The most common and most likely answer to this crossword clue is the 7 letter word BIOLOGY
I've seen this crossword clue in The Guardian
B
I
O
L
O
G
Y
Buddy explains!

The straight part
We know that "Students read this" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case students read this = biology.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does BIOLOGY mean?
BIOLOGY noun- The study of all life or living matter.
- The living organisms of a particular region.
- The structure, function, and behavior of an organism or type of organism.