A seven-holding portfolio promising $12,500 a month sounds straightforward until you examine whose money is actually funding some of those distributions, and why the highest-yielding positions have the weakest claim to keeping their promises.
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In order to pull $12,500 a month, or $150,000 a year, from this seven-holding mix, you need roughly $2.5 million invested at a blended yield near 6%. Hitting that number is more fragile than it looks.
A broad dividend index fund and two blue-chip anchors form the conservative core. Two options-income ETFs act as the yield engine. A gaming REIT and a business development company round it out as a credit-flavored sleeve. That mix pushes the blended yield high enough to justify $2.5 million rather than the roughly $4.3 million a plain 3.5% dividend portfolio would demand. Reaching for the extra yield is where trouble starts.
What You Are Actually Being Paid, and With Whose Money Start with the highest headline yield: the NEOS Nasdaq-100 High Income ETF (NASDAQ:QQQI). Filing officer Garrett Paolella disclosed in a Form 8937 covering the fiscal year ending 5/31/25 that QQQI’s declared distributions that year included a nontaxable return of capital component. Return of capital is the fund handing back your own money: holders reduce their cost basis by that amount, producing a larger taxable gain later when shares are sold. It represents your own capital being returned rather than income the strategy earned. That filing is the most recent available to us; the current year’s mix may differ. A headline yield built substantially on return of capital overstates what an investor genuinely earns.
The other options-income sleeve, the Amplify CWP Enhanced Dividend Income ETF (NYSEARCA:DIVO), carries a different distortion. Its trailing twelve-month distributions total $3.005 per share while the annualized forward figure is only $2.336. The gap comes from an unusually large $0.953 distribution on December 30, 2025, several times the recurring monthly amount. Computing yield from the trailing figure suggests this sleeve pays far more than it actually does on a recurring basis. Monthly amounts have been grinding higher, which is real progress, but use the forward number for planning.
Hercules Capital (NYSE:HTGC), the business development company, has held its quarterly distribution flat at $0.47 for four straight quarters, slightly below the $0.48 paid across 2024. Management is holding the payout steady rather than growing it. A BDC lends to smaller, often venture-backed companies, and its income is more sensitive to credit spreads and interest rates than any blue-chip’s dividend. CEO Scott Bluestein reported 125% coverage of the base distribution in Q2, though non-accruals rose from one loan to two.
VICI Properties (NYSE:VICI | VICI Price Prediction) is the portfolio’s price problem child. Shares are down 19% over the past year while the rest of the portfolio has risen. A falling price mechanically raises the quoted yield, so VICI contributes more yield today precisely because it has performed badly. That mechanical yield lift deserves scrutiny before you celebrate it. The business itself looks intact: 100% occupancy and a 39.6-year weighted average lease term, with AFFO per diluted share up 5% in Q2 2026. Still, the market is saying something.
The conservative core is doing its job. The Vanguard High Dividend Yield ETF (NYSEARCA:VYM) has returned 20% over the past year, Duke Energy (NYSE:DUK) raised its quarterly payout to $1.085, and Johnson & Johnson (NYSE:JNJ) delivered its 64th consecutive year of dividend increases. JNJ shares are up 54% in a year, which is excellent for existing holders and painful for anyone buying today, because that run-up compresses the income per dollar invested. Past performance and current entry yield are in tension, and it is the single most useful idea in the piece.
What the Reader Actually Keeps For better or worse, it’s going to be taxes that determine how much you keep that can actually be spent. Options-income distributions, BDC dividends, and REIT payouts are largely ordinary income taxed at regular rates rather than at the qualified-dividend rate the blue chips enjoy. At $150,000 of annual investment income, the gap is material. QQQI, DIVO, HTGC, and VICI belong in tax-advantaged accounts where possible; VYM, JNJ, and DUK sit comfortably in a taxable one. QQQI’s return-of-capital character carries its own basis consequence on top of that.
Yield reaching is the larger issue, as the highest-yielding positions here have the weakest claim to durable income, and most of this portfolio is US large-cap equity risk wearing different labels. It falls together in a selloff. There is no cash and nothing that behaves differently in a bad quarter.
Where to Trim First This portfolio can produce $12,500 a month on paper today, but the quality tilts wrong for an income that large. QQQI is the position to trim, both for the return-of-capital character and the ordinary-income tax treatment. Shift that weight toward the conservative core, accept a lower blended yield and a larger required balance, and you keep more of what you take out and lose less when the market rolls. Building income that actually behaves like a paycheck (the mix, the payment calendar, the withdrawal order) is the whole exercise in our free Paycheck Portfolio guide. Treat this as an illustration for your own analysis.
Contact [email protected] for any questions or corrections.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Hercules Capital (HTGC - Free Report) .
Hercules Capital currently has an average brokerage recommendation (ABR) of 1.50, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 10 brokerage firms. An ABR of 1.50 approximates between Strong Buy and Buy.
Of the 10 recommendations that derive the current ABR, seven are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 70% and 10% of all recommendations.
Brokerage Recommendation Trends for HTGC
Check price target & stock forecast for Hercules Capital here>>>
The ABR suggests buying Hercules Capital, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.
Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.
This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
Zacks Rank Should Not Be Confused With ABRIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
In contrast, the Zacks Rank is driven by earnings estimate revisions. And near-term stock price movements are strongly correlated with trends in earnings estimate revisions, according to empirical research.
Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.
Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.
Is HTGC a Good Investment?In terms of earnings estimate revisions for Hercules Capital, the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $1.95.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Hercules Capital. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Hercules Capital.
SAN MATEO, Calif.--(BUSINESS WIRE)--Hercules Capital, Inc. (NYSE: HTGC) (“Hercules,” “Hercules Capital,” or the “Company”), the largest and leading specialty finance provider to innovative venture, growth and established stage companies backed by some of the leading and top-tier venture capital and select private equity firms, today announced that Hercules Adviser LLC (“Hercules Adviser”), its wholly-owned registered investment adviser, has surpassed $2.3 billion in investable capital. The mile.
Hercules Capital is rated a hold as valuation has rebounded to a 45% premium to book value. HTGC outperformed sector peers with stable NII per share and a 2.1% NAV increase quarter-over-quarter. Credit quality improved year-over-year, with a notable 600 bps rise in Grade 1-rated investments.
Hercules Capital's 41.6% biotech and healthcare exposure should benefit from improving sector funding, IPO activity, and M&A exits. Higher interest rates would increase HTGC's net investment income and EPS under its disclosed rate-sensitivity assumptions. HTGC's internal management structure supports a low operating cost ratio and consistently superior ROAA and ROAE versus BDC peers.
Hercules Capital remains a 'Strong Buy' for high-income and total return, supported by a robust venture-lending platform and efficient internal management. HTGC delivered record Q2 investment income of $149 million, with NII per share up 4.7% YoY and strong dividend coverage at 125%. Portfolio quality remains high, with minimal nonaccruals, improved average portfolio grade, and a conservative 20% loan-to-value ratio.
BlackRock Inc. purchased a new stake in shares of Hercules Capital, Inc. (NYSE:HTGC – Free Report) in the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The firm purchased 924,105 shares of the financial services provider’s stock, valued at approximately $14,573,000. BlackRock Inc. owned approximately 0.49% of Hercules Capital at the end of the most recent reporting period.
Several other hedge funds have also modified their holdings of HTGC. Fox Run Management L.L.C. increased its position in Hercules Capital by 2.8% in the fourth quarter. Fox Run Management L.L.C. now owns 24,354 shares of the financial services provider’s stock worth $458,000 after purchasing an additional 657 shares during the last quarter. Centaurus Financial Inc. raised its position in shares of Hercules Capital by 1.8% during the 3rd quarter. Centaurus Financial Inc. now owns 37,819 shares of the financial services provider’s stock valued at $715,000 after buying an additional 675 shares in the last quarter. Mariner LLC raised its position in shares of Hercules Capital by 1.4% during the 4th quarter. Mariner LLC now owns 56,453 shares of the financial services provider’s stock valued at $1,062,000 after buying an additional 764 shares in the last quarter. Baker Avenue Asset Management LP lifted its holdings in shares of Hercules Capital by 8.0% in the 4th quarter. Baker Avenue Asset Management LP now owns 11,896 shares of the financial services provider’s stock valued at $224,000 after acquiring an additional 881 shares during the last quarter. Finally, Integrated Wealth Concepts LLC grew its position in Hercules Capital by 5.9% in the first quarter. Integrated Wealth Concepts LLC now owns 17,241 shares of the financial services provider’s stock worth $331,000 after acquiring an additional 959 shares in the last quarter. 19.69% of the stock is owned by hedge funds and other institutional investors.
Wall Street Analyst Weigh In A number of brokerages have issued reports on HTGC. Weiss Ratings restated a “hold (c)” rating on shares of Hercules Capital in a research report on Wednesday, June 17th. UBS Group upgraded Hercules Capital from a “neutral” rating to a “buy” rating and lifted their target price for the stock from $15.50 to $18.50 in a report on Tuesday. Finally, LADENBURG THALM/SH SH decreased their price target on Hercules Capital from $21.00 to $20.00 and set a “buy” rating on the stock in a report on Friday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, Hercules Capital presently has a consensus rating of “Moderate Buy” and a consensus price target of $18.89.
Get Our Latest Stock Report on Hercules Capital Hercules Capital Trading Up 0.1% HTGC opened at $17.72 on Friday. The stock’s fifty day moving average is $16.54 and its two-hundred day moving average is $15.69. The company has a market capitalization of $3.32 billion, a P/E ratio of 8.82 and a beta of 0.81. Hercules Capital, Inc. has a 52 week low of $13.70 and a 52 week high of $19.62. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 1.03.
Hercules Capital (NYSE:HTGC – Get Free Report) last issued its earnings results on Thursday, July 30th. The financial services provider reported $0.50 earnings per share for the quarter, topping the consensus estimate of $0.48 by $0.02. The business had revenue of $134.41 million during the quarter, compared to analysts’ expectations of $146.71 million. Hercules Capital had a return on equity of 16.01% and a net margin of 67.68%.The business’s revenue for the quarter was up 8.4% compared to the same quarter last year. During the same period in the prior year, the business earned $0.50 EPS. Analysts forecast that Hercules Capital, Inc. will post 1.95 earnings per share for the current year.
Hercules Capital Increases Dividend The firm also recently announced a quarterly dividend, which was paid on Tuesday, August 18th. Shareholders of record on Tuesday, August 11th were given a dividend of $0.40 per share. This is a positive change from Hercules Capital’s previous quarterly dividend of $0.07. The ex-dividend date of this dividend was Tuesday, August 11th. This represents a $1.60 dividend on an annualized basis and a yield of 9.0%. Hercules Capital’s payout ratio is 79.60%.
Hercules Capital Profile (Free Report)
Hercules Capital, Inc is a specialty finance company organized as a business development company (BDC) that provides tailored debt financing solutions to high‐growth companies. Through its external management structure, Hercules Capital extends senior secured loans, subordinated debt and growth capital designed to support research and development, expansion initiatives and working capital needs. The firm primarily partners with venture capital and private equity sponsors to finance innovative enterprises across various developmental stages.
The company’s investment portfolio is concentrated in technology, life sciences and sustainable and renewable technology sectors, reflecting its focus on industries with strong growth prospects and recurring capital requirements.
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The capital you need to retire on dividends alone swings by millions depending on one number, and chasing the wrong yield can quietly erode everything you built.
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A target of $9,400 a month in dividend income works out to $112,800 a year, all from distributions and without dipping into principal. That is roughly what a mid-career software engineer takes home, or what a two-earner household clears in a coastal metro. The math is straightforward division. Divide your income target by your portfolio yield, and that tells you how much capital you need. The interesting part is what shifts as the yield climbs.
Three distinct tiers frame the decision, and each one comes with a different price tag.
Conservative Tier: 3% to 4% Yield At this yield range, the working assumption is broad-market dividend growth: quality large caps that raise payouts every year. SPDR S&P 500 ETF (NYSEARCA:SPY) sits at the bottom of this range and is more of a total-return vehicle than an income machine. Its $7.61 annualized distribution against a $762 share price works out to roughly 1%, so pure S&P exposure is not the tool here. Dividend growth ETFs and quality-tilted funds push that closer to 3% to 4%.
