WallStSmart

Seven Hills Realty Trust (SEVN)vsStarwood Property Trust Inc (STWD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Starwood Property Trust Inc generates 2207% more annual revenue ($597.28M vs $25.89M). SEVN leads profitability with a 45.4% profit margin vs 38.2%. SEVN trades at a lower P/E of 11.2x. STWD earns a higher WallStSmart Score of 49/100 (D+).

SEVN

Hold

37

out of 100

Grade: F

Growth: 2.7Profit: 5.0Value: 5.7Quality: 2.5
Piotroski: 1/9Altman Z: 0.19

STWD

Hold

49

out of 100

Grade: D+

Growth: 4.7Profit: 5.0Value: 6.7Quality: 2.5
Piotroski: 2/9Altman Z: 0.03
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SEVNSignificantly Overvalued (-82.2%)

Margin of Safety

-82.2%

Fair Value

$4.77

Current Price

$7.60

$2.83 premium

UndervaluedFair: $4.77Overvalued
STWDUndervalued (+84.8%)

Margin of Safety

+84.8%

Fair Value

$119.15

Current Price

$15.94

$103.21 discount

UndervaluedFair: $119.15Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SEVN3 strengths · Avg: 10.0/10
P/E RatioValuation
11.2x10/10

Attractively priced relative to earnings

Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Profit MarginProfitability
45.4%10/10

Keeps 45 of every $100 in revenue as profit

STWD2 strengths · Avg: 10.0/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Profit MarginProfitability
38.2%10/10

Keeps 38 of every $100 in revenue as profit

Areas to Watch

SEVN4 concerns · Avg: 3.0/10
Market CapQuality
$172.87M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
4.7%3/10

ROE of 4.7% — below average capital efficiency

Debt/EquityHealth
1.473/10

Elevated debt levels

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

STWD4 concerns · Avg: 3.5/10
PEG RatioValuation
1.744/10

Expensive relative to growth rate

P/E RatioValuation
27.6x4/10

Moderate valuation

Return on EquityProfitability
5.3%3/10

ROE of 5.3% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : SEVN

The strongest argument for SEVN centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 45.4% and operating margin at -27.4%.

Bull Case : STWD

The strongest argument for STWD centers on Price/Book, Profit Margin. Profitability is solid with margins at 38.2% and operating margin at -5.9%. Revenue growth of 13.4% demonstrates continued momentum.

Bear Case : SEVN

The primary concerns for SEVN are Market Cap, Return on Equity, Debt/Equity.

Bear Case : STWD

The primary concerns for STWD are PEG Ratio, P/E Ratio, Return on Equity. Debt-to-equity of 3.65 is elevated, increasing financial risk.

Key Dynamics to Monitor

SEVN profiles as a declining stock while STWD is a mature play — different risk/reward profiles.

STWD carries more volatility with a beta of 1.04 — expect wider price swings.

STWD is growing revenue faster at 13.4% — sustainability is the question.

SEVN generates stronger free cash flow (4M), providing more financial flexibility.

Bottom Line

STWD scores higher overall (49/100 vs 37/100), backed by strong 38.2% margins and 13.4% revenue growth. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Seven Hills Realty Trust

REAL ESTATE · REIT - MORTGAGE · USA

Seven Hills Realty Trust is a specialized real estate investment trust (REIT) dedicated to developing a diversified portfolio of high-quality commercial properties, with a primary focus on the healthcare sector. The Trust strategically invests in skilled nursing facilities and senior living communities, capitalizing on the increasing demand for healthcare services due to an aging population. With a commitment to operational excellence and sound investment practices, Seven Hills Realty Trust aims to generate sustainable, risk-adjusted returns while fostering robust partnerships with its tenants in a dynamic market landscape.

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Starwood Property Trust Inc

REAL ESTATE · REIT - MORTGAGE · USA

Starwood Property Trust, Inc. is a real estate investment trust (REIT) in the United States and Europe. The company is headquartered in Greenwich, Connecticut.

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