Vornado Realty (VNO) AI Stock Analysis

• Market Cap: $7.01B
• Dividend Yield: 2.24%
• Average Volume (3M): 1.25M
• Price to Earnings (P/E): 8.0
• Beta (1Y): 1.22
• Revenue Growth: 2.41%
• EPS Growth: N/A
• Country: US
• Employees: 2,996
• Sector: Real Estate
• Sector Strength: 53
• Industry: REIT - Office
• EPS (TTM): 0.06
• Shares Outstanding: 192,054,820
• 10 Day Avg. Volume: 1,008,311
• 30 Day Avg. Volume: 1,254,796
• PEG Ratio: -1.40
• Price to Book (P/B): 1.55
• Price to Sales (P/S): 4.48
• P/FCF Ratio: 14.90
• Enterprise Value/Market Cap: 2.43
• Enterprise Value/Revenue: 9.37
• Enterprise Value/Gross Profit: 9.37
• Enterprise Value/Ebitda: 9.54
• 1Y Price Target: $37.73
• Price Target Upside: 12.32% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 11
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: $35.00 ▲(4.20% Upside)

The score is held back primarily by negative TTM operating/free cash flow and elevated leverage despite profitability improvements. Valuation is a notable positive (low P/E), while technicals remain weak-to-neutral. Earnings call commentary and recent financing actions support the outlook via stronger liquidity and leasing progress, but near-term FFO growth is expected to be flat and retail/litigation risks persist.

Positive Factors

Manhattan leasing strength

Sustained, high-volume leasing in Manhattan and rising starting rents indicate structural demand for Vornado's core assets. This drives durable cash rent growth, improves occupancy and strengthens long-term rental income and asset valuations across its premium NYC portfolio.

Improved liquidity and debt reduction

Material liquidity build and meaningful debt paydown reduce near-term refinancing risk and provide funding capacity for development or lease-up periods. Improved covenant headroom and cash balances enhance balance-sheet flexibility over the medium term.

PENN District development progress

Progress on PENN projects and steady lease-up create a multi-year earnings catalyst as new income ramps. Successful redevelopments and signage advantages in the district support durable yield expansion and long-term FFO upside once stabilized.

Negative Factors

Negative operating and free cash flow

Sustained negative OCF and FCF undermine self-funding ability for capex, development and dividends, forcing reliance on external financing or asset sales. Over months this strains liquidity dynamics and increases sensitivity to credit markets.

Elevated leverage

Historically high leverage limits financial flexibility, raises interest expense sensitivity, and increases refinancing risk. Even with improvements, elevated leverage constrains capital allocation and heightens vulnerability to rising rates or slower leasing cycles.

Retail impairments & legal uncertainty

Retail asset write-offs and litigation introduce lasting cash-flow volatility and valuation uncertainty on noncore holdings. Prolonged redevelopment timelines and legal disputes can delay income recovery and divert management focus and capital from core office redevelopment.

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 generates revenue primarily through leasing its commercial and residential properties to tenants, which provides a steady stream of rental income. The company also earns money through property management and development activities, including renovation and construction projects that enhance property value. Additionally, Vornado may engage in strategic partnerships and joint ventures to maximize returns on its investments. The firm benefits from long-term leases, which provide predictable cash flows, and its focus on prime locations attracts high-profile tenants, contributing to its overall financial performance.

Vornado Realty Financial Statement Overview

Summary

Vornado Realty shows strong profitability improvements in its income statement, with a high net profit margin. However, the balance sheet's high leverage and negative cash flow trends pose significant risks. Operational efficiency has improved, but liquidity and leverage issues need addressing for long-term stability.

Income Statement

Vornado Realty's income statement shows a strong improvement in profitability with a TTM net profit margin of 49.05%, significantly higher than previous years. The gross profit margin has also improved to 55.05% TTM. However, revenue growth has been inconsistent, with a notable decline in 2024. The EBIT and EBITDA margins have shown substantial improvement in the TTM period, indicating better operational efficiency.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio, peaking at 1.74 in 2024, which poses a risk. However, the TTM period shows a reduction in total debt, improving the debt-to-equity ratio to a more manageable level. Return on equity has improved significantly in the TTM period to 15.73%, indicating better returns for shareholders.

