Trinity Capital (TRIN) AI Stock Analysis

• Market Cap: $1.01B
• Dividend Yield: 13.97%
• Average Volume (3M): 871.55K
• Price to Earnings (P/E): 6.6
• Beta (1Y): 0.48
• Revenue Growth: 33.44%
• EPS Growth: 25.22%
• Country: US
• Employees: 58
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.52
• Shares Outstanding: 70,314,160
• 10 Day Avg. Volume: 805,879
• 30 Day Avg. Volume: 871,548
• PEG Ratio: -13.66
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 3.36
• P/FCF Ratio: -2.40
• Enterprise Value/Market Cap: 2.25
• Enterprise Value/Revenue: 8.76
• Enterprise Value/Gross Profit: 9.97
• Enterprise Value/Ebitda: 12.09
• 1Y Price Target: $16.13
• Price Target Upside: 10.48% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 2.1
• Revenue Forecast (FY): $287.60M

• Rating: 74 Outperform
• Price Target: $16.50 ▲(13.01% Upside)

Trinity Capital's strong financial performance and attractive valuation are the most significant factors driving the score. The company's robust revenue growth and high dividend yield are appealing, but concerns about cash flow management and liabilities slightly offset these strengths. The earnings call provided positive insights into the company's growth and credit quality, further supporting the score.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong demand for Trinity Capital's financing solutions and effective market penetration, supporting long-term business expansion.

Strong Asset Management

The growth in assets under management reflects Trinity Capital's ability to attract and manage substantial investments, enhancing its market position and financial stability.

Consistent Dividend Distribution

Consistent dividend payments demonstrate Trinity Capital's commitment to returning value to shareholders and its robust cash generation capabilities.

Negative Factors

Negative Cash Flow

Persistent negative cash flow suggests challenges in converting earnings into cash, which could impact Trinity Capital's ability to fund operations and growth sustainably.

High Liabilities

High liabilities may strain Trinity Capital's financial flexibility, posing risks to its long-term financial health and ability to leverage future opportunities.

Nonaccruals and Portfolio Concerns

The presence of nonaccruals indicates potential issues in portfolio performance, which could affect Trinity Capital's credit quality and future earnings stability.

Trinity Capital Business Overview & Revenue Model

Company Description

Trinity Capital Inc. is a business development company. It is a venture capital firm specializing in venture debt to growth stage companies looking for loans and/or equipment financing. Trinity Capital Inc. was founded in 2019 is based in Phoenix, Arizona with additional offices in Lutherville-Timonium, Maryland, San Diego, California and Austin, Texas.

How the Company Makes Money

Trinity Capital generates revenue primarily through interest income from its debt investments and fees associated with its equity investments. The company typically provides secured loans and other forms of financing to growth-stage companies, which allows it to earn interest on the principal amount of these loans. Additionally, Trinity may earn management fees for advising and managing its investment portfolio. The company's partnerships with emerging companies and its strategic focus on sectors with high growth potential contribute to its revenue model, while the recovery of the economy and the performance of its portfolio companies can significantly impact its earnings.

Trinity Capital Financial Statement Overview

Summary

Trinity Capital has shown robust revenue and profit growth with impressive margins, reflecting strong operational performance. However, high liabilities and negative cash flow are areas of concern. The company needs to focus on converting earnings into cash flow to ensure long-term sustainability.

Income Statement

Trinity Capital has demonstrated strong revenue growth, increasing from $9.39 million in 2022 to $226.73 million in 2024. The gross profit margin for 2024 is 80.8%, indicating efficient cost management. The net profit margin has also improved substantially to 52.3% in 2024, showcasing strong profitability. However, the revenue growth rate has been volatile, with significant fluctuations over the years.

Balance Sheet

The company has improved its equity base from $238.75 million in 2020 to $822.98 million in 2024, reflecting strong shareholder support and financial stability. The debt-to-equity ratio has decreased, indicating better leverage management. However, the equity ratio stands at 46.4% for 2024, suggesting moderate reliance on debt financing. While the return on equity is impressive at 14.4% for 2024, indicating good profitability, the high total liabilities remain a concern.

Cash Flow

Trinity Capital shows negative free cash flow for consecutive years, with a significant outflow of $316.91 million in 2024. This suggests challenges in generating positive cash flow from operations. The operating cash flow to net income ratio is negative, indicating that earnings are not translating effectively into cash flows. However, the company has managed to secure financing, as seen by the positive financing cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	260.03M	226.73M	174.84M	9.39M	155.09M	23.82M
Gross Profit	228.49M	183.21M	141.75M	-17.80M	139.57M	13.39M
EBITDA	188.46M	118.27M	121.19M	101.46M	0.00	0.00
Net Income	151.97M	115.60M	76.89M	-30.38M	132.32M	-6.11M
Balance Sheet
Total Assets	2.25B	1.77B	1.31B	1.13B	937.12M	559.71M
Cash, Cash Equivalents and Short-Term Investments	9.47M	9.63M	4.76M	47.92M	31.68M	44.66M
Total Debt	0.00	877.67M	646.89M	610.59M	455.35M	299.75M
Total Liabilities	1.25B	951.26M	699.82M	666.79M	490.58M	320.96M
Stockholders Equity	998.26M	822.98M	611.16M	459.65M	446.53M	238.75M
Cash Flow
Free Cash Flow	-352.23M	-317.33M	-99.00M	-235.94M	-242.88M	-58.48M
Operating Cash Flow	-352.09M	-316.91M	-96.26M	-235.74M	-241.67M	-58.23M
Investing Cash Flow	-14.07M	-420.00K	-2.74M	-194.00K	-1.20M	-91.98M
Financing Cash Flow	353.51M	322.19M	93.15M	199.81M	228.52M	211.31M

Trinity Capital Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 14.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRIN, the sentiment is Negative. The current price of 14.6 is below the 20-day moving average (MA) of 14.90, below the 50-day MA of 15.22, and above the 200-day MA of 14.36, indicating a neutral trend. The MACD of -0.12 indicates Positive momentum. The RSI at 41.98 is Neutral, neither overbought nor oversold. The STOCH value of 11.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRIN.

