Hercules Capital Reports Q1 2025 Earnings Miss

Hercules Capital reported first-quarter earnings per share of $0.45, falling short of analyst expectations by $0.01 to $0.02, and total investment income of about $119.5 million, which also missed forecasts and marked a year-over-year decline. Despite these misses, the company saw an 11% increase in assets under management, now exceeding $5 billion, reflecting underlying growth in asset management. Shares of Hercules Capital have declined roughly 10.9% year-to-date, underperforming the broader market. However, analysts remain optimistic, with an average price target of $21.19 suggesting an 18.96% upside from current levels, and GuruFocus assigns a fair value estimate of $26.14, implying a potential upside of 46.77%. The consensus among analysts is an 'Outperform' rating, indicating continued confidence in the stock's long-term prospects despite recent earnings challenges.