August 1st. Finally, JMP Securities lifted their price objective on shares of Hercules Capital from $22.00 to $24.00 and gave the company a "market outperform" rating in a research report on Monday, August 4th. Five investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $20.58.

Hercules Capital Company Profile

Hercules Capital, Inc is a business development company. The firm specializing in providing venture debt, debt, senior secured loans, and growth capital to privately held venture capital-backed companies at all stages of development from startups to expansion stage including select publicly listed companies and select special opportunity lower middle market companies that require additional capital to fund acquisitions, recapitalizations and refinancing and established-stage companies.

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