Seven Hills Realty Trust (SEVN) Stock

Seven Hills Realty Trust (SEVN) is a Real Estate stock trading at $7.71 (as of 2026-08-21), with a market capitalization of $174.22M and a trailing P/E of 11.6. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

Seven Hills Realty Trust, a real estate investment trust, focuses on originating and investing in first mortgage loans secured by middle market and transitional commercial real estate in the United States. The company has elected to be taxed as a real estate investment trust. As a result, it would not be subject to corporate income tax on that portion of its net income that is distributed to shareholders. The company was formerly known as RMR Mortgage Trust. Seven Hills Realty Trust was incorporated in 2008 and is headquartered in Newton, Massachusetts.

Understand Seven Hills Realty Trust: how it makes money

Seven Hills Realty Trust originates and invests in first mortgage loans secured by middle market and transitional commercial real estate in the United States, earning income tied to the interest and economics of its loan portfolio, while operating within a REIT tax structure (not subject to corporate income tax on distributed net income).

Profit and cash generation are driven by the loan cycle (originations, commitments that close, and subsequent repayments or payoffs) on first mortgage loans, with returns shaped by loan terms and risk metrics such as Weighted Average All-In Yield, Weighted Average Loan-To-Value at Origination, and Weighted Average Risk Rating.

Business quality (Solid): You can track near-term business momentum using loan activity KPIs (originations, repayments, commitments), but there is no clean reportable segment breakdown provided here, and the company’s financial context (like revenue and gross margin) is not detailed in the supplied facts.

Valuation: At 10× earnings, SEVN trades 70% below the Trading average (34×). Note: one-time items can distort reported P/E.

Bull case

  • Clear operating activity levers: The model is directly observable through loan activity metrics like Loan Originations and Loan Repayments, which reflect how capital moves through the lending pipeline.
  • Niche focus on first mortgage commercial real estate: The company’s strategy is centered on originating and investing in first mortgage loans secured by middle market and transitional commercial real estate.
  • REIT tax structure supports distributed-income economics: Seven Hills Realty Trust elected REIT taxation, which means it is not subject to corporate income tax on the portion of net income that is distributed to shareholders.

Bear case

  • Credit risk embedded in first mortgage lending: Performance depends on the quality of underlying collateral and borrower risk, reflected in metrics such as Weighted Average Risk Rating and loan-to-value measures (for example, 66.0% to 68.0% at different points in time shown).
  • Earnings are sensitive to the timing of repayments and payoffs: The profit cycle relies on Loan Repayments and Loan Payoffs Received, so slower repayments or less favorable outcomes on loans could affect results.
  • Return profile depends on loan yield relative to funding cost: Key yield and cost inputs are tracked, including Weighted Average All-In Yield (7.8%) and Weighted Average Borrowing Rate (215.0%), which can influence net economics.
Valuation — source: SEC EDGAR (first-party)
Price$7.71
Market Cap$174.22M
P/E Ratio11.6
EV / EBITDA6.9
Price / Book0.53
Price / Sales5.73
DCF Value (model)$22.80
DCF Upside vs Price195.7%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$29.38M
Net Margin52.5%
Revenue Growth (YoY)-16.7%
EPS Growth (YoY)-16.7%
Valuation vs Sector & Industry
Stock P/E11.6
Sector P/E (Real Estate)27.2
Industry P/E (Trading)35.3
vs Sector-57.3%
vs Industry-67.2%
Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional HolderBlackRock, Inc. ($13.28M)
Institutional Holders Tracked10
Company
SectorReal Estate
IndustryTrading
CEOThomas Joseph Lorenzini
CountryUS
IPO Date2006-05-26

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SEVN earnings history · SEVN institutional & insider holders · SEVN KPIs & operating metrics · SEVN financials · SEVN investor presentations & press releases · SEVN SEC filings · SEVN peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-08-21.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.