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Trinity Capital, Inc. (TRIN)
NASDAQ:TRIN
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Trinity Capital (TRIN) AI Stock Analysis

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TRIN

Trinity Capital

(NASDAQ:TRIN)

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Outperform 71 (OpenAI - 5.2)
Rating:71Outperform
Price Target:
$20.00
â–²(15.87% Upside)
Action:Reiterated
Date:08/06/26
TRIN scores well on technical strength, attractive valuation (low P/E and high yield), and a generally upbeat earnings call with dividend stability and strong operating momentum. The primary constraint on the score is financial quality risk driven by consistently negative operating/free cash flow across most periods (including TTM) and meaningful leverage, which can pressure funding flexibility despite strong reported profitability.
Positive Factors
Platform Scale & Origination
Sustained, large-scale origination capability and rapid AUM growth indicate a durable, repeatable engine for interest and fee income. Higher funding capacity and deal flow improve diversification, allow selective underwriting, and support long-term earnings growth independent of short-term market swings.
Negative Factors
Weak Cash Generation
Persistent negative operating and free cash flow indicate that reported net income is not consistently translating into cash. This structural cash-conversion weakness increases dependence on external financing for growth and distributions, heightening funding risk if capital markets tighten.
Read all positive and negative factors
Positive Factors
Negative Factors
Platform Scale & Origination
Sustained, large-scale origination capability and rapid AUM growth indicate a durable, repeatable engine for interest and fee income. Higher funding capacity and deal flow improve diversification, allow selective underwriting, and support long-term earnings growth independent of short-term market swings.
Read all positive factors

Trinity Capital (TRIN) vs. SPDR S&P 500 ETF (SPY)

Trinity Capital Business Overview & Revenue Model

Company Description
Trinity Capital Inc. is a business development company specializing in term loans, equipment financing, and private equity-related investments. The firm provides tech lending, equipment financing, life sciences, warehouse lending, and sponsor fina...
How the Company Makes Money
Trinity Capital primarily makes money by originating and holding income-producing loans to venture-backed companies and earning interest income on those loans. Key revenue streams generally include: (1) recurring interest income from portfolio loa...

Trinity Capital Earnings Call Summary

Earnings Call Date:Aug 05, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 04, 2026
Earnings Call Sentiment Positive
The call highlighted strong operational momentum: record NAV, significant AUM growth, record originations, solid investment income growth (25% YoY), robust credit metrics (non-accruals <1%, 99% performing), and expansion of fee-generating businesses (SBIC, JV, ELS). Key short-term headwinds were largely timing and mix-driven — back-end weighted fundings, elevated early repayments, and an ~80 bps QoQ decline in effective yields — which management expects will largely normalize with redeployment and fund fee ramp. Given the breadth of positive developments, improving scale and diversified fee engines that should drive future earnings, the positives materially outweigh the near-term timing and yield challenges.
Positive Updates
Strong NAV and NAV per Share Growth
Net asset value grew to a record $1.3 billion, up 9% quarter-over-quarter and 37% year-over-year. NAV per share increased $0.20 to $13.47, a 1.6% quarter-over-quarter gain.
Negative Updates
Timing Mismatch and NII Pressure
Net investment income per share decreased quarter-over-quarter primarily due to lower dividend income (Q1 included a non-recurring dividend) and timing mismatch: significant payoffs occurred early in the quarter while record fundings were back-end weighted, delaying yield capture until Q3.
Read all updates
Q2-2026 Updates
Negative
Strong NAV and NAV per Share Growth
Net asset value grew to a record $1.3 billion, up 9% quarter-over-quarter and 37% year-over-year. NAV per share increased $0.20 to $13.47, a 1.6% quarter-over-quarter gain.
Read all positive updates
Company Guidance
Trinity reiterated steady near‑term guidance: a $0.17 monthly dividend through end‑Q3, confidence in dividend stability and an improving earnings trajectory into H2 2026, and an expectation that Q3 will more fully reflect the benefit of record Q2 fundings (Q2 fundings $619M, up 69% YoY; commitments $709M) and a strong pipeline ($700M accepted term sheets, $1.2B unfunded — 91% subject to diligence). Key financial/portfolio metrics cited as supporting that outlook include NAV $1.3B (+9% QoQ, +37% YoY) and NAV/share $13.47 (+$0.20 QoQ), Platform AUM $3.2B (+36% YoY), total investment income $87M (+25% YoY), NII $41.6M or $0.51/share (100% of the quarterly distribution) with managed funds contributing $0.03/share (~6% of NII), net leverage ~1.18x, platform liquidity $939M, estimated undistributed taxable income ~$66M (~$0.71/share; >4 months of distributions), ROAE 15.2%, effective portfolio yield 15%, PIK ~1% of income, first‑lien coverage 89% (EV‑backed weighted avg LTV 24%), non‑accruals 5 companies (<1% of portfolio), 70% of portfolio originated since 2025, average realized loan duration 30 months, 202 warrant positions across 129 portfolio companies, plus strategic capital moves (SBIC >$75M closed equity expected to create >$250M incremental capacity at 2:1 leverage, $300M 5‑yr notes, $100M ATM at ~24% premium) that management says will drive incremental fee and earnings growth.

