Contrasting Seven Hills Realty Trust (NASDAQ:SEVN) & Manhattan Bridge Capital (NASDAQ:LOAN)

Seven Hills Realty Trust (NASDAQ:SEVN) and Manhattan Bridge Capital (NASDAQ:LOAN) are both real estate companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, risk, institutional ownership, profitability, earnings, dividends and valuation.

Profitability

This table compares Seven Hills Realty Trust and Manhattan Bridge Capital’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
Manhattan Bridge Capital	55.91%	12.77%	7.44%

Dividends

Seven Hills Realty Trust pays an annual dividend of $1.40 per share and has a dividend yield of 10.9%. Manhattan Bridge Capital pays an annual dividend of $0.45 per share and has a dividend yield of 8.7%. Seven Hills Realty Trust pays out 96.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Manhattan Bridge Capital pays out 93.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Seven Hills Realty Trust has increased its dividend for 1 consecutive years and Manhattan Bridge Capital has increased its dividend for 1 consecutive years.

Analyst Ratings

This is a breakdown of recent recommendations for Seven Hills Realty Trust and Manhattan Bridge Capital, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Seven Hills Realty Trust	0	0	2	0	3.00
Manhattan Bridge Capital	0	0	0	0	N/A

Seven Hills Realty Trust presently has a consensus target price of $14.25, suggesting a potential upside of 10.64%. Given Seven Hills Realty Trust’s higher probable upside, equities research analysts plainly believe Seven Hills Realty Trust is more favorable than Manhattan Bridge Capital.

Institutional & Insider Ownership

21.8% of Manhattan Bridge Capital shares are held by institutional investors. 24.4% of Manhattan Bridge Capital shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Seven Hills Realty Trust and Manhattan Bridge Capital’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Seven Hills Realty Trust	$32.96 million	N/A	N/A	$1.46	8.83
Manhattan Bridge Capital	$9.80 million	6.07	$5.48 million	$0.48	10.83

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

Summary

Manhattan Bridge Capital beats Seven Hills Realty Trust on 7 of the 12 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 Manhattan Bridge Capital

Manhattan Bridge Capital, Inc., a real estate finance company, originates, services, and manages a portfolio of first mortgage loans in the United States. The company offers short-term, secured, and non-banking loans to real estate investors to fund acquisition, renovation, rehabilitation, or development of residential or commercial properties. Its loans are secured by collateral consisting of real estate and accompanied by personal guarantees from the principals of the borrowers. 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 founded in 1989 and is headquartered in Great Neck, New York.