SEVEN HILLS REALTY TRUST (SEVN) Stock Fundamental Analysis
USA - NASDAQ:SEVN - US81784E1010 - REIT
8.81 USD
+0.07 (+0.8%)
8.85 USD
+0.04 (+0.45%)
SEVN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 68 industry peers in the Mortgage Real Estate Investment Trusts (REITs)" industry. SEVN has only an average score on both its financial health and profitability. SEVN is cheap, but on the other hand it scores bad on growth. These ratings could make SEVN a good candidate for value investing.
1. Profitability
1.1 Basic Checks
SEVN had positive earnings in the past year.
SEVN had a positive operating cash flow in the past year.
1.2 Ratios
With an excellent Return On Assets value of 2.19%, SEVN belongs to the best of the industry, outperforming 95.59% of the companies in the same industry.
With an excellent Return On Equity value of 5.75%, SEVN belongs to the best of the industry, outperforming 86.76% of the companies in the same industry.
SEVN's Return On Invested Capital of 2.21% is amongst the best of the industry. SEVN outperforms 91.18% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SEVN is above the industry average of 1.19%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 5.75% | ||
| ROIC | 2.21% |
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 better Profit Margin (26.18%) than 91.18% of its industry peers.
In the last couple of years the Profit Margin of SEVN has declined.
Looking at the Operating Margin, with a value of 30.52%, SEVN belongs to the top of the industry, outperforming 88.24% of the companies in the same industry.
In the last couple of years the Operating Margin of SEVN has declined.
The Gross Margin of SEVN (43.45%) is better than 85.29% of its industry peers.
In the last couple of years the Gross Margin of SEVN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.52% | ||
| PM (TTM) | 26.18% | ||
| GM | 43.45% |
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
SEVN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SEVN has more shares outstanding
The debt/assets ratio for SEVN has been reduced compared to a year ago.
2.2 Solvency
SEVN has an Altman-Z score of 0.43. This is a bad value and indicates that SEVN is not financially healthy and even has some risk of bankruptcy.
SEVN has a better Altman-Z score (0.43) than 89.71% of its industry peers.
The Debt to FCF ratio of SEVN is 27.41, which is on the high side as it means it would take SEVN, 27.41 years of fcf income to pay off all of its debts.
SEVN's Debt to FCF ratio of 27.41 is amongst the best of the industry. SEVN outperforms 86.76% of its industry peers.
A Debt/Equity ratio of 1.40 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 1.40, SEVN belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 27.41 | ||
| Altman-Z | 0.43 |
ROIC/WACC0.33
WACC6.68%
2.3 Liquidity
A Current Ratio of 1.31 indicates that SEVN should not have too much problems paying its short term obligations.
SEVN has a Current ratio of 1.31. This is amongst the best in the industry. SEVN outperforms 91.18% of its industry peers.
SEVN has a Quick Ratio of 1.31. This is a normal value and indicates that SEVN is financially healthy and should not expect problems in meeting its short term obligations.
SEVN has a Quick ratio of 1.31. This is amongst the best in the industry. SEVN outperforms 91.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
The earnings per share for SEVN have decreased strongly by -18.06% in the last year.
SEVN shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -18.07% yearly.
The Revenue for SEVN has decreased by -18.06% in the past year. This is quite bad
Measured over the past years, SEVN shows a very strong growth in Revenue. The Revenue has been growing by 23.36% on average per year.
EPS 1Y (TTM)-18.06%
EPS 3Y-18.07%
EPS 5YN/A
EPS Q2Q%-19.44%
Revenue 1Y (TTM)-18.06%
Revenue growth 3Y23.36%
Revenue growth 5YN/A
Sales Q2Q%-19.93%
3.2 Future
SEVN is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -8.89% yearly.
Based on estimates for the next years, SEVN will show a decrease in Revenue. The Revenue will decrease by -9.40% on average per year.
EPS Next Y-13.12%
EPS Next 2Y-8.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-16.09%
Revenue Next 2Y-9.4%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
With a Price/Earnings ratio of 6.94, the valuation of SEVN can be described as very cheap.
Based on the Price/Earnings ratio, SEVN is valued cheaply inside the industry as 88.24% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.91. SEVN is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 7.32, which indicates a rather cheap valuation of SEVN.
Based on the Price/Forward Earnings ratio, SEVN is valued a bit cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.57, SEVN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.94 | ||
| Fwd PE | 7.32 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SEVN indicates a rather cheap valuation: SEVN is cheaper than 95.59% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of SEVN indicates a rather cheap valuation: SEVN is cheaper than 80.88% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.4 | ||
| EV/EBITDA | 25.39 |
4.3 Compensation for Growth
The decent profitability rating of SEVN may justify a higher PE ratio.
