Vornado Realty (VNO) AI Stock Analysis

• Market Cap: $7.75B
• Dividend Yield: 1.94%
• Average Volume (3M): 1.51M
• Price to Earnings (P/E): 9.2
• Beta (1Y): 1.43
• Revenue Growth: 1.38%
• EPS Growth: 4370.96%
• Country: US
• Employees: 2,996
• Sector: Real Estate
• Sector Strength: 48
• Industry: REIT - Office
• EPS (TTM): 3.70
• Shares Outstanding: 192,040,530
• 10 Day Avg. Volume: 1,256,067
• 30 Day Avg. Volume: 1,505,599
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.10
• Enterprise Value/Revenue: 9.01
• Enterprise Value/Gross Profit: 16.36
• Enterprise Value/Ebitda: 9.19
• 1Y Price Target: $40.36
• Price Target Upside: 11.58% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 11

• Rating: 61 Neutral
• Price Target: $40.00 ▲(10.59% Upside)

Vornado Realty's overall stock score is driven by strong earnings call results and attractive valuation. However, financial performance concerns, particularly in revenue and cash flow, and technical indicators suggesting potential downward momentum, moderate the score.

Positive Factors

Financial Performance

Core FFO of $0.63 exceeded expectations, indicating strong financial performance.

Leasing Activity

VNO completed a master lease with NYU for 1.1mn SF at 770 Broadway, which is a significant long-term agreement.

Negative Factors

Cash SSNOI

Cash SSNOI decreased by 4.8% year over year, with New York decreasing by 8.5% driven by the ground lease re-set at PENN 1.

Occupancy

Total occupancy decreased to 83.5%, reflecting a decline compared to previous periods.

Vornado Realty Business Overview & Revenue Model

Company Description

Vornado's portfolio is concentrated in the nation's key market New York City along with the premier asset in both Chicago and San Francisco. Vornado is also the real estate industry leader in sustainability policy. The company owns and manages over 23 million square feet of LEED certified buildings and received the Energy Star Partner of the Year Award, Sustained Excellence 2019. In 2012, Vornado commemorated 50 years on the NYSE.

How the Company Makes Money

Vornado Realty Trust generates revenue primarily through rental income from its properties, which includes office buildings, retail spaces, and logistics facilities. The company leases space to tenants under long-term leases, providing a steady stream of income. Additional revenue streams include property management fees, development fees from new projects, and ancillary income from services provided to tenants. Vornado also engages in joint ventures and partnerships, allowing for shared investment in larger projects, which can enhance profitability. The company's strategic focus on high-demand urban areas and its ability to attract and retain tenants in its properties are critical factors contributing to its earnings.

Vornado Realty Financial Statement Overview

Summary

Vornado Realty demonstrates a commendable financial recovery with improved profitability metrics and a stable balance sheet. The company's cash flow position is healthy, though reliant on consistent income levels. While leverage is within industry norms, profitability could be enhanced to deliver better returns to shareholders.

Income Statement

Vornado Realty shows a strong recovery in profitability with a TTM net profit margin of 9.17%, up from previous years, reflecting effective cost management. The EBIT and EBITDA margins are also robust, at 15.58% and 55.15% respectively, indicating efficient operations. Despite a modest revenue growth of 1.41% TTM, the company has improved its gross profit margin significantly by eliminating cost of goods sold, which now reflects total revenue.

Balance Sheet

Vornado Realty's balance sheet indicates a stable equity position with a debt-to-equity ratio of 1.60, suggesting moderate leverage typical for the REIT industry. The equity ratio remains strong at 34.06%, showing a solid asset base funded by equity. However, the return on equity is relatively low at 3.13% TTM, indicating limited profitability relative to shareholder investment.

Cash Flow

The company maintains a healthy operating cash flow to net income ratio of 3.36, reflecting strong cash generation relative to earnings. Free cash flow remains positive with a growth rate of 3.82%, supporting financial flexibility. However, reliance on operating cash flow highlights potential vulnerabilities if income fluctuates.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.80B	1.79B	1.81B	1.80B	1.59B	1.53B
Gross Profit	994.07M	859.89M	906.00M	926.08M	791.89M	738.88M
EBITDA	1.77B	880.61M	845.61M	423.31M	792.48M	228.26M
Net Income	874.82M	70.39M	105.49M	-382.61M	176.00M	-461.85M
Balance Sheet
Total Assets	15.61B	16.00B	16.19B	16.49B	17.27B	16.22B
Cash, Cash Equivalents and Short-Term Investments	1.20B	733.95M	997.00M	1.36B	1.76B	1.62B
Total Debt	7.81B	8.99B	8.98B	9.13B	8.99B	7.80B
Total Liabilities	8.59B	9.83B	9.84B	9.98B	10.06B	8.67B
Stockholders Equity	6.09B	5.16B	5.51B	5.84B	6.24B	6.53B
Cash Flow
Free Cash Flow	311.56M	537.72M	648.15M	795.94M	758.81M	29.19M
Operating Cash Flow	311.56M	537.72M	648.15M	798.94M	761.81M	424.24M
Investing Cash Flow	-290.26M	-597.37M	-128.79M	-906.86M	-532.35M	-87.80M
Financing Cash Flow	-1.38B	-252.32M	-278.94M	-801.27M	-29.48M	-213.20M

Vornado Realty Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 36.17
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VNO, the sentiment is Neutral. The current price of 36.17 is below the 20-day moving average (MA) of 37.55, below the 50-day MA of 38.36, and below the 200-day MA of 39.38, indicating a neutral trend. The MACD of -0.42 indicates Negative momentum. The RSI at 52.22 is Neutral, neither overbought nor oversold. The STOCH value of 49.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for VNO.

Vornado Realty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KRC	74 Outperform	$4.67B	21.23	4.06%	5.55%	2.26%	10.15%
CUZ	69 Neutral	$4.69B	75.68	1.30%	4.49%	13.07%	-4.94%
Sector *	63 Neutral	C$2.01B	5.92	-0.84%	5.17%	1.83%	-19.11%
BXP	62 Neutral	$11.64B	3,377.27	0.07%	5.65%	3.24%	-97.73%
VNO	61 Neutral	$7.75B	9.19	14.93%	1.94%	1.38%	4370.96%
ARE	60 Neutral	$13.54B	102.63	-0.12%	6.79%	3.12%	-116.29%
SLG	58 Neutral	$4.20B	663.10	-0.37%	5.39%	15.25%	79.18%

Vornado Realty Corporate Events

Vornado Realty Holds Annual Shareholder Meeting

On May 22, 2025, Vornado Realty Trust held its annual meeting of shareholders, where approximately 94% of the shares were represented. During the meeting, three key proposals were voted on: the election of ten nominees to the Board of Trustees, the ratification of Deloitte & Touche LLP as the independent public accounting firm for 2025, and a non-binding advisory resolution on executive compensation. The outcomes of these votes are expected to influence the company’s governance and operational decisions in the coming year.

The most recent analyst rating on (VNO) stock is a Sell with a $35.00 price target. To see the full list of analyst forecasts on Vornado Realty stock, see the VNO Stock Forecast page.