Trinity Capital Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRIN	74 Outperform	$1.01B	6.59	16.18%	13.97%	33.44%	25.22%
GSBD	71 Outperform	$1.12B	7.89	9.36%	16.85%	-55.16%	47.09%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CGBD	67 Neutral	$884.31M	10.54	7.03%	14.19%	-8.23%	-35.72%
CSWC	66 Neutral	$1.18B	13.24	9.80%	13.21%	25.28%	-1.69%
BCSF	66 Neutral	$904.27M	8.38	9.42%	12.96%	-3.29%	-16.86%
NMFC	65 Neutral	$998.55M	14.84	5.43%	13.40%	36.15%	-38.59%

Trinity Capital Corporate Events

Trinity Capital Inc. Achieves Record Funding and Income Growth

Trinity Capital Inc., a prominent alternative asset manager, specializes in providing private credit market access and tailored debt solutions for growth-oriented companies across various sectors, including Sponsor Finance, Equipment Finance, Tech Lending, Asset-Based Lending, and Life Sciences. Headquartered in Phoenix, Arizona, the company operates internationally with a strategic presence in the United States and London.

Trinity Capital Reports Record Q3 2025 Financial Results

On November 5, 2025, Trinity Capital Inc. reported its third quarter 2025 financial results, highlighting a record funding of $471 million and a 22.3% year-over-year growth in total investment income. The company achieved a net asset value of $998 million, reflecting a 31.9% increase from the previous year. The results demonstrate strong momentum in Trinity’s operations, with significant investment activity and consistent dividend distributions, underscoring its robust market positioning and commitment to delivering value to stakeholders.

The most recent analyst rating on (TRIN) stock is a Buy with a $17.00 price target. To see the full list of analyst forecasts on Trinity Capital stock, see the TRIN Stock Forecast page.

Trinity Capital Announces Q3 2025 Portfolio Activity

On October 9, 2025, Trinity Capital Inc. announced its third-quarter 2025 portfolio activity, highlighting the origination of $773 million in new commitments and funding of $471 million in investments. The company plans to release its full financial results on November 5, 2025, with a conference call scheduled for the same day. This activity underscores Trinity Capital’s robust investment operations and its strategic positioning in the alternative asset management industry.

The most recent analyst rating on (TRIN) stock is a Buy with a $16.00 price target. To see the full list of analyst forecasts on Trinity Capital stock, see the TRIN Stock Forecast page.

Trinity Capital Enters $250M Stock Sale Agreement

On August 29, 2025, Trinity Capital Inc. entered into open market sale agreements with Jefferies LLC, B. Riley Securities, Inc., Keefe, Bruyette & Woods, Inc., and Compass Point Research & Trading, LLC, allowing the company to issue and sell up to $250 million in shares of its common stock. The proceeds from this offering are intended for investments aligned with the company’s strategy and general corporate purposes, potentially impacting its market operations and stakeholder interests.

The most recent analyst rating on (TRIN) stock is a Sell with a $13.50 price target. To see the full list of analyst forecasts on Trinity Capital stock, see the TRIN Stock Forecast page.

Trinity Capital’s Earnings Call Highlights Strong Growth

Trinity Capital’s recent earnings call reflected a generally positive sentiment, underscored by significant financial achievements and strategic advancements. The company reported notable increases in net investment income and net asset value, alongside successful capital raising efforts and strong credit quality. Despite challenges such as an increase in the watch list portfolio and a new addition to nonaccrual status, the positive aspects of the call strongly outweighed these concerns, presenting an optimistic outlook for the company’s future.

Trinity Capital Reports Strong Q2 2025 Results

Trinity Capital Inc. is an international alternative asset manager specializing in private credit markets, providing tailored debt solutions to growth-oriented companies across various sectors. In its second quarter of 2025, Trinity Capital reported a significant increase in total investment income, reaching $69.5 million, a 27.3% rise from the previous year. The company’s net asset value hit a new high of $923.6 million, with a return on average equity of 15.9%. These results reflect strong momentum in Trinity’s direct lending and RIA platform growth.

Trinity Capital Reports Strong Q2 2025 Financial Results

On August 6, 2025, Trinity Capital Inc. reported its financial results for the second quarter of 2025, highlighting a 27.3% year-over-year increase in total investment income, reaching $69.5 million. The company’s Net Asset Value (NAV) hit a new high of $923.6 million, marking a 35.8% increase from the previous year. The quarter also saw a net increase in net assets resulting from operations of $41.4 million. Trinity Capital’s strong performance was attributed to disciplined execution across its credit strategies and sustained demand from growth-oriented companies, as noted by CEO Kyle Brown. The company maintained its momentum in direct lending and RIA platform growth, with a focus on delivering value to borrowers, partners, and investors.

The most recent analyst rating on (TRIN) stock is a Buy with a $15.50 price target. To see the full list of analyst forecasts on Trinity Capital stock, see the TRIN Stock Forecast page.