📊 SEVN Key Takeaways
Is Seven Hills Realty Trust (SEVN) a Good Investment?
Seven Hills Realty Trust exhibits a fundamental disconnect between strong balance sheet metrics and deteriorating operational performance. Revenue is declining sharply (-16.7% YoY) while the company generates minimal returns on its $797.4M asset base (ROE 1.3%, ROA 0.5%), suggesting significant capital deployment inefficiency. Despite zero long-term debt and strong margins, the problematic interest coverage ratio (0.5x) coupled with declining EPS indicates underlying business challenges that outweigh defensive balance sheet strengths.
Seven Hills Realty Trust Key Strengths (SEVN)
- Zero long-term debt with $327M stockholders equity provides fortress balance sheet
- Exceptional operating margin of 52.7% and net margin of 52.6% demonstrate pricing power
- Strong free cash flow generation with 60.2% FCF margin provides liquidity cushion ($56.6M cash)
SEVN Stock Risks: Seven Hills Realty Trust Investment Risks
- Revenue declined 16.7% YoY to $8.3M with declining diluted EPS (-16.7%), indicating deteriorating top-line momentum
- Abnormally low return on equity (1.3%) and return on assets (0.5%) suggest severe capital inefficiency relative to $797.4M asset base
- Interest coverage of 0.5x is critically low despite zero reported long-term debt, indicating either unrecognized debt obligations or data quality issues that warrant investigation
Key Metrics to Watch
- Quarterly revenue trend reversal or stabilization given -16.7% YoY decline
- Return on equity and asset improvement; currently far below REIT industry standards
- Clarification of interest expense obligations and actual debt structure given contradictory coverage ratio
Seven Hills Realty Trust (SEVN) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 60.2% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
SEVN Profit Margin, ROE & Profitability Analysis
SEVN vs Real Estate Sector: How Seven Hills Realty Trust Compares
How Seven Hills Realty Trust compares to Real Estate sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Seven Hills Realty Trust Stock Overvalued? SEVN Valuation Analysis 2026
Based on fundamental analysis, Seven Hills Realty Trust has mixed fundamental signals relative to the Real Estate sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Seven Hills Realty Trust Balance Sheet: SEVN Debt, Cash & Liquidity
SEVN Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Seven Hills Realty Trust's revenue has remained relatively flat over the 5-year period, with a 8% decline. The most recent EPS of $1.20 reflects profitable operations.
SEVN Revenue Growth, EPS Growth & YoY Performance
SEVN Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $7.6M | $4.4M | $0.19 |
| Q3 2025 | $7.1M | $2.7M | $0.23 |
| Q2 2025 | $7.4M | $2.7M | $0.18 |
| Q1 2025 | $7.6M | $4.5M | $0.30 |
| Q3 2024 | $8.9M | $3.5M | $0.23 |
| Q2 2024 | $9.1M | $4.2M | $0.28 |
| Q1 2024 | $9.3M | $5.2M | $0.35 |
| Q3 2023 | $7.8M | $4.6M | $0.35 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Seven Hills Realty Trust Dividends, Buybacks & Capital Allocation
SEVN SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Seven Hills Realty Trust (CIK: 0001452477)
📋 Recent SEC Filings
❓ Frequently Asked Questions about SEVN
What is the AI rating for SEVN?
Seven Hills Realty Trust (SEVN) has an AI grade of C with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are SEVN's key strengths?
Claude: Zero long-term debt with $327M stockholders equity provides fortress balance sheet. Exceptional operating margin of 52.7% and net margin of 52.6% demonstrate pricing power.
What are the risks of investing in SEVN?
Claude: Revenue declined 16.7% YoY to $8.3M with declining diluted EPS (-16.7%), indicating deteriorating top-line momentum. Abnormally low return on equity (1.3%) and return on assets (0.5%) suggest severe capital inefficiency relative to $797.4M asset base.
What is SEVN's revenue and growth?
Seven Hills Realty Trust reported revenue of $8.3M.
Does SEVN pay dividends?
Seven Hills Realty Trust pays dividends, with $6.3M distributed to shareholders in the trailing twelve months.
Where can I find SEVN SEC filings?
Official SEC filings for Seven Hills Realty Trust (CIK: 0001452477) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is SEVN's EPS?
Seven Hills Realty Trust has a diluted EPS of $0.19.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is SEVN's fundamental grade?
Based on our AI fundamental analysis in May 2026, Seven Hills Realty Trust has a C grade with 72% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is SEVN stock overvalued or undervalued?
Valuation metrics for SEVN: ROE of 1.3% (sector avg: 8%), net margin of 52.6% (sector avg: 20%). Compare these metrics with sector averages to assess valuation.
What is SEVN's AI grade for 2026?
Our dual AI analysis gives Seven Hills Realty Trust a combined C grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is SEVN's free cash flow?
Seven Hills Realty Trust's operating cash flow is $5.0M, with capital expenditures of N/A. FCF margin is 60.2%.
How does SEVN compare to other Real Estate stocks?
Vs Real Estate sector averages: Net margin 52.6% (avg: 20%), ROE 1.3% (avg: 8%), current ratio N/A (avg: 1.5).