With a blended yield of 3.5%, that $112,800 annual target requires roughly $3.22 million in capital. That is the sleep-at-night number. You get diversified holdings, dividends that tend to grow 6% to 10% annually, and principal that generally appreciates alongside the market. The trade-off is the upfront capital, and for most people, that is the hard part.
Moderate Tier: 5% to 7% Yield As the yield climbs, the capital you need drops quickly. This middle ground includes high-dividend equity ETFs, REITs, preferred shares, and covered-call funds. iShares Core High Dividend ETF (NYSEARCA:HDV) sits toward the lower end here, with a 3.3% dividend yield and a 0.08% expense ratio, anchored by names like ExxonMobil, AbbVie, Chevron, and Verizon. Layering in REITs and covered call ETFs pulls a blended sleeve toward 6%.
At 6%, $112,800 divided by 0.06 equals $1.88 million. That is a meaningful discount to the conservative tier. What you give up is growth: covered call strategies cap upside, REIT payouts respond to rates, and preferreds effectively behave like long-duration bonds. The income is real, but it does not compound the way dividend growth does.
Aggressive Tier: 8% to 12%+ Yield This is where business development companies, mortgage REITs, high-yield credit funds, and leveraged option-income ETFs live. Hercules Capital (NYSE:HTGC) is a venture-lending BDC with a $1.88 annualized distribution against a $18 share price, a distribution rate near 10.6%. Its portfolio is 98% floating rate and 87% first-lien senior secured, and Q2 2026 net investment income covered the base dividend at 125%. Credit is worth watching: non-accruals rose from one loan to two, and the internal credit grade slipped modestly.
At a 10.6% blended yield, $112,800 divided by 0.106 equals roughly $1.06 million. That is less than a third of the conservative-tier requirement. The catch is durable: BDC and mortgage REIT distributions get cut in recessions, principal can erode, and a 3.75% Fed funds rate that eventually falls will compress floating-rate income.
Blended Approach: What Most People Miss A middle-ground allocation like NEOS S&P 500 High Income ETF (NASDAQ:SPYI) 35%, HTGC 30%, HDV 35% blends to roughly 8% and requires about $1.41 million to throw off $112,800 a year. It splits the difference between growth and yield.
Here is the insight the yield tables obscure: a 3.5% starting yield that grows 8% annually doubles in about nine years. On a $3.22 million portfolio, that turns $112,800 into more than $225,000 without adding a dollar. A flat 10.6% yield on $1.06 million pays the same $112,800 forever, and often less if distributions get trimmed. The higher-yield path front-loads income; the lower-yield path compounds it, which is the whole idea behind a dividend ladder built so you never have to sell a share.
Three Moves to Make This Week Price your real spending, not your salary. Many households replacing $112,800 of gross income need to cover only $75,000 to $85,000 in after-tax spending, which meaningfully shrinks the capital target at every tier. Stress-test the aggressive sleeve. Model a 20% distribution cut on any BDC or mortgage REIT position and see whether the total portfolio still covers your monthly number. If it does not, the allocation is too concentrated. Compare 10-year total returns, not just yields. Line up a dividend growth ETF against a 10%+ yielder over the same window; the compounding gap is usually wider than the headline yield spread suggests. Contact [email protected] for any questions or corrections.
Shares of Hercules Capital, Inc. (NYSE:HTGC – Get Free Report) have been assigned a consensus recommendation of “Moderate Buy” from the eight brokerages that are covering the company, Marketbeat reports. Three equities research analysts have rated the stock with a hold recommendation, four have given a buy recommendation and one has given a strong buy recommendation to the company. The average 1-year price target among analysts that have issued ratings on the stock in the last year is $18.4643.
A number of research analysts recently commented on the company. LADENBURG THALM/SH SH reduced their target price on Hercules Capital from $21.00 to $20.00 and set a “buy” rating on the stock in a research note on Friday, July 31st. Weiss Ratings reiterated a “hold (c)” rating on shares of Hercules Capital in a report on Wednesday, June 17th. UBS Group increased their price objective on Hercules Capital from $15.00 to $15.50 and gave the company a “neutral” rating in a research report on Monday, May 18th. Finally, Piper Sandler raised their price objective on Hercules Capital from $16.50 to $17.00 and gave the company a “neutral” rating in a report on Wednesday, May 6th.
Read Our Latest Stock Analysis on HTGC
Hedge Funds Weigh In On Hercules Capital Several hedge funds have recently added to or reduced their stakes in the company. Legal & General Group Plc purchased a new position in Hercules Capital during the second quarter worth about $26,523,000. BlackRock Inc. purchased a new stake in shares of Hercules Capital in the 2nd quarter valued at approximately $14,573,000. Advisors Capital Management LLC acquired a new stake in shares of Hercules Capital during the 2nd quarter worth approximately $14,501,000. Van ECK Associates Corp increased its holdings in shares of Hercules Capital by 22.6% during the 2nd quarter. Van ECK Associates Corp now owns 3,877,634 shares of the financial services provider’s stock worth $61,150,000 after buying an additional 713,653 shares during the last quarter. Finally, Sound Income Strategies LLC raised its position in shares of Hercules Capital by 25.1% during the 1st quarter. Sound Income Strategies LLC now owns 3,382,058 shares of the financial services provider’s stock valued at $49,243,000 after buying an additional 678,783 shares during the period. 19.69% of the stock is currently owned by institutional investors. Hercules Capital Stock Performance NYSE:HTGC opened at $17.46 on Monday. The company has a market capitalization of $3.27 billion, a PE ratio of 8.69 and a beta of 0.79. The company has a 50 day simple moving average of $16.34 and a two-hundred day simple moving average of $15.66. The company has a debt-to-equity ratio of 1.03, a quick ratio of 1.37 and a current ratio of 1.37. Hercules Capital has a fifty-two week low of $13.70 and a fifty-two week high of $19.62.
Hercules Capital (NYSE:HTGC – Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The financial services provider reported $0.50 EPS for the quarter, beating analysts’ consensus estimates of $0.48 by $0.02. Hercules Capital had a return on equity of 16.01% and a net margin of 67.68%.The firm had revenue of $134.41 million during the quarter, compared to analysts’ expectations of $146.71 million. During the same quarter last year, the firm posted $0.50 earnings per share. The company’s revenue for the quarter was up 8.4% compared to the same quarter last year. Research analysts anticipate that Hercules Capital will post 1.95 earnings per share for the current year.
Hercules Capital Increases Dividend The company also recently announced a quarterly dividend, which was paid on Tuesday, August 18th. Investors of record on Tuesday, August 11th were paid a dividend of $0.40 per share. This is a positive change from Hercules Capital’s previous quarterly dividend of $0.07. The ex-dividend date was Tuesday, August 11th. This represents a $1.60 dividend on an annualized basis and a dividend yield of 9.2%. Hercules Capital’s dividend payout ratio is presently 79.60%.
(Get Free Report)
Hercules Capital, Inc is a specialty finance company organized as a business development company (BDC) that provides tailored debt financing solutions to high‐growth companies. Through its external management structure, Hercules Capital extends senior secured loans, subordinated debt and growth capital designed to support research and development, expansion initiatives and working capital needs. The firm primarily partners with venture capital and private equity sponsors to finance innovative enterprises across various developmental stages.
The company’s investment portfolio is concentrated in technology, life sciences and sustainable and renewable technology sectors, reflecting its focus on industries with strong growth prospects and recurring capital requirements.
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Most BDC investors hand thousands of dollars to the IRS every single year without realizing there is one account type that legally keeps all of it. The difference comes down to where you hold these high-yielding positions, and the math…
Business development companies are engineered to move cash out the door: by statute, a BDC must distribute at least 90% of taxable income to shareholders, and the bulk of that income lands on your 1099 as ordinary, not qualified. At the 24% federal bracket, a $50,000 BDC income stream inside a taxable brokerage hands the IRS $12,000 every year. Inside a Roth IRA, that same $50,000 is yours.
The three BDCs below all pay ordinary-income distributions, all currently yield near or above double digits, and all illustrate why Roth placement is the difference between owning the yield and renting it.
Three BDCs Built for Roth Placement Ares Capital (NASDAQ:ARCC | ARCC Price Prediction) is the largest publicly traded BDC, with a $29.3 billion portfolio spread across 619 portfolio companies. The board declared a $0.48 per share regular dividend for Q3 2026, marking 68 consecutive quarters of stable or growing payouts. At an annualized $1.92 per share and a recent price of $19.92, the yield sits near 9.6%. Non-accruals at cost are 2.4%, below the industry average.
Hercules Capital (NYSE:HTGC) is a venture-lending BDC focused on tech and life sciences with a 97.8% floating-rate portfolio and 125% NII coverage of its base distribution. The Q2 2026 total cash distribution was $0.47 per share, or $1.88 annualized. At $17.13, the yield runs near 11%. The distributions are ordinary income at the shareholder level, which is exactly the profile Roth accounts were designed to shelter.
Capital Southwest (NASDAQ:CSWC) is a lower-middle-market BDC where 99% of the credit portfolio is first-lien senior secured and non-accruals sit at 1.1% of fair value. CSWC pays a $0.58 per share regular quarterly dividend monthly, plus a $0.06 supplemental, totaling $0.64 per share for the September 2026 quarter. On an annualized recurring basis of $2.3208 and a recent price of $24.96, the base yield runs near 9.3%.
Roth vs. Taxable: $500,000 Split Evenly Assume $500,000 divided equally across ARCC, HTGC, and CSWC, blending to roughly a 10% yield. That produces about $50,000 in gross annual distributions. Because BDC distributions are ordinary income, the taxable-account math is unforgiving.
Account Gross Income Federal Tax (24%) Net Income Taxable Brokerage $50,000 $12,000 $38,000 Roth IRA $50,000 $0 $50,000 Annual Roth advantage: $12,000. Straight-line 10-year advantage without any reinvestment: $120,000. Straight-line 20-year: $240,000. That is the baseline before compounding (we ran a similar income build, turning $250K into $1,500 a month, in a free income guide here).
Bracket Multiplier: Same Portfolio, Different Deltas Federal ordinary-income brackets currently top out at 37%, and BDC distributions land in that ordinary column. On the same $50,000 income stream:
Bracket Annual Tax Cost Net in Taxable Annual Roth Advantage 22% $11,000 $39,000 $11,000 24% $12,000 $38,000 $12,000 32% $16,000 $34,000 $16,000 37% $18,500 $31,500 $18,500 The higher the bracket, the more punitive the taxable-account decision becomes. A 37% bracket household loses more than a third of the yield before it clears the settlement date.
Insight Most BDC Owners Miss: Compounding the Delta The $12,000 annual delta at the 24% bracket compounds year after year. Reinvested inside the Roth at a conservative rate, it grows tax-free every year. That is the permanent cost of holding these BDCs outside a Roth.
Reinvested at 7% annually for 20 years, the $12,000-per-year advantage compounds into a materially larger figure than the $240,000 straight-line total. Every year the position sits in a taxable account, that compounding clock resets to zero.
What to Do Before Year-End If you hold ARCC, HTGC, CSWC, or any other BDC in a taxable brokerage, pull your last 1099-DIV and calculate your actual tax cost at your bracket. BDC distributions are almost entirely ordinary income, so the drag is larger than qualified-dividend investors expect. Run the Roth conversion math on the specific BDC positions above before assuming the conversion tax outweighs the multi-decade income delta. The 17 consecutive years of ARCC dividend stability and CSWC’s 109% cumulative coverage are the type of durable income streams that benefit most from tax-free compounding. If room in your Roth is limited, prioritize the highest-yielding, ordinary-income names first. BDCs move to the front of the line ahead of qualified-dividend blue chips. Contact [email protected] for any questions or corrections.
Three tickers, three wildly different capital requirements, and one retiree pulling a five-figure monthly income without touching principal. Which one demands nearly four times the nest egg of the others, and what does that tradeoff actually cost you over a…
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A 78-year-old drawing $5,300 a month from a portfolio is pulling $63,600 a year in cash income. That’s the retirement math many households live on: enough to layer on top of Social Security and cover housing, groceries, insurance, and occasional expenses without touching principal. The question is how much capital that income requires and what a retiree gives up at each yield level.
Three tickers anchor three very different answers. Schwab U.S. Dividend Equity ETF (NYSEARCA:SCHD) is the conservative core. NNN REIT (NYSE:NNN | NNN Price Prediction) is the moderate middle. Hercules Capital (NYSE:HTGC) is the high-yield engine. Same $63,600 target, three very different capital requirements.
