Latest Ratios: P/E Ratio 4.4x · EV/EBITDA N/A · ROE -0.8%. (2009–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $205M | $273M | $325M | $408M | $287M | $319M | $232M | $174M | $130M | $129M | $122M |
| Enterprise Value | $572M | $641M | $722M | $823M | $700M | $538M | $398M | $320M | $244M | $217M | $180M |
| P/E Ratio → | 4.42 | 6.14 | — | — | 13.49 | 11.45 | 36.78 | 8.92 | 9.96 | 13.52 | — |
| P/S Ratio | 5.12 | 6.82 | 9.56 | 21.35 | 6.26 | 7.04 | 11.60 | 5.88 | 6.10 | 10.42 | — |
| P/B Ratio | 0.62 | 0.86 | 0.97 | 1.26 | 0.90 | 1.30 | 1.09 | 0.95 | 0.97 | 0.96 | 0.87 |
| P/FCF | 3.62 | 4.82 | 8.19 | 8.14 | — | — | — | 9.93 | — | — | 2.32 |
| P/OCF | 3.62 | 4.82 | 8.19 | 8.14 | — | — | — | 9.93 | — | — | 2.32 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 16.01 | 21.28 | 43.11 | 15.28 | 11.89 | 19.92 | 10.79 | 11.47 | 17.47 | — |
| EV / EBITDA | — | — | — | — | 32.03 | 19.10 | 60.50 | 16.21 | 12.57 | 29.72 | 3.81 |
| EV / EBIT | — | — | — | — | 32.03 | 19.10 | 60.50 | 16.21 | 12.57 | 14.66 | 205.03 |
| EV / FCF | — | 11.31 | 18.22 | 16.44 | — | — | — | 18.22 | — | — | 3.44 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 18.0% | 18.0% | 5.0% | -51.7% | 58.1% | 73.4% | 51.6% | 71.9% | 70.1% | 50.7% | 539.0% |
| Operating Margin | -4.0% | -4.0% | -12.2% | -82.2% | 47.7% | 62.2% | 32.9% | 66.6% | 61.3% | 99.3% | -967.1% |
| Net Profit Margin | -6.6% | -6.6% | -16.6% | -90.0% | 46.1% | 61.3% | 31.8% | 65.8% | 61.2% | 77.3% | 279.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -0.8% | -0.8% | -1.7% | -5.3% | 7.5% | 12.1% | 3.2% | 12.3% | 9.7% | 7.0% | -3.3% |
| ROA | -0.3% | -0.3% | -0.7% | -2.2% | 3.3% | 6.0% | 1.7% | 6.4% | 5.2% | 4.1% | -1.9% |
| ROIC | -0.2% | -0.2% | -0.4% | -1.5% | 2.6% | 4.7% | 1.3% | 5.0% | 4.0% | 4.0% | 5.0% |
| ROCE | -0.2% | -0.2% | -0.5% | -2.0% | 3.5% | 6.3% | 1.8% | 6.6% | 6.6% | 9.0% | 11.4% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.49 | 1.49 | 1.39 | 1.43 | 1.36 | 1.05 | 0.87 | 0.83 | 0.94 | 0.70 | 0.69 |
| Debt / EBITDA | — | — | — | — | 19.85 | 9.14 | 28.21 | 7.70 | 6.54 | 12.90 | 2.02 |
| Net Debt / Equity | — | 1.15 | 1.18 | 1.28 | 1.30 | 0.89 | 0.78 | 0.79 | 0.85 | 0.65 | 0.42 |
| Net Debt / EBITDA | — | — | — | — | 18.91 | 7.79 | 25.25 | 7.38 | 5.89 | 12.00 | 1.24 |
| Debt / FCF | — | 6.49 | 10.03 | 8.30 | — | — | — | 8.29 | — | — | 1.12 |
| Interest Coverage | -0.05 | -0.05 | -0.13 | -0.54 | 1.14 | 2.34 | 0.68 | 2.37 | 3.05 | 2.86 | 0.15 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.24 | 1.24 | 5.08 | 3.92 | 2.59 | 4.14 | 2.92 | 1.66 | 2.94 | 0.11 | 0.43 |
| Quick Ratio | 1.24 | 1.24 | 5.08 | 3.92 | 2.59 | 4.14 | 2.92 | 1.66 | 2.94 | 0.11 | 0.43 |
| Cash Ratio | 1.11 | 1.11 | 3.96 | 2.89 | 1.44 | 3.46 | 2.23 | 0.82 | 2.23 | 0.07 | 0.37 |
| Asset Turnover | — | 0.05 | 0.04 | 0.02 | 0.06 | 0.09 | 0.05 | 0.09 | 0.08 | 0.05 | -0.01 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 27.0% | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | 141.1% | 88.4% | 334.9% | — | 105.1% | 142.3% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 22.6% | 16.3% | — | — | 7.4% | 8.7% | 2.7% | 11.2% | 10.0% | 7.4% | — |
| FCF Yield | 27.7% | 20.7% | 12.2% | 12.3% | — | — | — | 10.1% | — | — | 43.0% |
| Buyback Yield | 0.0% | — | — | — | — | — | — | — | — | — | — |
| Total Shareholder Yield | 27.0% | — | — | — | — | — | — | — | — | — | — |
| Shares Outstanding | — | $42M | $36M | $31M | $25M | $20M | $18M | $13M | $12M | $12M | $12M |
Portfolio Credit Quality Deterioration
