SEVEN HILLS REALTY TRUST (SEVN) Stock Fundamental Analysis
USA - NASDAQ:SEVN - US81784E1010 - REIT
10.9 USD
+0.18 (+1.68%)
10.9996 USD
+0.1 (+0.91%)
Taking everything into account, SEVN scores 5 out of 10 in our fundamental rating. SEVN was compared to 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. SEVN has an average financial health and profitability rating. SEVN is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year SEVN was profitable.
SEVN had a positive operating cash flow in the past year.
1.2 Ratios
SEVN has a Return On Assets of 2.24%. This is amongst the best in the industry. SEVN outperforms 95.59% of its industry peers.
SEVN's Return On Equity of 5.76% is amongst the best of the industry. SEVN outperforms 88.24% of its industry peers.
The Return On Invested Capital of SEVN (2.61%) is better than 91.18% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SEVN is in line with the industry average of 1.25%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | 5.76% | ||
| ROIC | 2.61% |
ROA(3y)3.26%
ROA(5y)N/A
ROE(3y)8.74%
ROE(5y)N/A
ROIC(3y)3.21%
ROIC(5y)N/A
1.3 Margins
SEVN has a Profit Margin of 25.13%. This is amongst the best in the industry. SEVN outperforms 91.18% of its industry peers.
In the last couple of years the Profit Margin of SEVN has declined.
SEVN's Operating Margin of 29.42% is amongst the best of the industry. SEVN outperforms 88.24% of its industry peers.
SEVN's Operating Margin has declined in the last couple of years.
SEVN's Gross Margin of 44.45% is amongst the best of the industry. SEVN outperforms 85.29% of its industry peers.
SEVN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.42% | ||
| PM (TTM) | 25.13% | ||
| GM | 44.45% |
OM growth 3Y-24.9%
OM growth 5YN/A
PM growth 3Y-27.5%
PM growth 5YN/A
GM growth 3Y-18.3%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SEVN is destroying value.
SEVN has more shares outstanding than it did 1 year ago.
Compared to 1 year ago, SEVN has an improved debt to assets ratio.
2.2 Solvency
SEVN has an Altman-Z score of 0.30. This is a bad value and indicates that SEVN is not financially healthy and even has some risk of bankruptcy.
SEVN has a Altman-Z score of 0.30. This is amongst the best in the industry. SEVN outperforms 85.29% of its industry peers.
The Debt to FCF ratio of SEVN is 21.01, which is on the high side as it means it would take SEVN, 21.01 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 21.01, SEVN belongs to the top of the industry, outperforming 95.59% of the companies in the same industry.
A Debt/Equity ratio of 1.04 is on the high side and indicates that SEVN has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.04, SEVN belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.04 | ||
| Debt/FCF | 21.01 | ||
| Altman-Z | 0.3 |
ROIC/WACC0.39
WACC6.65%
2.3 Liquidity
A Current Ratio of 0.34 indicates that SEVN may have some problems paying its short term obligations.
SEVN has a Current ratio of 0.34. This is in the better half of the industry: SEVN outperforms 63.24% of its industry peers.
SEVN has a Quick Ratio of 0.34. This is a bad value and indicates that SEVN is not financially healthy enough and could expect problems in meeting its short term obligations.
SEVN has a better Quick ratio (0.34) than 63.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.34 |
3. Growth
3.1 Past
SEVN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.55%.
The earnings per share for SEVN have been decreasing by -18.07% on average. This is quite bad
SEVN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -16.74%.
The Revenue has been growing by 23.36% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-13.55%
EPS 3Y-18.07%
EPS 5YN/A
EPS Q2Q%-18.42%
Revenue 1Y (TTM)-16.74%
Revenue growth 3Y23.36%
Revenue growth 5YN/A
Sales Q2Q%-21.18%
3.2 Future
The Earnings Per Share is expected to decrease by -10.71% on average over the next years. This is quite bad
Based on estimates for the next years, SEVN will show a very negative growth in Revenue. The Revenue will decrease by -11.41% on average per year.
EPS Next Y-14.65%
EPS Next 2Y-10.71%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-16.79%
Revenue Next 2Y-11.41%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.13, which indicates a very decent valuation of SEVN.
SEVN's Price/Earnings ratio is rather cheap when compared to the industry. SEVN is cheaper than 80.88% of the companies in the same industry.
SEVN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.89.
With a Price/Forward Earnings ratio of 9.43, the valuation of SEVN can be described as very reasonable.
Based on the Price/Forward Earnings ratio, SEVN is valued a bit cheaper than the industry average as 61.76% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of SEVN to the average of the S&P500 Index (22.99), we can say SEVN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.13 | ||
| Fwd PE | 9.43 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SEVN is valued cheaply inside the industry as 95.59% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, SEVN is valued a bit cheaper than 77.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.22 | ||
| EV/EBITDA | 27.8 |
4.3 Compensation for Growth
The decent profitability rating of SEVN may justify a higher PE ratio.
SEVN's earnings are expected to decrease with -10.71% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-10.71%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 10.45%, SEVN is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 12.70, SEVN is paying slightly less dividend.
SEVN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.45% |
5.2 History
SEVN has paid a dividend for at least 10 years, which is a reliable track record.