Tier 1: SCHD as the Conservative Anchor The dividend-focused fund trades around $35 with an annualized forward distribution of $1.01 per share, putting its current yield near 2.9%. Its largest positions include QUALCOMM, Texas Instruments, UnitedHealth Group, Coca-Cola, Merck, and Chevron, the kind of dividend-growing blue chips that retirees want compounding quietly in the background.
At a 2.9% yield, replacing $63,600 in income takes roughly $2.19 million ($63,600 divided by 0.029). Using a more typical historical SCHD yield of 3.5% pulls the requirement down to about $1.82 million. This tier offers the highest likelihood of principal appreciation, with dividends historically growing by roughly 8% annually and qualified dividend income treated at long-term capital gains rates. SCHD has returned 244% over the past ten years on a total-return basis.
Tier 2: NNN Splits the Difference The retail REIT owns single-tenant properties on long-term net leases, with occupancy currently at 99% and a weighted average lease term of 10.1 years. The board just raised the quarterly dividend to $0.62, which annualizes to $2.48 and marks the 37th consecutive annual increase. With shares trading near $46, the current yield sits around 5.4%.
At that yield, $63,600 divided by 0.054 requires about $1.18 million. Q2 2026 core FFO rose 6% to $0.89, and the AFFO payout ratio stayed near 67%, providing a real dividend cushion. REIT distributions are taxed as ordinary income (partially offset by the 20% qualified business income deduction), and dividend growth typically runs 3% to 4%, trailing SCHD’s history. This tier bridges current income and income growth.
Tier 3: Hercules Capital Compresses the Capital Hercules is a business development company lending to venture-backed technology and life sciences firms. The quarterly distribution of $0.47 ($0.40 base plus $0.07 supplemental) annualizes to $1.88. With shares near $17, the trailing yield lands around 10.8%.
At that rate, replacing $63,600 takes just $589,000. Q2 2026 net investment income of $92.92 million provided 125% coverage of the base distribution, and CEO Scott Bluestein told investors, “We continue to comfortably cover our base dividend with 125% coverage for Q2.” Non-accruals rose from one loan to two, the first-lien mix slipped, and distributions are taxed as ordinary income. HTGC’s share price is up just 1% over the past year. This is a current-income tier only.
Why Lower Yield Often Wins Over Time A retiree needing $63,600 today may need closer to $85,000 in ten years after modest inflation. SCHD’s ~8% historical dividend growth doubles the income stream in roughly nine years. HTGC’s quarterly payment has moved between $0.33 and $0.51 over the past five years, with the current $0.47 essentially flat since 2023. A three-ticker blend weighted toward SCHD, with NNN and HTGC filling out the yield, is how many 78-year-olds hit $5,300 without concentrating risk (we walked through the full mix, payout calendar, and withdrawal order in a free guide to building a paycheck-style portfolio from ordinary savings).
Three Actions Before You Rebalance Price your real spending. Retirees often need to replace 70% to 80% of pre-retirement income once payroll taxes and savings contributions stop. A smaller target changes every capital number above. Run the ten-year total return comparison. SCHD returned 244% over ten years; HTGC returned 261% including reinvested dividends; NNN returned 50%. Total return funds a 25-year retirement. Model the tax bill in your bracket. SCHD dividends are qualified. NNN and HTGC distributions are ordinary. In a taxable account, the after-tax yield gap is often smaller than the headline yield gap, especially in the 22% or 24% federal bracket. Contact [email protected] for any questions or corrections.
Bragar Eagel & Squire, P.C. Litigation Partner Brandon Walker Encourages Investors Who Suffered Losses In Hercules (HTGC) To Contact Him Directly To Discuss Their Options
If you are a long-term stockholder in Hercules between May 1, 2025 and February 27, 2026 and would like to discuss your legal rights, contact Bragar Eagel & Squire partners Brandon Walker or Melissa Fortunato by email at [email protected] or by telephone at (212) 355-4648.
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NEW YORK, Aug. 20, 2026 (GLOBE NEWSWIRE) --
What’s Happening:
Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against Hercules Capital, Inc. (NYSE:HTGC) on behalf of long-term stockholders following a class action complaint that was filed against Hercules on March 20, 2026 with a Class Period between May 1, 2025 and February 27, 2026. Our investigation concerns whether the board of directors of Hercules have breached their fiduciary duties to the company. Details:
According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Hercules Capital overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) Hercules Capital overstated the due diligence with which it conducted its portfolio valuation process; (3) Hercules Capital reported misclassified portfolio investments; (4) as a result of the foregoing, Hercules Capital overstated and/or misrepresented its portfolio valuations; and (5) as a result of the foregoing, defendants’ positive statements about Hercules Capital’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis. When the true details entered the market, the lawsuit claims that investors suffered damages. Next Steps:
If you are a long-term stockholder of Hercules, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Melissa Fortunato by email at [email protected], by telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you. About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, South Carolina, and California. The firm represents individual and institutional investors in securities, derivative, and commercial litigation as well as individuals in consumer protection and data privacy litigation. The firm has a nationwide practice and routinely handles cases in both federal and state courts. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
Follow us for updates on LinkedIn and Facebook, and keep up with other news by following Brandon Walker, Esq. on LinkedIn.
SAN MATEO, Calif.--(BUSINESS WIRE)--Hercules Capital, Inc. (NYSE: HTGC) (“Hercules,” “Hercules Capital,” or the “Company”), the largest and leading specialty financing provider to innovative venture, growth and established stage companies backed by some of the leading and top-tier venture capital and select private equity firms, today announced that Kroll Bond Rating Agency, Inc. (“KBRA”) has affirmed Hercules' investment grade corporate and credit rating of BBB+. KBRA issued a statement announ.
SummaryHercules Capital earns a BUY rating due to strong fundamentals, stable NAV, and robust portfolio performance in the venture lending space.HTGC's non-accruals remain low at 0.3%, leverage has declined, and the credit profile is clean, supporting income durability.Distribution coverage is solid with a $0.40 base dividend (11.1% yield), a $0.92 per share spillover, and NII per share steady at $2.00.Valuation is fair: HTGC trades at 1.37x NAV and 8.3x NII, offering 6–12% price upside plus an attractive yield.Looking for more investing ideas like this one? Get them exclusively at iREIT®+HOYA Capital. Learn More » Richard Drury/DigitalVision via Getty Images
Investment Thesis and Recommendation As with every BDC, Hercules Capital Inc. (HTGC) is bought primarily for income and the possibility of capital appreciation. So the analysis has to answer three questions in order: Is the
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Cetera Investment Advisers boosted its position in Hercules Capital, Inc. (NYSE:HTGC – Free Report) by 19.3% in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 256,621 shares of the financial services provider’s stock after purchasing an additional 41,585 shares during the period. Cetera Investment Advisers owned about 0.14% of Hercules Capital worth $3,790,000 as of its most recent SEC filing.
A number of other institutional investors also recently bought and sold shares of HTGC. Sound Income Strategies LLC grew its holdings in Hercules Capital by 25.1% in the first quarter. Sound Income Strategies LLC now owns 3,382,058 shares of the financial services provider’s stock valued at $49,243,000 after purchasing an additional 678,783 shares during the last quarter. Marshall Wace LLP acquired a new position in shares of Hercules Capital during the 3rd quarter worth $11,199,000. Qube Research & Technologies Ltd boosted its position in shares of Hercules Capital by 425.6% in the 2nd quarter. Qube Research & Technologies Ltd now owns 580,414 shares of the financial services provider’s stock worth $10,610,000 after buying an additional 469,989 shares in the last quarter. UBS Group AG grew its stake in Hercules Capital by 26.8% in the 4th quarter. UBS Group AG now owns 1,671,860 shares of the financial services provider’s stock valued at $31,464,000 after acquiring an additional 353,092 shares during the last quarter. Finally, Muzinich & Co. Inc. grew its stake in Hercules Capital by 34.5% in the 4th quarter. Muzinich & Co. Inc. now owns 1,335,787 shares of the financial services provider’s stock valued at $25,140,000 after acquiring an additional 342,967 shares during the last quarter. 19.69% of the stock is currently owned by hedge funds and other institutional investors.
Hercules Capital Stock Down 0.9% HTGC stock opened at $16.73 on Thursday. The stock has a market capitalization of $3.13 billion, a P/E ratio of 8.32 and a beta of 0.79. The company has a debt-to-equity ratio of 1.03, a quick ratio of 1.89 and a current ratio of 1.37. Hercules Capital, Inc. has a one year low of $13.70 and a one year high of $19.67. The company has a 50 day moving average price of $15.79 and a two-hundred day moving average price of $15.78.
Hercules Capital (NYSE:HTGC – Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The financial services provider reported $0.50 earnings per share for the quarter, topping analysts’ consensus estimates of $0.48 by $0.02. The company had revenue of $134.41 million for the quarter, compared to analyst estimates of $146.71 million. Hercules Capital had a return on equity of 16.01% and a net margin of 67.68%.The business’s revenue for the quarter was up 8.4% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.50 EPS. As a group, sell-side analysts expect that Hercules Capital, Inc. will post 1.95 EPS for the current year.
Hercules Capital Increases Dividend The firm also recently declared a quarterly dividend, which will be paid on Tuesday, August 18th. Shareholders of record on Tuesday, August 11th will be issued a $0.40 dividend. This is a positive change from Hercules Capital’s previous quarterly dividend of $0.07. The ex-dividend date is Tuesday, August 11th. This represents a $1.60 annualized dividend and a yield of 9.6%. Hercules Capital’s dividend payout ratio (DPR) is presently 79.60%.
Wall Street Analyst Weigh In A number of equities analysts have issued reports on the stock. Weiss Ratings restated a “hold (c)” rating on shares of Hercules Capital in a research report on Wednesday, June 17th. Citizens Jmp cut their price objective on Hercules Capital from $24.00 to $22.00 and set a “market outperform” rating for the company in a research report on Wednesday, April 22nd. LADENBURG THALM/SH SH reduced their target price on Hercules Capital from $21.00 to $20.00 and set a “buy” rating on the stock in a research note on Friday, July 31st. Piper Sandler increased their target price on Hercules Capital from $16.50 to $17.00 and gave the company a “neutral” rating in a report on Wednesday, May 6th. Finally, UBS Group boosted their price target on Hercules Capital from $15.00 to $15.50 and gave the stock a “neutral” rating in a report on Monday, May 18th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $18.46.
Read Our Latest Research Report on Hercules Capital
Hercules Capital Company Profile (Free Report)
Hercules Capital, Inc is a specialty finance company organized as a business development company (BDC) that provides tailored debt financing solutions to high‐growth companies. Through its external management structure, Hercules Capital extends senior secured loans, subordinated debt and growth capital designed to support research and development, expansion initiatives and working capital needs. The firm primarily partners with venture capital and private equity sponsors to finance innovative enterprises across various developmental stages.
The company’s investment portfolio is concentrated in technology, life sciences and sustainable and renewable technology sectors, reflecting its focus on industries with strong growth prospects and recurring capital requirements.
Further Reading Five stocks we like better than Hercules Capital SpaceX: Love the Company, But the Stock Is a Harder Call Ulta’s Growth Is Real, But So Are the Risks BWX Technologies Is Turning the AI Power Problem Into a Nuclear Growth Story Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth Want to see what other hedge funds are holding HTGC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Hercules Capital, Inc. (NYSE:HTGC – Free Report).
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Analyst’s Disclosure: I/we have a beneficial long position in the shares of HTGC either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Hercules Capital remains a strong buy, with robust Q2 earnings, attractive price-to-NAV, and well-supported distributions. HTGC's software sector exposure, once a risk, now positions it for upside as AI and tech sentiment improves. Q2 saw net investment income of $0.50/share, 125% base distribution coverage, and growing spillover income, reinforcing dividend sustainability.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Key Takeaways HTGC's Q2 net investment income rose 4.7% to $92.9 million, while earnings held at 50 cents per share.Record total investment income climbed 8.5% to $149.1 million, topping estimates as fee income surged 40.4%.HTGC ended Q2 with $652.9 million in liquidity and net asset value rising to $12.15 per share. Shares of Hercules Capital Inc. (HTGC - Free Report) rallied almost 3% during after-hours trading following the release of its second-quarter 2026 results. The company’s net investment income of 50 cents per share matched the Zacks Consensus Estimate. The bottom line was unchanged from the year-ago quarter.
