FeesSafety
Pluang+

Hercules Capital outperforms Ares Capital with better returns, yield, and credit quality despite premium pricing.

Market News
27 Oct 2026, 01:56 WIB
Seeking Alpha
View Source
Bullish
Hercules Capital outperforms Ares Capital with better returns, yield, and credit quality despite premium pricing.

Hercules Capital, Inc. (HTGC) delivers superior total returns, higher yields, and stronger credit metrics compared to Ares Capital Corporation (ARCC), despite trading at a premium to its net asset value. HTGC boasts a higher asset coverage ratio and lower non-accruals, indicating better credit quality and portfolio resilience. Its bonds and baby bonds offer more attractive yields with comparable or lower credit risk, making HTGC a preferred choice for fixed income investors over ARCC, which remains the BDC sector benchmark. This performance highlights HTGC's operational efficiency and robust portfolio management as key factors driving investor preference.

As of Oct 27, 2026 06:11 WIB, Ares Capital Corporation (ARCC) trades at USD 18.66 on Pluang with a slight 1-day gain of 0.11%. The stock maintains a dividend yield of 10.3% and a market cap of $13.38 billion. This stable performance contrasts with the article's focus on Hercules Capital's stronger credit metrics and higher yields, highlighting ARCC's ongoing role as a benchmark in the BDC sector.

More News (ARCC)

banner-footerbanner-footer

Invest & Trade with
#1 Award-Winning Investment Super App