According to recent market data, HRZN trades at a price-to-book ratio of 0.59, which, as noted in financial statements, suggests that investors are pricing in significant potential write-downs of the company's Level 3 venture debt assets rather than anticipating future growth or capital appreciation.
The current P/B discount relative to peers like Hercules Capital indicates a lack of market confidence in the carrying value of the loan portfolio. While the low P/E multiple might appear attractive, it likely masks the risk of further earnings dilution from credit losses and non-accrual events.
Based on reported figures, HRZN's net margin has experienced extreme volatility, swinging from 198.1% in 2025Q1 to a negative -39.5% in 2023Q4, which highlights the structural fragility of an externally managed BDC model when faced with rising credit provisions and interest expense burdens.
The inability to maintain consistent positive net margins suggests that the interest income generated is insufficient to cover the firm's fixed management fees and the rising cost of debt. Investors should monitor whether the recent negative margin trend represents a permanent impairment of the firm's earning power.
As reported in financial statements, HRZN's ROIC has trended downward into negative territory, reaching -2.1% in 2025Q2, which indicates that the company is currently destroying shareholder capital rather than compounding it through its venture debt investment activities in the current high-rate environment.
The decline in ROIC reflects the difficulty of achieving adequate risk-adjusted returns when the underlying portfolio companies face liquidity constraints. This trend warrants further investigation into whether the firm's underwriting standards have been compromised to maintain loan book volume.
Based on recent SEC filings, HRZN's debt-to-equity ratio of 1.49 as of 2025Q4 sits near the upper bound of its historical range, leaving the firm with limited capacity to absorb further asset markdowns without breaching critical regulatory or debt covenant thresholds.
The high leverage profile increases the sensitivity of the firm's equity to even minor fluctuations in the fair value of its loan portfolio. This lack of balance sheet cushion suggests that the company may be forced to curtail new originations or seek dilutive equity financing.
While the 28.4% dividend yield often attracts retail interest, as indicated by recent financial disclosures, this metric is frequently misapplied to HRZN because it obscures the fact that distributions are not being covered by recurring cash flows, potentially signaling a return of capital rather than earnings.
Investors should prioritize the analysis of cash-based interest coverage over dividend yield to assess the true sustainability of payouts. Relying on the headline yield ignores the underlying deterioration in the firm's ability to generate the cash necessary to support such high distributions.
Includes 30+ ratios · 17 years · Updated daily
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Quick answers to the most common questions about buying HRZN stock.
Horizon Technology Finance Corporation's current P/E ratio is 4.4x. The historical average is 16.8x.
Horizon Technology Finance Corporation's return on equity (ROE) is -0.8%. The historical average is 5.6%.
Based on historical data, Horizon Technology Finance Corporation is trading at a P/E of 4.4x. Compare with industry peers and growth rates for a complete picture.
Horizon Technology Finance Corporation's current dividend yield is 27.02%.
Horizon Technology Finance Corporation has 18.0% gross margin and -4.0% operating margin.