Results primarily benefited from an increase in total investment income and a higher weighted average debt investment portfolio. The balance sheet position remained decent. However, a rise in operating expenses was a headwind.
Net investment income was $92.9 million, up 4.7% year over year.
HTGC’s Total Investment Income Improves, Expenses RiseTotal investment income was a record $149.1 million, rising 8.5% from the year-ago quarter. The top line surpassed the Zacks Consensus Estimate of $148.9 million.
Total interest and dividend income increased 6.5% year over year to $138 million. Fee income was $11.1 million, up 40.4%.
Total quarterly gross operating expenses increased 17.1% to $61.1 million. The rise was due to an increase in interest expenses, loan fees, tax expenses and employee compensation, partly offset by lower general and administrative expenses.
HTGC’s Portfolio Value & New Commitments SolidThe fair value of Hercules Capital’s total investment portfolio was $4.58 billion as of June 30, 2026, down from $4.72 billion as of March 31, 2026.
In the second quarter, the company delivered $927.3 million in gross new debt and equity commitments and $647.5 million in total new funding. It realized early loan repayments of $572.1 million. This, along with scheduled amortization of $43.7 million, led to total debt repayments of $615.8 million.
The weighted average grade of the debt investment portfolio was 2.17 as of June 30, 2026, compared with 2.11 as of March 31, 2026. The company had two debt investments on non-accrual, representing 0.3% and 0.1% of the total investment portfolio at cost and fair value, respectively.
Hercules Capital’s Balance Sheet Position DecentAs of June 30, 2026, Hercules Capital’s net asset value was $12.15 per share, up from $11.90 as of March 31, 2026.
As of June 30, 2026, the company had $652.9 million in liquidity, including $48.2 million of unrestricted cash and cash equivalents, and $604.7 million available under its credit facilities.
At the end of the quarter, the weighted average cost of borrowings, comprising interest and fees, was 5.2%, up from 5% at the end of the prior-year quarter.
The company’s GAAP leverage ratio was 103.9%, while net GAAP leverage was 101.8%. Regulatory leverage and net regulatory leverage were 88.5% and 86.4%, respectively.
Our Viewpoint on HTGCRising demand for customized financing will likely aid Hercules Capital’s total investment income. However, the absence of global diversification limits the company’s growth prospects. Efforts to improve originations will likely keep expenses elevated, hurting bottom-line expansion.
Currently, Hercules Capital carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance & Earnings Expectation of HTGC’s PeersAres Capital Corporation’s (ARCC - Free Report) second-quarter 2026 core earnings of 47 cents per share met the Zacks Consensus Estimate. The bottom line fell 6% from the prior-year quarter.
The reported quarter’s results were primarily hurt by an increase in expenses. However, an increase in interest income from investments, along with higher capital structuring service fees, supported the results to an extent. Robust portfolio activity was another tailwind for ARCC.
Main Street Capital (MAIN - Free Report) is scheduled to announce quarterly numbers on Aug. 6.
Over the past seven days, the Zacks Consensus Estimate for Main Street Capital’s quarterly earnings has been unchanged at $1.01.
Hercules Capital NYSE: HTGC reported record second-quarter investment income and net investment income, supported by strong originations, elevated early loan repayments and stable portfolio credit performance.
Chief Executive Officer and Chief Investment Officer Scott Bluestein said the business continued to operate with conservative underwriting, a flexible balance sheet and enhanced credit monitoring amid market volatility that improved from the first quarter. Net investment income covered the company’s base shareholder distribution by 125% and its full distribution, including a $0.07 supplemental distribution, by 106%.
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Record originations and investment income For the first half of 2026, Hercules originated a record $2.74 billion in new debt and equity commitments, up 35.6% from a year earlier, while gross fundings reached a record $1.35 billion, up 8.5%. The firm managed approximately $6.1 billion of assets at quarter-end, an increase of 14.4% year over year.
During the second quarter, Hercules made more than $927 million of new commitments and funded more than $647 million. The company funded 39 businesses, including nine new borrower relationships. Life sciences companies represented approximately 59% of commitments and 45% of fundings, while technology companies accounted for 41% of commitments and 55% of fundings.
Chief Financial Officer Andrew Olson said total investment income rose to a quarterly record of $149.1 million, up 5.4% from the first quarter and 8.5% from a year earlier. Core investment income, excluding accelerated prepayment revenue, was $134.4 million, compared with $134.9 million in the prior quarter.
Net investment income was a record $92.9 million, or $0.50 per share, up 5.5% sequentially and 4.7% year over year. The company’s effective yield was 13.4%, compared with 12.8% in the first quarter, while core yield declined to 12% from 12.2%, reflecting the impact of prior interest-rate reductions and portfolio turnover.
Prepayments boost results, expected to normalize Early loan repayments totaled $572.1 million during the quarter, exceeding Hercules’ guidance range. Bluestein said about 60% of repayments came from mergers and acquisitions or borrowers using balance-sheet cash, with most cash repayments tied to companies that had recently raised equity financing and elected to retire debt.
Hercules expects third-quarter prepayments to normalize to between $200 million and $300 million. The company also expects originations to be seasonally lower during the third quarter and weighted toward the latter part of the period, though Bluestein said the pipeline remains robust.
“Our team is evaluating, looking at screening a record number of companies,” Bluestein said. “Our pipeline is as strong as I can recall seeing it.” He added that the company is maintaining underwriting discipline because some opportunities do not meet its desired quality standards.
As of July 27, Hercules had closed $149.3 million of new commitments and funded $112.5 million since quarter-end, with another $70 million in signed, non-binding term sheets.
Credit quality remained stable The company said its portfolio remained evenly split between life sciences and technology assets, with no individual subsector accounting for more than 25% of the investment portfolio. Debt investments were spread across 136 companies and had a combined fair value of $4.4 billion.
Approximately 98% of debt investments were floating-rate loans with contractual floors, and 75% of prime-based loans had reached those floors at the end of the second quarter. The average debt portfolio duration was about 21 months.
Payment-in-kind income declined to 8.3% of total revenue from 9.1% in the first quarter. About 87% of second-quarter PIK income was part of original underwriting terms, according to Bluestein. The company collected approximately $12 million of cash payments on accrued PIK during the quarter and another $12.6 million through July 27.
The weighted average internal credit rating was 2.17, compared with 2.11 in the first quarter. Grade 4 and 5 credits represented less than 2% of portfolio fair value. The number of companies with non-accrual loans increased by one to two loans; the non-accrual investments had a cost of about $16 million and fair value of $5.5 million. Hercules subsequently resolved the new second-quarter non-accrual loan, generating a cash recovery about $1 million above its quarter-end fair-value mark and a positive realized internal rate of return, Bluestein said.
Balance sheet and adviser business Net asset value per share increased $0.25 during the quarter to $12.15, driven by net realized and unrealized appreciation. Hercules reported $29.6 million of net unrealized appreciation and $7.7 million of net realized gains.
GAAP leverage declined to 103.9% from 115.4% in the first quarter, while regulatory leverage fell to 88.5% from 99.7%. Hercules ended the quarter with $652.9 million of available liquidity in the business development company and more than $1 billion of available liquidity across the broader platform, including capital raised by funds managed by its registered investment adviser subsidiary.
After quarter-end, the company issued $325 million of 6.3% unsecured institutional notes due in 2031. Olson said proceeds will be used to repay upcoming secured and unsecured debt, fund originations and support general corporate purposes.
Hercules Adviser, the company’s private-credit fund business, manages nearly $2 billion in committed debt and equity capital. During the quarter, the subsidiary paid a $2.1 million dividend to the public BDC and provided $4.9 million in expense reimbursement, contributing $7 million to net investment income.
Looking ahead, management expects third-quarter core yield of 11.8% to 12%, gross SG&A expenses of $25 million to $26 million, and quarterly dividends from Hercules Adviser of roughly $2 million to $2.5 million.
About Hercules Capital (NYSE:HTGC)Hercules Capital, Inc is a specialty finance company organized as a business development company (BDC) that provides tailored debt financing solutions to high‐growth companies. Through its external management structure, Hercules Capital extends senior secured loans, subordinated debt and growth capital designed to support research and development, expansion initiatives and working capital needs. The firm primarily partners with venture capital and private equity sponsors to finance innovative enterprises across various developmental stages.
The company's investment portfolio is concentrated in technology, life sciences and sustainable and renewable technology sectors, reflecting its focus on industries with strong growth prospects and recurring capital requirements.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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Hercules Capital, Inc. (HTGC) Q2 2026 Earnings Call July 30, 2026 5:00 PM EDT
Company Participants
Michael Hara - Managing Director of Investor Relations & Corporate Communications
Scott Bluestein - CEO, Chief Investment Officer & Director
Seth Meyer - President
Andrew Olson - Chief Financial Officer
Conference Call Participants
Crispin Love - Piper Sandler & Co., Research Division
Finian O'Shea - Wells Fargo Securities, LLC, Research Division
Christopher Muller - Citizens JMP Securities, LLC, Research Division
Jason Stewart - Compass Point Research & Trading, LLC, Research Division
Christopher Nolan - Ladenburg Thalmann & Co. Inc., Research Division
John Hecht - Jefferies LLC, Research Division
Melissa Wedel
Paul Johnson - Keefe, Bruyette, & Woods, Inc., Research Division
Presentation
Operator
Good afternoon. My name is Leo, and I will be your conference operator today. At this time, I would like to welcome everyone to the Hercules Capital Second Quarter 2026 Financial Results Conference Call. [Operator Instructions] Please be advised that today's conference may be recorded. [Operator Instructions]
I will now turn the call over to Michael Hara, Managing Director of Investor Relations. Please go ahead.
Michael Hara
Managing Director of Investor Relations & Corporate Communications
Thank you, Leo. Good afternoon, everyone, and welcome to Hercules conference call for the second quarter of 2026. With us on the call today from Hercules are Scott Bluestein, CEO and Chief Investment Officer; Seth Meyer, President; and Andrew Olson, CFO. Hercules financial results were released just after today's market close and can be accessed from the Hercules Investor Relations section at investor.htgc.com. An archived webcast replay will be available on the Investor Relations web page following the conference call.
During this call, we may make forward-looking statements based on our own assumptions and current expectations. These forward-looking statements are not guarantees of future performance and should not be relied upon in making any investment decision.
Hercules Capital (HTGC - Free Report) came out with quarterly earnings of $0.5 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $0.5 per share a year ago. These figures are adjusted for non-recurring items.
A quarter ago, it was expected that this specialty finance company would post earnings of $0.47 per share when it actually produced earnings of $0.48, delivering a surprise of +2.13%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Hercules Capital, which belongs to the Zacks Financial - SBIC & Commercial Industry industry, posted revenues of $149.11 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.14%. This compares to year-ago revenues of $137.46 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Hercules Capital shares have lost about 15.1% since the beginning of the year versus the S&P 500's gain of 6.9%.
What's Next for Hercules Capital?While Hercules Capital has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Hercules Capital was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.49 on $147.6 million in revenues for the coming quarter and $1.93 on $588.4 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - SBIC & Commercial Industry is currently in the bottom 34% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Blackstone Secured Lending Fund (BXSL - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6.
This company is expected to post quarterly earnings of $0.66 per share in its upcoming report, which represents a year-over-year change of -14.3%. The consensus EPS estimate for the quarter has been revised 3.8% lower over the last 30 days to the current level.
Blackstone Secured Lending Fund's revenues are expected to be $328.08 million, down 4.9% from the year-ago quarter.
SAN MATEO, Calif.--(BUSINESS WIRE)--Hercules Capital, Inc. (NYSE: HTGC) (“Hercules,” “Hercules Capital,” or the “Company”), the largest and leading specialty financing provider to innovative venture, growth and established stage companies backed by some of the leading and top-tier venture capital and select private equity firms, today announced its financial results for the second quarter ended June 30, 2026. The earnings release can be accessed at Hercules' Investor Relations website at https:.
SAN MATEO, Calif.--(BUSINESS WIRE)--Hercules Capital, Inc. (NYSE: HTGC) (“Hercules,” “Hercules Capital,” or the “Company”), the largest and leading specialty financing provider to innovative venture, growth and established stage companies backed by some of the leading and top-tier venture capital and select private equity firms, is pleased to announce that its Board of Directors has declared a second quarter 2026 total cash distribution of $0.47 per share. The following shows the key dates of t.
