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Service Properties Trust

SVCReal EstateNASDAQ

REIT - Hotel & Motel

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Financials · Annual
Revenue
$1.81B
-4.3% YoY
Net Income
-$202.3M
+26.6% YoY
EBITDA
$473.4M
+2.3% YoY
Free Cash Flow
$906.5M

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About Service Properties Trust

Headquartered within the real estate sector, Service Properties Trust focuses on REIT - Hotel & Motel services and products. Service Properties Trust is a real estate investment trust with approximately 10 billion dollars invested in two asset categories service-focused retail net lease properties and hotels. With a market capitalization of $1.11B, it sits in small-cap territory. As of December 31, 2025, SVC owned 760 service-focused retail net lease properties with over 13.6 million square feet throughout the United States.

Key stats
Market Cap$1.11B
Fwd P/E-6.62
EPS$-1.43
Beta1.59
52W Change-24.6%
Dividend Yield2.33%
ROE-38.6%
Analysis

On the balance sheet, SVC has $19.3M in cash with $5.09B in obligations. The ability to service this debt comfortably depends on continued operational cash generation. The company generates $906.5M in free cash flow annually, which funds everything from R&D to shareholder returns without needing external financing. Return on equity stands at -38.6%, which is negative for the sector. ROE measures how effectively a company uses shareholder capital to generate profits. ROA of 1.9% is on the lower side, which is common in asset-heavy industries. Revenue has been relatively flat, moving from $1.86B (2022) to $1.81B (2025).

Service Properties Trust's elevated beta suggests the stock experiences more pronounced price movements than the overall market, which increases both upside potential and downside risk. Service Properties Trust carries a heavier debt load relative to its cash position, which introduces financial risk that investors should weigh. These risk factors are not exhaustive — macroeconomic shifts, regulatory changes, and competitive dynamics can all influence Service Properties Trust's trajectory.

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