Head to Head Contrast: Sunrise Realty Trust (NASDAQ:SUNS) & Seven Hills Realty Trust (NASDAQ:SEVN)

Seven Hills Realty Trust (NASDAQ:SEVN) and Sunrise Realty Trust (NASDAQ:SUNS) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, valuation, analyst recommendations, risk, earnings, dividends and institutional ownership.

Profitability

This table compares Seven Hills Realty Trust and Sunrise Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Seven Hills Realty Trust	N/A	N/A	N/A
Sunrise Realty Trust	53.33%	8.24%	5.03%

Dividends

Seven Hills Realty Trust pays an annual dividend of $1.12 per share and has a dividend yield of 14.7%. Sunrise Realty Trust pays an annual dividend of $1.20 per share and has a dividend yield of 15.9%. Seven Hills Realty Trust pays out 76.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Sunrise Realty Trust pays out 123.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Valuation and Earnings

This table compares Seven Hills Realty Trust and Sunrise Realty Trust”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Seven Hills Realty Trust	$25.58 million	N/A	N/A	$1.46	5.23
Sunrise Realty Trust	$33.50 million	3.05	$12.14 million	$0.97	7.79

Sunrise Realty Trust has higher revenue and earnings than Seven Hills Realty Trust. Seven Hills Realty Trust is trading at a lower price-to-earnings ratio than Sunrise Realty Trust, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Seven Hills Realty Trust and Sunrise Realty Trust, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Seven Hills Realty Trust	1	0	5	0	2.67
Sunrise Realty Trust	1	2	0	0	1.67

Seven Hills Realty Trust currently has a consensus target price of $10.38, suggesting a potential upside of 35.98%. Sunrise Realty Trust has a consensus target price of $8.00, suggesting a potential upside of 5.93%. Given Seven Hills Realty Trust’s stronger consensus rating and higher probable upside, analysts plainly believe Seven Hills Realty Trust is more favorable than Sunrise Realty Trust.

Summary

Sunrise Realty Trust beats Seven Hills Realty Trust on 6 of the 11 factors compared between the two stocks.

About Seven Hills Realty Trust

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.

About Sunrise Realty Trust

Sunrise Realty Trust, Inc. engages in commercial real estate (CRE) lending business. It focuses on originating CRE debt investments and providing capital to borrowers and sponsors with transitional business plans collateralized by CRE assets. The company intends to create a diversified investment portfolio, targeting investments in senior mortgage loans, mezzanine loans, whole loans, B-notes, CMBS, and debt-like preferred equity securities across CRE asset classes. Sunrise Realty Trust, Inc. was incorporated in 2023 and is based in West Palm Beach, Florida.