Summary12%-yielding tech lenders Hercules Capital and Trinity Capital now trade at similar 1.3x NAV multiples.I compare them side by side, identifying their pros and cons.I share why I give HTGC the slight edge but also why TRIN might make more sense for some investors.Looking for a portfolio of ideas like this one? Members of High Yield Investor get exclusive access to our subscriber-only portfolios. Learn More »Andrii Yalanskyi/iStock via Getty Images
Technology-focused BDCs (BIZD), like Blue Owl Technology Finance (OTF) and Hercules Capital (HTGC), have faced market headwinds so far this year due to concerns that AI could disrupt software business
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Analyst’s Disclosure: I/we have a beneficial long position in the shares of OTF either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
SAN MATEO, Calif.--(BUSINESS WIRE)--Hercules Capital, Inc. (NYSE: HTGC) (“Hercules,” “Hercules Capital,” or the “Company”), today announced that it has closed an underwritten public offering of $325.0 million in aggregate principal amount of 6.300% notes due July 2031 (the “Notes”). The Notes are unsecured and bear interest at a rate of 6.300% per year, payable semiannually, will mature on July 24, 2031, and may be redeemed in whole or in part at any time or from time to time at the Company's o.
Hercules Capital (HTGC - Free Report) closed at $15.93 in the latest trading session, marking a -1.24% move from the prior day. This change lagged the S&P 500's 0.14% loss on the day. Elsewhere, the Dow lost 0.01%, while the tech-heavy Nasdaq lost 0.57%.
The stock of specialty finance company has risen by 6.26% in the past month, leading the Finance sector's gain of 2.55% and the S&P 500's gain of 0.25%.
Analysts and investors alike will be keeping a close eye on the performance of Hercules Capital in its upcoming earnings disclosure. The company's earnings report is set to go public on July 30, 2026. The company is expected to report EPS of $0.5, unchanged from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $148.9 million, up 8.32% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $1.93 per share and a revenue of $588.4 million, demonstrating changes of +1.05% and +10.5%, respectively, from the preceding year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Hercules Capital. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Hercules Capital is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Hercules Capital is holding a Forward P/E ratio of 8.36. For comparison, its industry has an average Forward P/E of 8, which means Hercules Capital is trading at a premium to the group.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. With its current Zacks Industry Rank of 201, this industry ranks in the bottom 19% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
SAN MATEO, Calif.--(BUSINESS WIRE)--Hercules Capital, Inc. (NYSE: HTGC) (“Hercules,” “Hercules Capital,” or the “Company”), today announced that it has priced an underwritten public offering of $325.0 million in aggregate principal amount of 6.300% notes due July 2031 (the “Notes”). The closing of the transaction is subject to customary closing conditions and the Notes are expected to be delivered and paid for on July 24, 2026. The Notes are unsecured and bear interest at a rate of 6.300% per y.
Hercules Capital (HTGC - Free Report) ended the recent trading session at $16.37, demonstrating a +1.61% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily loss of 0.51%. Meanwhile, the Dow experienced a drop of 0.2%, and the technology-dominated Nasdaq saw a decrease of 1.47%.
Prior to today's trading, shares of the specialty finance company had gained 4.54% outpaced the Finance sector's gain of 3.25% and the S&P 500's gain of 0.53%.
Analysts and investors alike will be keeping a close eye on the performance of Hercules Capital in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.5, indicating constancy compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $148.9 million, up 8.32% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.93 per share and a revenue of $588.4 million, signifying shifts of +1.05% and +10.5%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Hercules Capital. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Hercules Capital is currently a Zacks Rank #3 (Hold).
With respect to valuation, Hercules Capital is currently being traded at a Forward P/E ratio of 8.35. Its industry sports an average Forward P/E of 8.06, so one might conclude that Hercules Capital is trading at a premium comparatively.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 227, positioning it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
SAN MATEO, Calif.--(BUSINESS WIRE)--Hercules Capital, Inc. (NYSE: HTGC) (“Hercules,” “Hercules Capital,” or the “Company”), the largest and leading specialty financing provider to innovative venture, growth and established stage companies backed by some of the leading and top-tier venture capital and select private equity firms, today announced that it has scheduled its second quarter 2026 financial results conference call for Thursday, July 30, 2026, at 2:00 p.m. PT (5:00 p.m. ET). Hercules will release its financial results after market close that same day.
All interested parties are invited to participate via telephone or the live webcast, which will be hosted on a webcast link located on the Investor Resources section of our website at investor.htgc.com. Please visit the website to test your connection before the webcast. Domestic callers can access the conference call toll free by dialing +1 (800) 267-6316. International callers can access the conference call by dialing +1 (203) 518-9783. All callers are asked to dial in 10-15 minutes prior to the call so that name and company information can be collected and to reference the conference ID HTGCQ226. For interested parties, an archived replay will be available on a webcast link located on the Investor Resources section of Hercules Capital's website.
About Hercules Capital, Inc.
Hercules Capital, Inc. (NYSE: HTGC) is the leading and largest specialty finance company focused on providing senior secured venture growth loans to high-growth, innovative venture capital-backed companies in a broad variety of technology and life sciences industries. Since inception (December 2003), Hercules has committed more than $27 billion to over 700 companies and is the lender of choice for entrepreneurs and venture capital firms seeking growth capital financing. Companies interested in learning more about financing opportunities should contact [email protected], or call 650.289.3060.
Hercules, through its wholly owned subsidiary business, Hercules Adviser LLC (the “Adviser Subsidiary”), also maintains an asset management business through which it manages investments for external parties (“Adviser Funds”). The Adviser Subsidiary is registered as an investment adviser under the Investment Advisers Act of 1940.
Hercules’ common stock trades on the New York Stock Exchange (NYSE) under the ticker symbol “HTGC.” In addition, Hercules has one retail bond issuance of 6.25% Notes due 2033 (NYSE: HCXY).
In the latest trading session, Hercules Capital (HTGC - Free Report) closed at $15.69, marking a -1.26% move from the previous day. The stock fell short of the S&P 500, which registered a gain of 0.81% for the day. Meanwhile, the Dow experienced a rise of 0.27%, and the technology-dominated Nasdaq saw an increase of 1.3%.
Prior to today's trading, shares of the specialty finance company had gained 2.52% lagged the Finance sector's gain of 4.07% and outpaced the S&P 500's gain of 1.13%.
Analysts and investors alike will be keeping a close eye on the performance of Hercules Capital in its upcoming earnings disclosure. On that day, Hercules Capital is projected to report earnings of $0.5 per share, which would represent no growth from the year-ago period. Meanwhile, the latest consensus estimate predicts the revenue to be $148.9 million, indicating a 8.32% increase compared to the same quarter of the previous year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.93 per share and revenue of $588.4 million. These totals would mark changes of +1.05% and +10.5%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Hercules Capital. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Hercules Capital presently features a Zacks Rank of #3 (Hold).
With respect to valuation, Hercules Capital is currently being traded at a Forward P/E ratio of 8.23. This represents a premium compared to its industry average Forward P/E of 7.98.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. With its current Zacks Industry Rank of 193, this industry ranks in the bottom 22% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
June 29, 2026 08:00 ET | Source: 4D Molecular Therapeutics, Inc.
EMERYVILLE, Calif., June 29, 2026 (GLOBE NEWSWIRE) -- 4D Molecular Therapeutics (Nasdaq: FDMT, 4DMT or the Company), a leading late-stage biotechnology company advancing durable and disease-targeted therapeutics with potential to transform treatment paradigms and provide unprecedented benefits to patients, today announced that it has entered into a strategic credit facility agreement with Hercules Capital, Inc. (NYSE: HTGC) (“Hercules”) for up to $200 million.
“Our strong cash, cash equivalents and marketable securities position, excluding this strategic credit facility, is expected to continue to fund our planned operations into the second half of 2028. Access to this non-dilutive capital further increases our financial strength, providing the Company with strategic and operational flexibility,” said Kristian Humer, Chief Financial Officer of 4DMT. “The credit facility diversifies our capital structure, allowing us to focus on sustaining our execution momentum, growth planning across our innovative gene therapy pipeline and early commercial planning for 4D-150.”
“Hercules Capital is pleased to support 4DMT with a flexible financing solution as the Company advances 4D-150 through Phase 3 development and pre-commercial planning in wet AMD and DME,” said Lake McGuire, Managing Director at Hercules Capital, Inc. “This partnership reflects our commitment to backing innovative genetic medicines with the potential to transform treatment paradigms for patients with serious unmet needs.”
Under the terms of the agreement, 4DMT drew an initial $20 million at closing. An additional $30 million is available, at the Company’s option, through June 15, 2027, with an additional $100 million available upon the Company’s achievement of certain milestones, and the remaining $50 million available subject to final lender approval.
The Company’s cash, cash equivalents and marketable securities were $458 million as of March 31, 2026.
Leerink Partners served as the exclusive financial advisor to 4DMT on the strategic credit facility.
About 4DMT
4DMT is a leading late-stage biotechnology company advancing durable and disease-targeted therapeutics with potential to transform treatment paradigms and provide unprecedented benefits to patients. The Company’s lead product candidate 4D-150 is designed to be a backbone therapy forming the foundation of treatment of blinding retinal vascular diseases by providing multi-year sustained delivery of anti-VEGF biologics (aflibercept and anti-VEGF-C) with a single intravitreal injection, which substantially reduces the treatment burden associated with current bolus injections. The Company’s lead indication for 4D-150 is wet age-related macular degeneration, which is currently in Phase 3 development, and second indication is diabetic macular edema. The Company’s second product candidate is 4D-710, which is the first known genetic medicine to demonstrate successful delivery and expression of the CFTR transgene in the lungs of people with cystic fibrosis after aerosol delivery. 4D Molecular Therapeutics™, 4DMT™, Therapeutic Vector Evolution™, and the 4DMT logo are trademarks of 4DMT.
All of the Company’s product candidates are in clinical or preclinical development and have not yet been approved for marketing by the U.S. Food and Drug Administration or any other regulatory authority. No representation is made as to the safety or effectiveness of the Company’s product candidates for the therapeutic uses for which they are being studied.
Learn more at www.4DMT.com and follow us on LinkedIn.
Forward-Looking Statements:
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including, without limitation, implied and expressed statements regarding the therapeutic potential and clinical benefits of, as well as the plans, announcements and related timing for, the clinical development of the Company’s product candidates; the Company's expectations regarding financing alternatives and its anticipated cash runway; the availability of, and the Company’s ability to access or draw, additional capital under the credit facility; the achievement of the milestones, conditions or approvals required to access such additional capital; the expected non-dilutive nature and benefits of the credit facility; and the Company’s financial, strategic and operational flexibility. The words "may," “might,” "will," "could," "would," "should," "expect," "plan," "anticipate," "intend," "believe," "estimate," “seek,” "predict," “future,” "project," "potential," "continue," "target" and similar words or expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Any forward-looking statements in this press release are based on management's current expectations and beliefs and are subject to a number of risks, uncertainties and important factors that may cause actual events or results to differ materially from those expressed or implied by any forward-looking statements contained in this press release, including risks and uncertainties that are described in greater detail in the section entitled "Risk Factors" in 4D Molecular Therapeutics’ most recent Quarterly Report on Form 10-Q, as well as any subsequent filings with the Securities and Exchange Commission. In addition, any forward-looking statements represent 4D Molecular Therapeutics' views only as of today and should not be relied upon as representing its views as of any subsequent date. 4D Molecular Therapeutics explicitly disclaims any obligation to update any forward-looking statements, except as may be required by law. No representations or warranties (expressed or implied) are made about the accuracy of any such forward-looking statements.
In the latest trading session, Hercules Capital (HTGC - Free Report) closed at $15.58, marking a +2.23% move from the previous day. The stock exceeded the S&P 500, which registered a loss of 0.05% for the day. On the other hand, the Dow registered a loss of 0.09%, and the technology-centric Nasdaq decreased by 0.24%.
Coming into today, shares of the specialty finance company had lost 1.17% in the past month. In that same time, the Finance sector gained 2.3%, while the S&P 500 lost 1.42%.
The investment community will be closely monitoring the performance of Hercules Capital in its forthcoming earnings report. The company is forecasted to report an EPS of $0.5, showcasing no movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $148.9 million, indicating a 8.32% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $1.93 per share and a revenue of $588.4 million, indicating changes of +1.05% and +10.5%, respectively, from the former year.