Trinity Capital Financial Statement Overview

Summary
Strong current profitability and sharp TTM revenue growth support results (high gross and net margins). However, the weakest point is cash generation: operating cash flow and free cash flow are negative in most periods including TTM, raising sustainability and cash-conversion risk. The balance sheet also appears meaningfully leveraged (debt-to-equity >1 in the periods shown), adding risk in weaker markets.
Income Statement
78
Positive
Balance Sheet
62
Positive
Cash Flow
28
Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue279.56M232.25M237.44M174.84M43.54M175.48M
Gross Profit228.88M232.25M175.49M141.75M9.39M155.09M
EBITDA216.25M216.17M118.27M0.00-24.19M132.57M
Net Income159.25M135.60M115.60M76.89M-30.38M132.32M
Balance Sheet
Total Assets2.81B2.48B1.77B1.31B1.13B937.12M
Cash, Cash Equivalents and Short-Term Investments22.18M19.11M9.63M4.76M10.61M31.68M
Total Debt0.001.31B877.67M646.89M610.59M455.35M
Total Liabilities1.54B1.39B951.26M699.82M666.79M490.58M
Stockholders Equity1.27B1.09B822.98M611.16M459.65M446.53M
Cash Flow
Free Cash Flow-216.05M-535.50M-317.33M-99.00M54.72M-242.88M
Operating Cash Flow-215.80M-535.50M-316.91M-96.26M54.91M-241.67M
Investing Cash Flow-378.12M-785.00K-420.00K-2.74M-290.85M-1.20M
Financing Cash Flow589.85M545.77M322.19M93.15M199.81M228.52M

Trinity Capital Technical Analysis

Technical Analysis Sentiment
Positive
Last Price17.26
Price Trends
50DMA
17.14
Positive
100DMA
16.15
Positive
200DMA
15.09
Positive
Market Momentum
MACD
0.18
Negative
RSI
64.38
Neutral
STOCH
71.85
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TRIN, the sentiment is Positive. The current price of 17.26 is below the 20-day moving average (MA) of 17.58, above the 50-day MA of 17.14, and above the 200-day MA of 15.09, indicating a bullish trend. The MACD of 0.18 indicates Negative momentum. The RSI at 64.38 is Neutral, neither overbought nor oversold. The STOCH value of 71.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TRIN.

Trinity Capital Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
$1.58B8.5214.73%11.82%4.03%-16.92%
70
Outperform
$1.47B11.7412.13%9.27%55.92%35.62%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
63
Neutral
$805.67M10.876.57%15.29%2.31%-35.07%
62
Neutral
$650.78M-11.72-4.83%17.69%-24.31%-157.16%
59
Neutral
$694.28M14.064.42%15.44%15.30%-48.57%
52
Neutral
$969.22M13.455.14%17.78%14.92%48.21%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TRIN
Trinity Capital
17.24
3.93
29.50%
CSWC
Capital Southwest
24.42
4.22
20.91%
NMFC
New Mountain Finance
7.35
-1.37
-15.75%
GSBD
Goldman Sachs BDC
8.83
-0.75
-7.83%
CGBD
Carlyle Secured Lending Inc
10.28
-1.64
-13.73%
BCSF
Bain Capital Specialty Finance
12.68
-0.48
-3.66%

Trinity Capital Corporate Events

Business Operations and StrategyDividendsFinancial Disclosures
Trinity Capital Posts Strong Second-Quarter 2026 Results
Positive
Aug 5, 2026
On August 5, 2026, Trinity Capital reported second-quarter 2026 results showing total investment income of $87.2 million, up 25.5% year-over-year, and record net investment income of $46.0 million, or $0.51 per share. Return on average equity reac...
Business Operations and StrategyDelistings and Listing Changes
Trinity Capital Announces Strategic NYSE Listing Transfer
Positive
Jul 15, 2026
On July 14, 2026, Trinity Capital announced plans to move the listing of its common stock and two series of fixed-rate senior notes from the Nasdaq Global Select Market to the New York Stock Exchange and NYSE Texas. The company&#8217;s common stoc...
Business Operations and StrategyFinancial Disclosures
Trinity Capital Highlights Strong Q2 Investment Commitments
Positive
Jul 9, 2026
On July 9, 2026, Trinity Capital reported that it originated $709 million in new commitments during the second quarter of 2026, bringing first-half 2026 commitments to $1.1 billion. During the quarter, it funded $619 million in gross investments, ...
Executive/Board ChangesShareholder Meetings
Trinity Capital Shareholders Back Equity Plan and Governance
Positive
Jun 12, 2026
At its Annual Meeting of Stockholders held on June 10, 2026, Trinity Capital shareholders approved an amendment to the 2019 Non-Employee Director Restricted Stock Plan, increasing the shares available for issuance to non-employee directors by 100,...
Business Operations and StrategyPrivate Placements and Financing
Trinity Capital Issues $300 Million Unsecured Notes Offering
Positive
May 21, 2026
On May 19, 2026, Trinity Capital Inc. entered into an underwriting agreement with a syndicate led by Keefe, Bruyette Woods and MUFG Securities Americas to issue $300 million of 7.000% unsecured notes due May 21, 2031, with the transaction closing...
Business Operations and StrategyPrivate Placements and Financing
Trinity Capital Launches $300 Million At-The-Market Program
Positive
May 7, 2026
On May 7, 2026, Trinity Capital Inc. entered into multiple open market sale agreements with Jefferies, B. Riley Securities, Keefe, Bruyette Woods, and Compass Point, allowing it to issue and sell up to $300 million of its common stock through an ...
Business Operations and StrategyDividendsFinancial Disclosures
Trinity Capital Reports Strong First-Quarter 2026 Financial Results
Positive
May 6, 2026
On May 6, 2026, Trinity Capital reported strong financial results for the quarter ended March 31, 2026, highlighted by a 37.8% year-over-year increase in total investment income to $90.1 million and record net investment income of $44.5 million, o...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 06, 2026