Horizon Technology Finance Corp

Horizon Technology Finance Corp (HRZN) Stock Analysis

$4.030

+0.177 (+4.40%)At close

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High
4.119
Open
3.970
VWAP
4.03
Volume
423.40K
Mkt Cap
426.76M
Low
3.945
Amount
1.71M
EV/EBITDA, TTM
5.60

Horizon Technology Finance Corporation is externally managed by Horizon Technology Finance Management LLC, an affiliate of Monroe Capital, is a specialty finance company that provides capital in the form of secured loans to venture capital and private equity-backed companies and publicly traded companies in the technology, life science, healthcare information and services, and sustainability industries. The investment objective of is to maximize its investment portfolio’s return by generating current income from the debt investments it makes and capital appreciation from the warrants it receives when making such debt investments. It offers loans and leverages selective origination, underwriting and relationships in the venture community to provide non-dilutive capital to growth-stage companies. Monroe Capital is a premier asset management firm specializing in private credit markets across various strategies, including direct lending, technology finance, and venture debt.

AI analysis of Horizon Technology Finance Corp (HRZN)

Buy

Horizon Technology Finance Corp is a good buy right now due to its attractive valuation and high dividend yield. The current price is $4.02, significantly below the 52-week high of $6.85, indicating potential for upside. Additionally, the forward P/E ratio is 5.22, suggesting the stock is undervalued compared to its earnings potential. The company also offers a forward yield of 15.82%, making it appealing for income-focused investors. However, the main risk is the recent decline in net asset value per share, which fell by $0.75 due to write-downs on large investments, highlighting challenges in risk management.

Analyst Ratings (7)

+65.51% upside
Hold
1 Buy
5 Hold
1 Sell
Current: 4.03
Low
6.00
Average
6.67
High
7.50

UBS

2026-09-01

Price Target

—

Neutral

Compass Point

2026-08-26

Price Target

$5.50

Buy

Keefe Bruyette

2026-08-21

Price Target

$5

Market Perform

UBS

2026-05-18

Price Target

—

Neutral

Oppenheimer

2026-03-24

Price Target

$6

Perform

Valuation Metrics

The current forward P/E ratio for Horizon Technology Finance Corp (HRZN) is 5.15, compared to its 5-year average forward P/E of 7.40.

Forward P/E

Undervalued
5Y Average P/E
7.40
Current P/E
5.15
Overvalued
9.12
Undervalued
5.68

Forward EV/EBITDA

Overvalued
5Y Average EV/EBITDA
1.02
Current EV/EBITDA
5.60
Overvalued
3.34
Undervalued
-1.31

Forward P/S

Undervalued
5Y Average P/S
3.27
Current P/S
2.25
Overvalued
4.01
Undervalued
2.54

Alphio AI Price Scenarios for HRZN

Scenario prices are the last monthly forecast band of the current year. Probabilities are fixed model weights (25 / 50 / 25), not guarantees.

B

Bull

Bull · 25%HRZN

$5.90

Scenario price

B

Base

Base · 50%HRZN

$5.62

Scenario price

B

Bear

Bear · 25%HRZN

$4.64

Scenario price

Events Timeline

2026-09-10 (ET)

08:30:00

Horizon and CR Financial Provide $20M Credit Facility to NeoVolta

2026-08-04 (ET)

17:00:00

Horizon Net Asset Value Drops to $417.5 Million

2026-05-05 (ET)

17:00:00

Horizon Completes Merger with MRCC, Excited for Next Chapter

2026-04-16 (ET)

08:10:00

Horizon Technology Provides Stellar Cyber with Up to $25M Credit Facility

2026-03-23 (ET)

08:10:00

Horizon Technology Provides $40M Loan to Hyperfine

News

HRZN FAQ — answered by Alphio AI

Horizon Technology Finance Corporation is externally managed by Horizon Technology Finance Management LLC, an affiliate of Monroe Capital, is a specialty finance company that provides capital in the form of secured loans to venture capital and private equity-backed companies and publicly traded companies in the technology, life science, healthcare information and services, and sustainability industries. The investment objective of is to maximize its investment portfolio’s return by generating current income from the debt investments it makes and capital appreciation from the warrants it receives when making such debt investments. It offers loans and leverages selective origination, underwriting and relationships in the venture community to provide non-dilutive capital to growth-stage companies. Monroe Capital is a premier asset management firm specializing in private credit markets across various strategies, including direct lending, technology finance, and venture debt. It operates in the Financials sector.

Horizon Technology Finance Corp is a good buy right now due to its attractive valuation and high dividend yield. The current price is $4.02, significantly below the 52-week high of $6.85, indicating potential for upside. Additionally, the forward P/E ratio is 5.22, suggesting the stock is undervalued compared to its earnings potential. The company also offers a forward yield of 15.82%, making it appealing for income-focused investors. However, the main risk is the recent decline in net asset value per share, which fell by $0.75 due to write-downs on large investments, highlighting challenges in risk management.

7 analysts cover HRZN: 1 rate it Buy, 5 Hold and 1 Sell. The average price target is 6.67.

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This page is for research only and is not investment advice. Models can be wrong. Past performance does not guarantee future results.

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