It is also important to note the recent changes to analyst estimates for Hercules Capital. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. As of now, Hercules Capital holds a Zacks Rank of #3 (Hold).
Digging into valuation, Hercules Capital currently has a Forward P/E ratio of 7.9. This indicates a discount in contrast to its industry's Forward P/E of 7.92.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 211, positioning it in the bottom 14% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow HTGC in the coming trading sessions, be sure to utilize Zacks.com.
Hercules Capital is trading at a 30% premium to NAV, down from 72% in 2024, reflecting compressed sentiment around technology-focused BDCs. HTGC is paying out a 12.1% dividend yield, with a $0.40 base and a $0.07 supplemental quarterly dividend. The base dividend was 120% covered by first-quarter net investment income. Portfolio credit quality remains robust, with nonaccruals at fair value at just 0.1% of the total investment portfolio as of the end of the first quarter.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in HTGC over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Hercules Capital (HTGC - Free Report) .
Hercules Capital currently has an average brokerage recommendation (ABR) of 1.70, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 10 brokerage firms. An ABR of 1.70 approximates between Strong Buy and Buy.
Of the 10 recommendations that derive the current ABR, six are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 60% and 10% of all recommendations.
Brokerage Recommendation Trends for HTGC
Check price target & stock forecast for Hercules Capital here>>>
While the ABR calls for buying Hercules Capital, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.
Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.
Zacks Rank Should Not Be Confused With ABRIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
In contrast, the Zacks Rank is driven by earnings estimate revisions. And near-term stock price movements are strongly correlated with trends in earnings estimate revisions, according to empirical research.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.
Should You Invest in HTGC?In terms of earnings estimate revisions for Hercules Capital, the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $1.93.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Hercules Capital. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Hercules Capital.
June 17, 2026 07:30 ET | Source: Dyne Therapeutics, Inc.
- Up to $125 million in additional borrowing capacity provides further strategic flexibility -
- $50 million of additional capacity funded at amendment closing -
WALTHAM, Mass., June 17, 2026 (GLOBE NEWSWIRE) -- Dyne Therapeutics, Inc. (Nasdaq: DYN), a clinical-stage company focused on delivering functional improvement for people living with genetically driven neuromuscular diseases, today announced that it has entered into an amendment to its non-dilutive senior secured term loan facility with Hercules Capital, Inc. (NYSE: HTGC), a leader in customized debt financing for companies in the life sciences and technology-related markets. The transaction further strengthens the company’s balance sheet as it advances zeleciment rostudirsen (z-rostudirsen, also known as DYNE-251) for exon 51 Duchenne muscular dystrophy (DMD) and zeleciment basivarsen (z-basivarsen, also known as DYNE-101) for myotonic dystrophy type 1 (DM1) through critical clinical and regulatory milestones.
“As we continue to focus on diligent execution against our clinical and regulatory objectives, we are pleased to deepen our partnership with Hercules,” said Erick Lucera, chief financial officer of Dyne. “This additional access to capital enhances our financial flexibility as we prepare for two potential U.S. launches in the next two years and continue on our mission to deliver functional improvement for individuals living with rare neuromuscular diseases.”
“Hercules is proud to be expanding our support of Dyne as they prepare for the potential approval and commercial launches of z-rostudirsen and z-basivarsen,” said R. Bryan Jadot, Senior Managing Director and Group Head at Hercules Capital. “Our increased commitment reflects our strong conviction in Dyne’s programs and our unique ability to support innovative life sciences companies at transformative stages of development.”
Under the terms of the amendment, $50 million was funded upon execution of the amendment, and an additional term loan tranche for $50 million that can be drawn at Dyne’s option subject to the achievement of certain milestones was added to the term loan facility. The final term loan tranche was also increased by $25 million to provide up to an additional $75 million, which may be funded upon request of Dyne and at the discretion of Hercules Capital. Including the $50 million funded upon execution of the amendment, Dyne has borrowed an aggregate of $200 million in loan proceeds in three tranches under the term loan facility and maintains access to up to $200 million in potential future funding under the facility.
About Dyne Therapeutics
Dyne Therapeutics is focused on delivering functional improvement for people living with genetically driven neuromuscular diseases. We are developing therapeutics that target muscle and the central nervous system (CNS) to address the root cause of disease. The company is advancing clinical programs for Duchenne muscular dystrophy (DMD) and myotonic dystrophy type 1 (DM1) as well as preclinical programs for facioscapulohumeral muscular dystrophy (FSHD), Pompe disease and multiple DMD mutations. At Dyne, we are on a mission to deliver functional improvement for individuals, families and communities. Learn more at https://www.dyne-tx.com/, and follow us on X, LinkedIn and Facebook.
About Hercules Capital
Hercules Capital, Inc. (NYSE: HTGC) is the leading and largest specialty finance company focused on providing senior secured venture growth loans to high-growth, innovative venture capital-backed companies in a broad variety of technology and life sciences industries. Since inception (December 2003), Hercules has committed more than $27 billion to over 700 companies and is the lender of choice for entrepreneurs and venture capital firms seeking growth capital financing.
Forward-Looking Statements
This press release contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical facts, contained in this press release, including statements regarding Dyne’s strategy, future operations, prospects and plans, objectives of management, the ability of Dyne to achieve any of the specified clinical, regulatory or commercial milestones under its loan agreement with Hercules Capital, as amended, the potential of the FORCE platform, the potential of zeleciment rostudirsen (z-rostudirsen, also known as DYNE-251) and zeleciment basivarsen (z-basivarsen, also known as DYNE-101), the anticipated timelines for potential commercial launch of z-rostudirsen and z-basivarsen, the availability of expedited approval pathways for z-rostudirsen and z-basivarsen, expectations regarding the outcome of interactions with regulatory authorities, and the sufficiency of Dyne’s cash resources for the period anticipated, constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “objective,” “ongoing,” “plan,” “predict,” “project,” “potential,” “should,” “will,” or “would,” or the negative of these terms, or other comparable terminology are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Dyne may not actually achieve the plans, intentions or expectations disclosed in these forward-looking statements, and you should not place undue reliance on these forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in these forward-looking statements as a result of various important factors, including: Dyne’s ability to comply with the covenants and other obligations under its loan agreement with Hercules Capital; uncertainties inherent in the identification and development of product candidates, including the initiation and completion of preclinical studies and clinical trials; uncertainties as to the availability and timing of results from preclinical studies and clinical trials; the timing of and Dyne’s ability to enroll patients in clinical trials; whether results from preclinical studies and data from clinical trials will be predictive of the final results of the clinical trials or other trials; whether data from clinical trials will support submission for regulatory approvals; uncertainties as to the FDA’s and other regulatory authorities’ interpretation of the data from Dyne's clinical trials and acceptance of Dyne's clinical programs and as to the regulatory approval process for Dyne's product candidates; whether Dyne’s cash resources will be sufficient to fund its foreseeable and unforeseeable operating expenses and capital expenditure requirements; as well as the risks and uncertainties identified in Dyne’s filings with the Securities and Exchange Commission (SEC), including the company’s most recent Form 10-Q and in subsequent filings Dyne may make with the SEC. In addition, the forward-looking statements included in this press release represent Dyne’s views as of the date of this press release. Dyne anticipates that subsequent events and developments will cause its views to change. However, while Dyne may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing Dyne’s views as of any date subsequent to the date of this press release.
Hercules Capital (HTGC - Free Report) ended the recent trading session at $15.65, demonstrating a +1.03% change from the preceding day's closing price. The stock's performance was ahead of the S&P 500's daily loss of 0.57%. Elsewhere, the Dow saw an upswing of 0.64%, while the tech-heavy Nasdaq depreciated by 1.15%.
Heading into today, shares of the specialty finance company had gained 0.58% over the past month, lagging the Finance sector's gain of 4.57% and the S&P 500's gain of 2.14%.
Market participants will be closely following the financial results of Hercules Capital in its upcoming release. The company's upcoming EPS is projected at $0.5, signifying steadiness compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $148.9 million, up 8.32% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.93 per share and a revenue of $588.4 million, representing changes of +1.05% and +10.5%, respectively, from the prior year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Hercules Capital. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. As of now, Hercules Capital holds a Zacks Rank of #3 (Hold).
In terms of valuation, Hercules Capital is currently trading at a Forward P/E ratio of 8.03. This signifies a discount in comparison to the average Forward P/E of 8.06 for its industry.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 207, finds itself in the bottom 16% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
LOS ANGELES, May 18, 2026 (GLOBE NEWSWIRE) -- The Schall Law Firm, a national shareholder rights litigation firm, reminds investors of a class action lawsuit against Hercules Capital, Inc. (“Hercules” or “the Company”) (NYSE: HTGC) violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.
Investors who purchased the Company’s securities between May 1, 2025 and February 27, 2026, inclusive (the “Class Period”), are encouraged to contact the firm before May 19, 2026.
If you are a shareholder who suffered a loss, click here to participate.
We also encourage you to contact Brian Schall of the Schall Law Firm, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at [email protected].
The class, in this case, has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
According to the Complaint, the Company made false and misleading statements to the market. Hercules misled investors about the due diligence it performed during the loan origination process. The Company overstated the due diligence of its portfolio valuation process. The Company misclassified portfolio investments. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Hercules, investors suffered damages.
Join the case to recover your losses
The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.
CONTACT:
The Schall Law Firm
Brian Schall, Esq.,
www.schallfirm.com
Office: 310-301-3335 [email protected]
WHY: Rosen Law Firm, a global investor rights law firm, reminds purchasers of securities of Hercules Capital, Inc. (NYSE: HTGC) between May 1, 2025 and February 27, 2026, inclusive (the “Class Period”), of the important May 19, 2026 lead plaintiff deadline.
SO WHAT: If you purchased Hercules Capital securities during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement.
WHAT TO DO NEXT: To join the Hercules Capital class action, go to https://rosenlegal.com/submit-form/?case_id=56968 or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than May 19, 2026. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.
WHY ROSEN LAW: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually litigate securities class actions, but are merely middlemen that refer clients or partner with law firms that actually litigate the cases. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm has achieved, at that time, the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered hundreds of millions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs’ Bar. Many of the firm’s attorneys have been recognized by Lawdragon and Super Lawyers.
DETAILS OF THE CASE: According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Hercules Capital overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) Hercules Capital overstated the due diligence with which it conducted its portfolio valuation process; (3) Hercules Capital reported misclassified portfolio investments; (4) as a result of the foregoing, Hercules Capital overstated and/or misrepresented its portfolio valuations; and (5) as a result of the foregoing, defendants’ positive statements about Hercules Capital’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis. When the true details entered the market, the lawsuit claims that investors suffered damages.
To join the Hercules Capital class action, go to https://rosenlegal.com/submit-form/?case_id=56968 or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action.
No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.
Attorney Advertising. Prior results do not guarantee a similar outcome.
Contact Information:
Laurence Rosen, Esq.
Phillip Kim, Esq.
The Rosen Law Firm, P.A.
275 Madison Avenue, 40th Floor
New York, NY 10016
Tel: (212) 686-1060
Toll Free: (866) 767-3653
Fax: (212) 202-3827 [email protected]
www.rosenlegal.com
LOS ANGELES, May 18, 2026 (GLOBE NEWSWIRE) -- Glancy Prongay Wolke & Rotter LLP reminds investors of the upcoming May 19, 2026 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased or otherwise acquired Hercules Capital, Inc. (“Hercules Capital” or the “Company”) (NYSE: HTGC) securities between May 1, 2025 and February 27, 2026, inclusive (the “Class Period”).
IF YOU SUFFERED A LOSS ON YOUR HERCULES INVESTMENTS, CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS UNDER THE FEDERAL SECURITIES LAWS.
What Happened?
On February 27, 2026, Hunterbrook Media published a report stating that, “according to a former Hercules analyst who worked on deal sourcing” the Company’s process for deal sourcing essentially amounted to “[g]o[ing] on the website for Google Ventures and just see what they invest in and just copy it.” The report stated, according to a former employee, deal sourcing managers “don’t want anything else,” and essentially just rely on other investors to have done due diligence, instead of doing their own.
