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HTFBHorizon Technology Finance Corporation
$25.72$1.1B
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  4. Financial Ratios

Horizon Technology Finance Corporation (HTFB) Financial Ratios

Latest Ratios: P/E Ratio -160.8x · EV/EBITDA N/A · ROE 13.9%. (2009–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

HTFB Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$1.1B$1.1B$885M$743M$580M$520M—————
Enterprise Value$1.5B$1.4B$1.3B$1.2B$993M$739M—————
P/E Ratio →-160.7523.86——27.2718.67—————
P/S Ratio33.5825.9326.0638.8812.6511.47—————
P/B Ratio2.763.332.632.291.822.12—————
P/FCF28.7518.7322.3214.83———————
P/OCF28.7518.7322.3214.83———————

P/E links to full P/E history page with 30-year chart

HTFB EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—34.9237.7860.6421.6716.32—————
EV / EBITDA—47.38——45.4326.23—————
EV / EBIT—47.38——45.4326.23—————
EV / FCF—25.2232.3523.13———————

HTFB Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin67.6%67.6%5.0%-51.7%58.1%73.4%51.6%71.9%70.1%50.7%539.0%
Operating Margin80.6%80.6%-12.2%-82.2%47.7%62.2%32.9%66.6%61.3%99.3%-967.1%
Net Profit Margin111.2%111.2%-16.6%-90.0%46.1%61.3%31.8%65.8%61.2%77.3%279.3%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE13.9%13.9%-1.7%-5.3%7.5%12.1%3.2%12.3%9.7%7.0%-3.3%
ROA5.6%5.6%-0.7%-2.2%3.3%6.0%1.7%6.4%5.2%4.1%-1.9%
ROIC3.1%3.1%-0.4%-1.5%2.6%4.7%1.3%5.0%4.0%4.0%5.0%
ROCE4.3%4.3%-0.5%-2.0%3.5%6.3%1.8%6.6%6.6%9.0%11.4%

HTFB Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity1.491.491.391.431.361.050.870.830.940.700.69
Debt / EBITDA15.6915.69——19.859.1428.217.706.5412.902.02
Net Debt / Equity—1.151.181.281.300.890.780.790.850.650.42
Net Debt / EBITDA12.1912.19——18.917.7925.257.385.8912.001.24
Debt / FCF—6.4910.038.30———8.29——1.12
Interest Coverage0.920.92-0.13-0.541.142.340.682.373.052.860.15

HTFB Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio1.241.245.083.922.594.142.921.662.940.110.43
Quick Ratio1.241.245.083.922.594.142.921.662.940.110.43
Cash Ratio1.111.113.962.891.443.462.230.822.230.070.37
Asset Turnover—0.050.040.020.060.090.050.090.080.05-0.01
Inventory Turnover———————————
Days Sales Outstanding———————————

HTFB Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield5.0%——————————
Payout Ratio————141.1%88.4%334.9%—105.1%142.3%—

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield—4.2%——3.7%5.4%—————
FCF Yield3.5%5.3%4.5%6.7%———————
Buyback Yield0.0%——————————
Total Shareholder Yield5.0%——————————
Shares Outstanding—$42M$36M$31M$25M$20M$18M$13M$12M$12M$12M

Key Metrics

Growth RegimeMixed
ProfitabilityStrained
Balance SheetStrained
Cash FlowDeteriorating
Top Statement Risk

Portfolio Valuation Volatility

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2025Q4)

Valuation Disconnected from Earnings Reality

According to recent market data, HTFB trades at a forward P/E of 24.59, which appears significantly detached from the firm's historical earnings volatility and the broader BDC sector, suggesting that investors are pricing in speculative recovery potential rather than current, tangible cash-generating performance metrics.

The elevated P/E multiple relative to peers suggests the market may be misinterpreting the firm's earnings quality, potentially overvaluing the warrant portfolio's upside while ignoring the underlying credit risks. Investors should monitor whether this premium valuation can be sustained if future quarterly results continue to show the erratic swings in net income observed in recent filings.

Margin Instability Masks Operational Performance

As reported in financial statements, HTFB's net margin has oscillated between extreme negative territory and anomalous highs exceeding 100%, indicating that the firm's profitability is driven primarily by non-recurring fair-value adjustments rather than the sustainable interest income expected from a senior secured lending business model.

The extreme volatility in operating margins suggests that the company's core lending activities are frequently overshadowed by mark-to-market accounting impacts. This lack of margin consistency makes it difficult to assess the true earning power of the loan book, warranting caution regarding the sustainability of current dividend distributions.

Capital Efficiency Impaired by Volatility

Based on HTFB's reported figures, ROIC has remained consistently low or negative over the past ten quarters, peaking at only 3.2% in 2025Q3, which suggests that the company is struggling to generate meaningful returns on its invested capital compared to more efficient peers in the BDC sector.

The inability to maintain a positive and stable ROIC indicates that the firm's capital allocation strategy may be failing to overcome the drag of non-performing assets or excessive overhead. This trend suggests that the company is currently failing to compound shareholder value, necessitating a closer look at the underwriting quality of the underlying loan portfolio.

Leverage Profile Reflects Defensive Positioning

As indicated by recent SEC filings, HTFB maintains a debt-to-equity ratio of 1.49x, which, while higher than the 1.26x observed in 2023Q3, suggests a relatively conservative capital structure that may be intended to mitigate risk during periods of heightened uncertainty in the venture capital funding environment.

While the current leverage level appears manageable, the firm's interest coverage ratio has shown significant weakness, frequently dipping into negative territory. This suggests that despite a moderate debt load, the company's ability to service its obligations remains highly sensitive to the timing of cash inflows from its investment portfolio.

Misapplication of Net Margin Metrics

Investors frequently misapply net margin as a proxy for operational efficiency in HTFB, failing to recognize that in the BDC business model, this metric is heavily distorted by non-cash fair-value marks on equity warrants and unrealized gains that do not represent actual cash flow generation.

Relying on net margin obscures the underlying credit health of the loan book, as it conflates accounting gains with recurring interest income. Analysts should instead focus on Net Investment Income (NII) and cash-based interest coverage to better understand the firm's true ability to sustain its dividend and cover its debt obligations.

Download Financial Ratios Data

Includes 30+ ratios · 17 years · Updated daily

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HTFB — Frequently Asked Questions

Quick answers to the most common questions about buying HTFB stock.

What is Horizon Technology Finance Corporation's P/E ratio?

Horizon Technology Finance Corporation's current P/E ratio is -160.8x. The historical average is 23.3x.

What is Horizon Technology Finance Corporation's ROE?

Horizon Technology Finance Corporation's return on equity (ROE) is 13.9%. The historical average is 6.5%.

Is HTFB stock overvalued?

Based on historical data, Horizon Technology Finance Corporation is trading at a P/E of -160.8x. Compare with industry peers and growth rates for a complete picture.

What is Horizon Technology Finance Corporation's dividend yield?

Horizon Technology Finance Corporation's current dividend yield is 4.99%.

What are Horizon Technology Finance Corporation's profit margins?

Horizon Technology Finance Corporation has 67.6% gross margin and 80.6% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Horizon Technology Finance Corporation have?

Horizon Technology Finance Corporation's Debt/EBITDA ratio is 15.7x, indicating high leverage. A ratio above 4x may signal elevated financial risk.