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Seven Hills Realty Trust is a Maryland REIT that focuses primarily on originating and investing in floating rate first mortgage loans that range from $15.0 million to $75.0 million, secured by middle market transitional CRE properties that have values up to $100.0 million. We define transitional CRE as commercial properties subject to redevelopment or repositioning activities that are expected …
$8.09
$0.44 (-5.16%)
Live · 06:15 PM
52.24% operating margin is above average. ROIC at 5.09%. Note that capital returns lag the margin, the business may be capital-intensive despite high margins.
Revenue declined 9.4% YoY. The question is whether this is cyclical or a structural shift.
Even for strong businesses, today's 9x P/E means the stock needs to keep delivering. There's no margin of safety if growth disappoints.
9.1x earnings. The multiple is below average. Either the market is pricing in deterioration you should investigate, or there's genuine value here.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$29M
▼ -9.4% YoY
Net Income (TTM)
$15M
▼ -13.4% YoY
Op. Margin
49.15%
▲ +6.4pp YoY
ROIC
4.82%
▼ -0.4pp YoY
Cash Flow & Balance Sheet
FCF
N/A
Op. Cash Flow (TTM)
$16M
▼ -25.2% YoY
Net Debt
-$57M
Net Cash Position
Cash & Equiv.
$57M
3Y CAGR: -8.7%
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At a P/E of 9.1, Seven Hills Realty Trust (SEVN)'s valuation is best read against its own history, its peers, and the growth its price implies. A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Seven Hills Realty Trust scores 25/100 on Intrinsiqq's quality scorecard (a lower-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 11.0%; see dividend safety for coverage and history. All figures are computed from SEC filings; read the full methodology. This is analysis, not investment advice.
Seven Hills Realty Trust scores 25 out of 100 on Intrinsiqq's quality score, a weighted blend of 7 metrics each scored 0 to 100, which makes it a lower-quality business on these measures. Recent fundamentals include a 49.2% operating margin and a 4.8% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Yes, Seven Hills Realty Trust pays a regular dividend of about $0.89 per share per year (typically in quarterly installments), a yield of roughly 11.0% at the current price. That is a payout ratio of about 130.5% of earnings, so the dividend is stretched at this level. Seven Hills Realty Trust has grown the dividend at roughly 42.3% a year over the past few years. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For SEVN's full payout history, growth streak and dividend-safety score, see the dividends tab.
That depends on valuation and quality together, not either alone. you should weigh SEVN's valuation and scores 25/100 on quality (lower-quality). It also yields about 11.0%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.