The report continued, revealing that, “once Hercules makes the loans, the valuation process itself may warrant scrutiny,” as “[a] former member of Hercules’ finance team described a small, overstretched team with few checks in place.” The report revealed the valuations team “consisted of just four people in a single reporting line responsible for dozens of companies,” with “few checks or cross-team review.”
The report also alleged that Hercules Capital underrepresents its significant software debt exposure in part, by “assign[ing] certain businesses that describe themselves as software companies to categories outside of software.” The report also cast doubt on to the Company’s book value, which marks its software debt “at 100 cents on the dollar” despite “billions worth of [software] debt across the industry falling into distressed territory.”
On this news, Hercules Capital’s stock price fell $1.22, or 7.9%, to close at $14.21 per share on February 27, 2026, on unusually heavy trading volume.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) the Company overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) the Company overstated the due diligence with which it conducted its portfolio valuation process; (3) the Company reported misclassified portfolio investments; (4) as a result of the foregoing, the Company overstated and/or misrepresented its portfolio valuations; and (5) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
If you purchased or otherwise acquired Hercules Capital securities during the Class Period, you may move the Court no later than May 19, 2026 to request appointment as lead plaintiff in this putative class action lawsuit.
Contact Us To Participate or Learn More:
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Charles Linehan, Esq.,
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100,
Los Angeles California 90067
Email: [email protected]
Telephone: 310-201-9150,
Toll-Free: 888-773-9224
Visit our website at www.glancylaw.com.
Follow us for updates on LinkedIn, Twitter, or Facebook.
If you inquire by email, please include your mailing address, telephone number and number of shares purchased.
To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contact Us:
Glancy Prongay Wolke & Rotter LLP
1925 Century Park East, Suite 2100
Los Angeles, CA 90067
Charles H. Linehan
Email: [email protected]
Telephone: 310-201-9150
Toll-Free: 888-773-9224
Visit our website at: www.glancylaw.com.
Bragar Eagel & Squire, P.C. Litigation Partner Brandon Walker Encourages Investors Who Suffered Losses In Hercules Capital (HTGC) To Contact Him Directly To Discuss Their Options
If you purchased or acquired Hercules Capital securities between May 1, 2025 and February 27, 2026, and would like to discuss your legal rights, call Bragar Eagel & Squire partner Brandon Walker or Melissa Fortunato directly at (212) 355-4648.
Click here to participate in the action.
NEW YORK, May 18, 2026 (GLOBE NEWSWIRE) --
What’s Happening?
Bragar Eagel & Squire, P.C., a nationally recognized stockholder rights law firm, announces that a class action lawsuit has been filed against Hercules Capital, Inc. (“Hercules Capital” or the “Company”) (NYSE:HTGC) in the The United States District Court for the Northern District of California on behalf of all persons and entities who purchased or otherwise acquired Hercules Capital securities between May 1, 2025 and February 27, 2026, both dates inclusive (the “Class Period”).Investors have until May 19, 2026 to apply to the Court to be appointed as lead plaintiff in the lawsuit. What are the Allegation Details?
According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Hercules Capital overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) Hercules Capital overstated the due diligence with which it conducted its portfolio valuation process; (3) Hercules Capital reported misclassified portfolio investments; (4) as a result of the foregoing, Hercules Capital overstated and/or misrepresented its portfolio valuations; and (5) as a result of the foregoing, defendants’ positive statements about Hercules Capital’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis. When the true details entered the market, the lawsuit claims that investors suffered damages. What are the Next Steps?
If you purchased or otherwise acquired Hercules Capital shares and suffered a loss, are a long-term stockholder, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Melissa Fortunato by email at [email protected], telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you. About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, South Carolina, and California. The firm represents individual and institutional investors in securities, derivative, and commercial litigation as well as individuals in consumer protection and data privacy litigation. The firm has a nationwide practice and routinely handles cases in both federal and state courts. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
Follow us for updates on LinkedIn and Facebook, and keep up with other news by following Brandon Walker, Esq. on LinkedIn.
Why: Rosen Law Firm, a global investor rights law firm, reminds purchasers of securities of Hercules Capital, Inc. (NYSE: HTGC) between May 1, 2025 and February 27, 2026, inclusive (the "Class Period"), of the important May 19, 2026 lead plaintiff deadline.
So what: If you purchased Hercules Capital securities during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement.
What to do next: To join the Hercules Capital class action, go to https://rosenlegal.com/submit-form/?case_id=56968 or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than May 19, 2026. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.
Why Rosen Law: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually litigate securities class actions, but are merely middlemen that refer clients or partner with law firms that actually litigate the cases. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm has achieved, at that time, the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered hundreds of millions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs' Bar. Many of the firm's attorneys have been recognized by Lawdragon and Super Lawyers.
Details of the case: According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Hercules Capital overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) Hercules Capital overstated the due diligence with which it conducted its portfolio valuation process; (3) Hercules Capital reported misclassified portfolio investments; (4) as a result of the foregoing, Hercules Capital overstated and/or misrepresented its portfolio valuations; and (5) as a result of the foregoing, defendants' positive statements about Hercules Capital's business, operations, and prospects were materially misleading and/or lacked a reasonable basis. When the true details entered the market, the lawsuit claims that investors suffered damages.
To join the Hercules Capital class action, go to https://rosenlegal.com/submit-form/?case_id=56968 or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action.
No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor's ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.
Attorney Advertising. Prior results do not guarantee a similar outcome.
Contact Information:
Laurence Rosen, Esq.
Phillip Kim, Esq.
The Rosen Law Firm, P.A.
275 Madison Avenue, 40th Floor
New York, NY 10016
Tel: (212) 686-1060
Toll Free: (866) 767-3653
Fax: (212) 202-3827
[email protected]
www.rosenlegal.com
Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Hercules Capital To Contact Him Directly To Discuss Their Options
If you purchased or acquired securities in Hercules Capital between May 1, 2025 and February 27, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
[You may also click here for additional information]
New York, New York--(Newsfile Corp. - May 18, 2026) - Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Hercules Capital, Inc. ("Hercules Capital" or the "Company") (NYSE: HTGC) and reminds investors of the May 19, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) the Company overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) the Company overstated the due diligence with which it conducted its portfolio valuation process; (3) the Company reported misclassified portfolio investments; (4) as a result of the foregoing, the Company overstated and/or misrepresented its portfolio valuations; and (5) that, as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
On February 27, 2026, Hunterbrook Media published a report stating that, "according to a former Hercules analyst who worked on deal sourcing" the Company's process for deal sourcing essentially amounted to "[g]o[ing] on the website for Google Ventures and just see what they invest in and just copy it." The report stated, according to a former employee, deal sourcing managers "don't want anything else," and essentially just rely on other investors to have done due diligence, instead of doing their own.
The report continued, revealing that, "once Hercules makes the loans, the valuation process itself may warrant scrutiny," as "[a] former member of Hercules' finance team described a small, overstretched team with few checks in place." The report revealed the valuations team "consisted of just four people in a single reporting line responsible for dozens of companies," with "few checks or cross-team review."
The report also alleged that Hercules Capital underrepresents its significant software debt exposure in part, by "assign[ing] certain businesses that describe themselves as software companies to categories outside of software." The report also cast doubt on to the Company's book value, which marks its software debt "at 100 cents on the dollar" despite "billions worth of [software] debt across the industry falling into distressed territory."
On this news, Hercules Capital's stock price fell $1.22, or 7.9%, to close at $14.21 per share on February 27, 2026, on unusually heavy trading volume.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Hercules Capital's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
To learn more about the Hercules Capital class action, go to www.faruqilaw.com/HTGC or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
Follow us for updates on LinkedIn, on X, or on Facebook.
Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/297835
Source: Faruqi & Faruqi LLP
Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.
, /PRNewswire/ -- The Gross Law Firm issues the following notice to shareholders of Hercules Capital, Inc. (NYSE: HTGC).
Shareholders who purchased shares of HTGC during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery.
ALLEGATIONS: The complaint alleges that during the class period, Defendants issued materially false and/or misleading statements and/or failed to disclose that: (1) the Company overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) the Company overstated the due diligence with which it conducted its portfolio valuation process; (3) the Company reported misclassified portfolio investments; (4) as a result of the foregoing, the Company overstated and/or misrepresented its portfolio valuations; and (5) that, as a result of the foregoing, defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
DEADLINE: May 19, 2026 Shareholders should not delay in registering for this class action. Register your information here: https://securitiesclasslaw.com/securities/hercules-capital-inc-loss-submission-form/?id=186487&from=4
NEXT STEPS FOR SHAREHOLDERS: Once you register as a shareholder who purchased shares of HTGC during the timeframe listed above, you will be enrolled in a portfolio monitoring software to provide you with status updates throughout the lifecycle of the case. The deadline to seek to be a lead plaintiff is May 19, 2026. There is no cost or obligation to you to participate in this case.
WHY GROSS LAW FIRM? The Gross Law Firm is a nationally recognized class action law firm, and our mission is to protect the rights of all investors who have suffered as a result of deceit, fraud, and illegal business practices. The Gross Law Firm is committed to ensuring that companies adhere to responsible business practices and engage in good corporate citizenship. The firm seeks recovery on behalf of investors who incurred losses when false and/or misleading statements or the omission of material information by a company lead to artificial inflation of the company's stock. Attorney advertising. Prior results do not guarantee similar outcomes.
CONTACT:
The Gross Law Firm
15 West 38th Street, 12th floor
New York, NY, 10018
Email: [email protected]
Phone: (646) 453-8903
LOS ANGELES, May 19, 2026 (GLOBE NEWSWIRE) -- The Portnoy Law Firm advises Hercules Capital, Inc., (“Hercules” or the "Company") (NYSE: HTGC) investors of a class action on behalf of investors that bought securities between May 1, 2025 and January 27, 2026, inclusive (the “Class Period”). Hercules investors have until May 21, 2026 to file a lead plaintiff motion.
Investors are encouraged to contact attorney Lesley F. Portnoy, by phone 310-692-8883 or email: [email protected], to discuss their legal rights, or join the case via https://portnoylaw.com/hercules-capital-inc. The Portnoy Law Firm can provide a complimentary case evaluation and discuss investors’ options for pursuing claims to recover their losses.
On February 27, 2026, Hunterbrook Media published a report stating that, “according to a former Hercules analyst who worked on deal sourcing” the Company’s process for deal sourcing essentially amounted to “[g]o[ing] on the website for Google Ventures and just see what they invest in and just copy it.” The report stated, according to a former employee, deal sourcing managers “don’t want anything else,” and essentially just rely on other investors to have done due diligence, instead of doing their own.
The report continued, revealing that, “once Hercules makes the loans, the valuation process itself may warrant scrutiny,” as “[a] former member of Hercules’ finance team described a small, overstretched team with few checks in place.” The report revealed the valuations team “consisted of just four people in a single reporting line responsible for dozens of companies,” with “few checks or cross-team review.”
The report also alleged that Hercules Capital underrepresents its significant software debt exposure in part, by “assign[ing] certain businesses that describe themselves as software companies to categories outside of software.” The report also cast doubt on to the Company’s book value, which marks its software debt “at 100 cents on the dollar” despite “billions worth of [software] debt across the industry falling into distressed territory.”
On this news, Hercules Capital’s stock price fell $1.22, or 7.9%, to close at $14.21 per share on February 27, 2026, on unusually heavy trading volume.
The Portnoy Law Firm represents investors in pursuing claims caused by corporate wrongdoing. The Firm’s founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes.
Lesley F. Portnoy, Esq.
Admitted CA, NY and TX Bar [email protected]
310-692-8883
www.portnoylaw.com
Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Hercules Capital To Contact Him Directly To Discuss Their Options
If you purchased or acquired securities in Hercules Capital between May 1, 2025 and February 27, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
[You may also click here for additional information]
NEW YORK--(BUSINESS WIRE)--Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Hercules Capital, Inc. (“Hercules Capital” or the “Company”) (NYSE: HTGC) and reminds investors of the May 19, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.
As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) the Company overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) the Company overstated the due diligence with which it conducted its portfolio valuation process; (3) the Company reported misclassified portfolio investments; (4) as a result of the foregoing, the Company overstated and/or misrepresented its portfolio valuations; and (5) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
On February 27, 2026, Hunterbrook Media published a report stating that, “according to a former Hercules analyst who worked on deal sourcing” the Company’s process for deal sourcing essentially amounted to “[g]o[ing] on the website for Google Ventures and just see what they invest in and just copy it.” The report stated, according to a former employee, deal sourcing managers “don’t want anything else,” and essentially just rely on other investors to have done due diligence, instead of doing their own.