A cheap valuation may be justified as SEVN's earnings are expected to decrease with -8.89% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-8.89%
EPS Next 3YN/A
5. Dividend
5.1 Amount
SEVN has a Yearly Dividend Yield of 12.56%, which is a nice return.
SEVN's Dividend Yield is comparable with the industry average which is at 13.23.
Compared to an average S&P500 Dividend Yield of 2.36, SEVN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.56% |
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
129.37% of the earnings are spent on dividend by SEVN. This is not a sustainable payout ratio.
DP129.37%
EPS Next 2Y-8.89%
EPS Next 3YN/A
8.81
+0.07 (+0.8%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryMortgage Real Estate Investment Trusts (REITs)"
Earnings (Last)
Earnings (Next)
Inst Owners43.53%
Inst Owner Change2.65%
Ins Owners2.96%
Ins Owner Change15.13%
Market Cap131.62M
Revenue(TTM)58.55M
Net Income(TTM)15.33M
Analysts82.5
Price Target13.26 (50.51%)
Short Float %1.42%
Short Ratio4.15
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 12.56% |
Yearly Dividend1.4
Dividend Growth(5Y)N/A
DP129.37%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-7.28%
Min EPS beat(2)-11.48%
Max EPS beat(2)-3.07%
EPS beat(4)1
Avg EPS beat(4)-4.27%
Min EPS beat(4)-11.48%
Max EPS beat(4)4.17%
EPS beat(8)4
Avg EPS beat(8)1.09%
EPS beat(12)7
Avg EPS beat(12)4.92%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-4.9%
Min Revenue beat(2)-7.89%
Max Revenue beat(2)-1.91%
Revenue beat(4)1
Avg Revenue beat(4)15.04%
Min Revenue beat(4)-8.43%
Max Revenue beat(4)78.4%
Revenue beat(8)5
Avg Revenue beat(8)9.48%
Revenue beat(12)9
Avg Revenue beat(12)23.45%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)5.56%
EPS NQ rev (3m)-11.85%
EPS NY rev (1m)2.92%
EPS NY rev (3m)-9.63%
Revenue NQ rev (1m)3.54%
Revenue NQ rev (3m)-12.96%
Revenue NY rev (1m)0.84%
Revenue NY rev (3m)-7.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.94 | ||
| Fwd PE | 7.32 | ||
| P/S | 2.25 | ||
| P/FCF | 8.4 | ||
| P/OCF | 8.4 | ||
| P/B | 0.49 | ||
| P/tB | 0.49 | ||
| EV/EBITDA | 25.39 |
EPS(TTM)1.27
EY14.42%
EPS(NY)1.2
Fwd EY13.66%
FCF(TTM)1.05
FCFY11.9%
OCF(TTM)1.05
OCFY11.9%
SpS3.92
BVpS17.84
TBVpS17.84
PEG (NY)N/A
PEG (5Y)N/A
Graham Number22.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 5.75% | ||
| ROCE | 2.8% | ||
| ROIC | 2.21% | ||
| ROICexc | 2.51% | ||
| ROICexgc | 2.58% | ||
| OM | 30.52% | ||
| PM (TTM) | 26.18% | ||
| GM | 43.45% | ||
| FCFM | 26.76% |
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-Score5
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 27.41 | ||
| Debt/EBITDA | 19.6 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 0.65 | ||
| Cash Conversion | 82.45% | ||
| Profit Quality | 102.21% | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | 0.43 |
F-Score5
WACC6.68%
ROIC/WACC0.33
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)-18.06%
EPS 3Y-18.07%
EPS 5YN/A
EPS Q2Q%-19.44%
EPS Next Y-13.12%
EPS Next 2Y-8.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-18.06%
Revenue growth 3Y23.36%
Revenue growth 5YN/A
Sales Q2Q%-19.93%
Revenue Next Year-16.09%
Revenue Next 2Y-9.4%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-16.3%
EBIT growth 3Y-7.35%
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-11.62%
FCF growth 3Y194.17%
FCF growth 5YN/A
OCF growth 1Y-11.62%
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 8 / 10 to SEVEN HILLS REALTY TRUST (SEVN). This can be considered as Undervalued.
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 5 / 10.
Can you provide the dividend sustainability for SEVN stock?
The dividend rating of SEVEN HILLS REALTY TRUST (SEVN) is 5 / 10 and the dividend payout ratio is 129.37%.