Hercules Capital Inc

HTGC stock is not Shariah-compliant

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About Hercules Capital Inc (HTGC)

Hercules Capital is a publicly traded Business Development Company (BDC) that provides venture debt and senior secured loans primarily to venture capital-backed, privately held companies across various stages of growth. The firm serves businesses in technology, life sciences, and other innovation-driven sectors, financing needs such as acquisitions, management buyouts, recapitalizations, and corporate expansions. Headquartered in the United States, Hercules Capital also extends financing to select publicly traded companies and lower middle market firms requiring specialized growth capital solutions.

Frequently asked questions

Is Hercules Capital Inc (HTGC) stock halal to invest in?
As of , HTGC is not Shariah-compliant and is therefore not considered a halal investment. This assessment is based on the data available in Hercules Capital Inc's most recent financial reports.
Does Hercules Capital Inc have any interest income?
Yes, Hercules Capital Inc does have interest income. According to the company's latest annual report for the fiscal year ending Dec 31, 2025, Hercules Capital Inc reported revenue of $547,096,000 and interest income of $507,887,000. The interest income represents 92.83% of the combined total. It's worth noting that some companies may report additional interest income as part of their revenue. For a detailed breakdown of all interest income and revenue segments, please refer to the full Shariah compliance report available in the Zoya app.
What guidelines are used to determine if Hercules Capital Inc stock is Shariah-compliant?
We use the guidelines set by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) to assess Shariah compliance. AAOIFI is a leading international organization that establishes standards for Islamic finance. Their guidelines help determine if a company's business activities and financial structure align with Islamic principles. These standards are widely respected in the Islamic finance industry and provide a consistent framework for evaluating the Shariah compliance of stocks and other financial instruments. AAOIFI's Shariah board includes renowned scholars such as Sheikh Muhammad Taqi Usmani, Sheikh Mohamed Ali Elgari, Sheikh Abdullah AlManea, Sheikh Nizam Yaquby, and Dr. Aznan Hassan.
How often is Hercules Capital Inc stock reviewed for Shariah compliance?
The Shariah compliance status of Hercules Capital Inc stock is reviewed on a regular basis, with a minimum frequency of once per quarter. However, if there are any significant changes or major developments in the company's operations that may impact its compliance, an immediate review will be conducted to ensure ongoing adherence to Shariah principles.
How can I stay updated on Hercules Capital Inc's compliance status?
To stay informed, we recommend regularly checking Zoya for updates. You can also enable alerts within the Zoya app to receive notifications whenever there is a change in the Shariah compliance of HTGC, or any other stocks you are monitoring. This is particularly useful as Shariah compliance can fluctuate due to changes in a company's financial ratios or business activities.
Are dividends from Hercules Capital Inc stock considered halal?
No, dividends from HTGC are not considered halal because the stock is currently not Shariah-compliant. When a stock is non-compliant, any dividends received from it are considered impermissible income and should be donated to charity as a form of purification. To learn more about the purification process and how to handle impermissible income, read our comprehensive guide.
Do I need to pay Zakat on my Hercules Capital Inc shares?
If you hold Hercules Capital Inc stock as an investment, through an Employee Stock Ownership Plan (ESOP), stock options, restricted stock units (RSUs), or any other form of stock ownership, and meet the Nisab threshold, you may be required to pay Zakat on it. The calculation of Zakat on investments can be complex and depends on various factors. To help make this easy, we've created a free Zakat calculator for stocks. For a more seamless experience, use the Zoya mobile app, where you can link your brokerage account to automatically import holdings.

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