The report continued, revealing that, “once Hercules makes the loans, the valuation process itself may warrant scrutiny,” as “[a] former member of Hercules’ finance team described a small, overstretched team with few checks in place.” The report revealed the valuations team “consisted of just four people in a single reporting line responsible for dozens of companies,” with “few checks or cross-team review.”
The report also alleged that Hercules Capital underrepresents its significant software debt exposure in part, by “assign[ing] certain businesses that describe themselves as software companies to categories outside of software.” The report also cast doubt on to the Company’s book value, which marks its software debt “at 100 cents on the dollar” despite “billions worth of [software] debt across the industry falling into distressed territory.”
On this news, Hercules Capital’s stock price fell $1.22, or 7.9%, to close at $14.21 per share on February 27, 2026, on unusually heavy trading volume.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Hercules Capital’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
To learn more about the Hercules Capital class action, go to www.faruqilaw.com/HTGC or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).
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Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
WHAT IS HAPPENING? Grabar Law Office is investigating claims on behalf of shareholders of Hercules Capital Inc. (NYSE: HTGC). The investigation concerns whether certain officers and directors of Hercules Capital breached their fiduciary duties owed to the Company.
If you purchased Hercules Capital Inc. (NYSE: HTGC) shares prior to May 1, 2025, and continue to hold shares today, you are encouraged to visit https://grabarlaw.com/the-latest/hercules-shareholder-investigation/, contact Joshua H. Grabar at [email protected], or call 267-507-6085. You may be able to seek corporate governance reforms, the return of funds back to the Company, and a court-approved incentive award at no cost to you whatsoever.
WHY? According to a recently filed federal securities fraud class action complaint, Hercules Capital Inc. (NYSE: HTGC), through certain of its officers, made materially false and misleading statements or failed to disclose that: (1) Hercules Capital overstated the due diligence with which it conducted its deal sourcing and/or loan origination process; (2) Hercules Capital overstated the due diligence with which it conducted its portfolio valuation process; (3) Hercules Capital reported misclassified portfolio investments; (4) as a result of the foregoing, Hercules Capital overstated and/or misrepresented its portfolio valuations; and (5) as a result of the foregoing, defendants' positive statements about Hercules Capital's business, operations, and prospects were materially misleading and/or lacked a reasonable basis. When the true details entered the market, the lawsuit claims that investors suffered damages.
WHAT CAN YOU DO NOW? If you purchased Hercules Capital Inc. (NYSE: HTGC) shares prior to May 1, 2025, and still hold shares today, you can seek corporate reforms, the return of funds back to the Company, and a court-approved incentive award at no cost to you whatsoever. For more information, please visit https://grabarlaw.com/the-latest/hercules-shareholder-investigation/, contact Joshua H. Grabar at [email protected], or call 267-507-6085.
$HTGC #HTGC #HerculesCapital
LKQ CORPORATION (NASDAQ: LKQ):
WHAT IS HAPPENING? Grabar Law Office is investigating potential claims on behalf of investors of LKQ Corporation (NASDAQ: LKQ). The investigation concerns whether certain officers of the company have breached their fiduciary duties they owed to the company.
If you purchased LKQ Corporation (NASDAQ: LKQ) shares prior to February 27, 2023, and still hold shares today, you should visit https://grabarlaw.com/the-latest/lkq-shareholder-investigation/, contact Joshua H. Grabar at [email protected], or call 267-507-6085. You can seek corporate reforms, the return of funds back to the Company, and a court approved incentive award at no cost you whatsoever.
WHY? A recently filed federal securities class action alleges that LKQ Corporation (NASDAQ: LKQ), through certain of its senior executives, misled investors regarding the performance and risks associated with its $2.1 billion acquisition of Uni-Select, including the FinishMaster business. According to the securities fraud complaint, LKQ Corporation, through certain of its officers, made materially false and misleading statements and failed to disclose that: (1) FinishMaster was losing major customers even before the acquisition closed; (2) the business was unable to maintain market share amid increasing competition; (3) integration efforts were not producing the expected revenue or margin benefits; and (4) competitive pricing pressure was eroding profitability. As a result, it is alleged that LKQ’s reported financial strength and growth prospects were materially overstated. Investors only began to learn the truth through a series of disclosures between April 2024 and July 2025, when LKQ cut financial guidance multiple times; reported missed revenue and margin targets; admitted that FinishMaster had been losing customers since before the acquisition; and disclosed ongoing market share losses due to competitive pricing pressure.
WHAT CAN YOU DO NOW? If you have held LKQ Corporation (NASDAQ: LKQ) shares since prior to February 27, 2023, you can seek corporate reforms, the return of funds back to the Company, and a court approved incentive award at no cost you whatsoever. Visit https://grabarlaw.com/the-latest/lkq-shareholder-investigation/, contact Joshua H. Grabar at [email protected], or call 267-507-6085 to learn more. $LKQ #LKQ #LKQCorporation
NEW ERA ENERGY & DIGITAL, INC. (NASDAQ: NUAI):
WHAT IS HAPPENING? Grabar Law Office is investigating claims on behalf of shareholders of New Era Energy & Digital, Inc. (NASDAQ: NUAI). The investigation concerns whether New Era and certain of its officers and directors breached their fiduciary duties owed to the Company.
If you purchased New Era Energy & Digital, Inc. (NASDAQ: NUAI) shares on or near the Company’s November 6, 2024 IPO, and still hold shares today, please visit https://grabarlaw.com/the-latest/newera-shareholder-investigation-2/ contact Joshua H. Grabar at [email protected], or call 267-507-6085. You may be able to seek corporate governance reforms, the return of funds back to the Company, and a court-approved incentive award at no cost to you whatsoever.
WHY? According to a recently filed federal securities fraud class action complaint, New Era (NASDAQ: NUAI) and certain of its officers allegedly made false and misleading statements concerning the Company’s Texas Critical Data Centers project, permitting progress, environmental liabilities, and related-party oil and gas transactions. The complaint alleges that New Era overstated its progress in obtaining regulatory permits and advancing its purported flagship Texas Critical Data Centers project, while publicly touting “tangible progress across all fronts including engineering, permitting, regulatory filings, and land expansion.” According to the complaint, the Company also represented to investors that it was making substantial progress toward a large-scale AI and high-performance computing data center campus in West Texas.
On December 12, 2025, however, Fuzzy Panda Research published a report alleging that New Era’s AI pivot was largely a “fantasy,” and that despite Company representations regarding permitting progress, “no applications have even been submitted” for required construction and environmental permits. The same report further alleged that a substantial number of New Era’s gas wells had been acquired from bankrupt entities tied to Company insiders and accused management of engaging in financial practices designed to enrich insiders while avoiding environmental cleanup obligations. On this news, New Era stock fell approximately 6.9% on December 12, 2025.
Then, on December 29, 2025, reports emerged that the New Mexico Attorney General had filed suit against New Era, its subsidiary Solis Partners, LLC, and Company CEO Everett Willard Gray II, alleging a “fraudulent oil-and-gas scheme” involving self-dealing transactions, shell entities, and strategic bankruptcies designed to evade plugging and remediation obligations for inactive wells. According to the complaint, the alleged scheme involved transferring wells among affiliated entities while leaving environmental liabilities behind in bankruptcy proceedings. On this news, New Era stock fell an additional 41%, closing at $2.69 per share on December 29, 2025.
WHAT CAN YOU DO NOW? If you purchased or otherwise acquired New Era Energy & Digital, Inc. (NASDAQ: NUAI) shares prior to November 6, 2024, and continue to hold shares today, you may have standing to seek corporate governance reforms, the return of funds back to the Company, and a court-approved incentive award at no cost to you whatsoever. Visit https://grabarlaw.com/the-latest/newera-shareholder-investigation-2/, email Joshua Grabar at [email protected], or call us at 267-507-6085.
#NewEraEnergy #NUAI $NUAI
POWER SOLUTIONS INTERNATIONAL, INC. (NASDAQ: PSIX):
WHAT IS HAPPENING? Grabar Law Office is investigating claims on behalf of shareholders of Power Solutions International, Inc. (NASDAQ: PSIX). The investigation concerns whether Power Solutions and certain of its executives breached their fiduciary duties.
If you purchased Power Solutions International, Inc. (NASDAQ: PSIX) shares prior to May 8, 2025, please visit https://grabarlaw.com/the-latest/psix-shareholder-investigation/, contact Joshua H. Grabar at [email protected], or call 267-507-6085. You can seek corporate reforms, the return of funds back to the Company, and a court approved incentive award at no cost you whatsoever.
WHY? According to a recently filed federal securities fraud class action complaint, Power Solutions (NASDAQ: PSIX); through certain of its officers, failed to disclose to investors: (1) the Company overstated its ability to capture sales demand for its power systems solutions, particularly within the data center market; (2) the Company understated the impact of its enhancements to manufacturing capacity to meet demand within the data center market, including the expected costs and the nature of the related “inefficiencies”; and (3) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
WHAT CAN YOU DO NOW? If you purchased or otherwise acquired Power Solutions International, Inc. (NASDAQ: PSIX) securities prior to May 8, 2025, you can seek corporate reforms, the return of funds back to the Company, and a court approved incentive award at no cost you whatsoever. Visit https://grabarlaw.com/the-latest/psix-shareholder-investigation/, contact Joshua H. Grabar at [email protected], or call 267-507-6085 to learn more. #PSIX $PSIX #PowerSolutions
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New York, New York--(Newsfile Corp. - May 19, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Hercules Capital, Inc. (NYSE: HTGC) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Hercules securities between May 1, 2025 and February 27, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/HTGC.
Hercules Case Details
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, the Complaint alleges that Defendants failed to disclose to investors:
(1) the Company overstated the due diligence with which it conducted its deal sourcing and/or loan origination process;
(2) the Company overstated the due diligence with which it conducted its portfolio valuation process;
(3) the Company reported misclassified portfolio investments;
(4) as a result of the foregoing, the Company overstated and/or misrepresented its portfolio valuations; and (5) that, as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
What's Next for Hercules Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/HTGC. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Hercules you have until May 19, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Hercules Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Hercules Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
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Contact Info
Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]
Attorney advertising.
Prior results do not guarantee similar outcomes.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/295301
Source: Bronstein, Gewirtz & Grossman, LLC
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NEW YORK, May 19, 2026 (GLOBE NEWSWIRE) -- Pomerantz LLP announces that a class action lawsuit has been filed against Hercules Capital, Inc. (“Hercules” or the “Company”) (NYSE: HTGC). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
The class action concerns whether Hercules and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
You have until May 19, 2026, to ask the Court to appoint you as Lead Plaintiff for the class if you purchased or otherwise acquired Hercules securities during the Class Period. A copy of the Complaint can be obtained at www.pomerantzlaw.com.
[Click here for information about joining the class action]
On February 27, 2026, Hunterbrook Media published a short report entitled “The Myth of Hercules Capital.” The report alleged that, “according to a former Hercules analyst who worked on deal sourcing” the Company’s process for deal sourcing essentially amounted to “[g]o[ing] on the website for Google Ventures and just see what they invest in and just copy it.” The report stated, according to a former employee, deal sourcing managers “don’t want anything else,” and essentially just rely on other investors to have done due diligence, instead of doing their own. The report continued, revealing that, “once Hercules makes the loans, the valuation process itself may warrant scrutiny,” as “[a] former member of Hercules’ finance team described a small, overstretched team with few checks in place.” This second former employee revealed the valuations team “consisted of just four people in a single reporting line responsible for dozens of companies,” with “few checks or cross-team review.” The former employee noted this was contrary to how things were done at other public companies where, in contrast “[t]here is a strong push to do things the right way, to reinvent, to make sure that we’re double-checking, triple-checking.” The report stated the former employee found this was not the case at Hercules. The report also alleged that Hercules Capital underrepresents its significant software debt exposure. The report stated the Company does this, in part, by “assign[ing] certain businesses that describe themselves as software companies to categories outside of software.” The report also cast doubt on to the Company’s book value, which marks its software debt “at 100 cents on the dollar” despite “billions worth of [software] debt across the industry falling into distressed territory.”
Following publication of the Hunterbrook report, Hercules’s stock price fell $1.22 per share, or 7.91%, to close at $14.21 per share on February 27, 2026.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.
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