SEVN has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
135.54% of the earnings are spent on dividend by SEVN. This is not a sustainable payout ratio.
DP135.54%
EPS Next 2Y-10.71%
EPS Next 3YN/A
10.9
+0.18 (+1.68%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners43.53%
Inst Owner Change0%
Ins Owners2.96%
Ins Owner Change15.13%
Market Cap162.85M
Revenue(TTM)61.19M
Net Income(TTM)15.38M
Analysts84.44
Price Target13.26 (21.65%)
Short Float %1.46%
Short Ratio4.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10.45% |
Yearly Dividend1.4
Dividend Growth(5Y)N/A
DP135.54%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.66%
Min EPS beat(2)-11.48%
Max EPS beat(2)4.17%
EPS beat(4)1
Avg EPS beat(4)-3.52%
Min EPS beat(4)-11.48%
Max EPS beat(4)4.17%
EPS beat(8)4
Avg EPS beat(8)1.06%
EPS beat(12)7
Avg EPS beat(12)5.01%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-8.16%
Min Revenue beat(2)-8.43%
Max Revenue beat(2)-7.89%
Revenue beat(4)2
Avg Revenue beat(4)16.66%
Min Revenue beat(4)-8.43%
Max Revenue beat(4)78.4%
Revenue beat(8)6
Avg Revenue beat(8)10.55%
Revenue beat(12)10
Avg Revenue beat(12)28.32%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-10.34%
EPS NQ rev (1m)2.92%
EPS NQ rev (3m)-14.56%
EPS NY rev (1m)1.11%
EPS NY rev (3m)-11.22%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-10.86%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-8.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.13 | ||
| Fwd PE | 9.43 | ||
| P/S | 2.66 | ||
| P/FCF | 8.22 | ||
| P/OCF | 8.22 | ||
| P/B | 0.61 | ||
| P/tB | 0.61 | ||
| EV/EBITDA | 27.8 |
EPS(TTM)1.34
EY12.29%
EPS(NY)1.16
Fwd EY10.61%
FCF(TTM)1.33
FCFY12.16%
OCF(TTM)1.33
OCFY12.16%
SpS4.1
BVpS17.87
TBVpS17.87
PEG (NY)N/A
PEG (5Y)N/A
Graham Number23.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.24% | ||
| ROE | 5.76% | ||
| ROCE | 3.3% | ||
| ROIC | 2.61% | ||
| ROICexc | 2.85% | ||
| ROICexgc | 2.93% | ||
| OM | 29.42% | ||
| PM (TTM) | 25.13% | ||
| GM | 44.45% | ||
| FCFM | 32.36% |
ROA(3y)3.26%
ROA(5y)N/A
ROE(3y)8.74%
ROE(5y)N/A
ROIC(3y)3.21%
ROIC(5y)N/A
ROICexc(3y)3.7%
ROICexc(5y)N/A
ROICexgc(3y)3.79%
ROICexgc(5y)N/A
ROCE(3y)4.07%
ROCE(5y)N/A
ROICexgc growth 3Y9.49%
ROICexgc growth 5YN/A
ROICexc growth 3Y8%
ROICexc growth 5YN/A
OM growth 3Y-24.9%
OM growth 5YN/A
PM growth 3Y-27.5%
PM growth 5YN/A
GM growth 3Y-18.3%
GM growth 5YN/A
F-Score4
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.04 | ||
| Debt/FCF | 21.01 | ||
| Debt/EBITDA | 14.54 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.64 | ||
| Cash Conversion | 103.32% | ||
| Profit Quality | 128.81% | ||
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.34 | ||
| Altman-Z | 0.3 |
F-Score4
WACC6.65%
ROIC/WACC0.39
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)79.63%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-13.55%
EPS 3Y-18.07%
EPS 5YN/A
EPS Q2Q%-18.42%
EPS Next Y-14.65%
EPS Next 2Y-10.71%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-16.74%
Revenue growth 3Y23.36%
Revenue growth 5YN/A
Sales Q2Q%-21.18%
Revenue Next Year-16.79%
Revenue Next 2Y-11.41%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-28.66%
EBIT growth 3Y-7.35%
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y9.72%
FCF growth 3Y194.17%
FCF growth 5YN/A
OCF growth 1Y9.72%
OCF growth 3Y194.17%
OCF growth 5YN/A
SEVEN HILLS REALTY TRUST / SEVN FAQ
What is the ChartMill fundamental rating of SEVEN HILLS REALTY TRUST (SEVN) stock?
ChartMill assigns a fundamental rating of 5 / 10 to SEVN.
What is the valuation status for SEVN stock?
ChartMill assigns a valuation rating of 6 / 10 to SEVEN HILLS REALTY TRUST (SEVN). This can be considered as Fairly Valued.
Can you provide the profitability details for SEVEN HILLS REALTY TRUST?
SEVEN HILLS REALTY TRUST (SEVN) has a profitability rating of 6 / 10.
What is the financial health of SEVEN HILLS REALTY TRUST (SEVN) stock?
The financial health rating of SEVEN HILLS REALTY TRUST (SEVN) is 4 / 10.
Can you provide the dividend sustainability for SEVN stock?
The dividend rating of SEVEN HILLS REALTY TRUST (SEVN) is 4 / 10 and the dividend payout ratio is 135.54%.