Cash Flow

Cash flow analysis reveals a concerning trend with negative operating and free cash flows in the TTM period, indicating potential liquidity issues. The free cash flow to net income ratio remains stable at 1.0, but the negative free cash flow growth rate in recent periods highlights cash management challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.81B	1.79B	1.81B	1.80B	1.59B	1.53B
Gross Profit	1.81B	1.79B	906.00M	926.08M	791.89M	738.88M
EBITDA	1.78B	880.61M	845.61M	423.31M	840.50M	203.52M
Net Income	905.56M	70.39M	105.49M	-346.50M	176.00M	-297.00M
Balance Sheet
Total Assets	15.75B	16.00B	16.19B	16.49B	17.27B	16.22B
Cash, Cash Equivalents and Short-Term Investments	1.01B	733.95M	997.00M	1.36B	1.76B	1.62B
Total Debt	7.89B	8.99B	8.98B	9.13B	8.99B	7.80B
Total Liabilities	8.73B	9.83B	9.84B	9.98B	10.06B	8.67B
Stockholders Equity	6.07B	5.16B	5.51B	5.84B	6.24B	6.53B
Cash Flow
Free Cash Flow	1.32B	537.72M	648.15M	795.94M	761.81M	29.19M
Operating Cash Flow	1.32B	537.72M	648.15M	798.94M	761.81M	424.24M
Investing Cash Flow	98.24M	-597.37M	-128.79M	-906.86M	-532.35M	-87.80M
Financing Cash Flow	-1.29B	-252.32M	-278.94M	-801.27M	-29.48M	-213.20M

Vornado Realty Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 33.59
• 50DMA: Negative
• 100DMA: Negative
• 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 Negative. The current price of 33.59 is below the 20-day moving average (MA) of 33.70, below the 50-day MA of 34.23, and below the 200-day MA of 36.73, indicating a bearish trend. The MACD of -0.13 indicates Negative momentum. The RSI at 45.60 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VNO.

Vornado Realty Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KRC	71 Outperform	$4.57B	14.12	5.94%	5.75%	0.77%	62.58%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
HIW	65 Neutral	$2.95B	23.24	5.37%	7.83%	-2.10%	-13.30%
CUZ	63 Neutral	$4.47B	76.70	1.26%	5.08%	16.38%	3.60%
BXP	59 Neutral	$11.56B	-51.96	-3.74%	5.26%	2.54%	-155.17%
VNO	58 Neutral	$7.01B	8.00	15.97%	2.24%	2.41%	―
SLG	49 Neutral	$3.65B	-14,566.67	0.61%	6.95%	8.60%	―

Vornado Realty Corporate Events

Vornado Realty Completes $500 Million Senior Notes Offering

On January 14, 2026, Vornado Realty L.P., the operating partnership of Vornado Realty Trust, completed an underwritten public offering of $500 million aggregate principal amount of 5.750% notes due 2033 under an effective shelf registration statement, reinforcing its access to public debt markets and providing long-term capital for its real estate operations. The transaction, underwritten by a syndicate led by BofA Securities, PNC Capital Markets, U.S. Bancorp Investments and Wells Fargo Securities, was supported by legal opinions from Sullivan & Cromwell LLP on the validity of the notes and from Venable LLP on matters relating to Vornado Realty Trust, underscoring the formalization and legal robustness of the financing move for stakeholders.

The most recent analyst rating on (VNO) stock is a Hold with a $36.00 price target. To see the full list of analyst forecasts on Vornado Realty stock, see the VNO Stock Forecast page.

Vornado Realty Extends Debt Maturities and Boosts Liquidity

On January 7, 2026, Vornado Realty L.P. amended and extended one of its revolving credit facilities, pushing the fully extended maturity from December 2027 to February 2031 while reducing its borrowing capacity from $1.25 billion to $1.105 billion, and updated pricing tied to Term SOFR and modest sustainability-linked adjustments to interest and facility fees. On the same date, the partnership extended the maturity of its term loan from December 2027 to February 2031 and increased the loan size to $850 million, and also raised commitments on another unsecured revolving credit facility maturing in April 2029 from $915 million to $1.0 billion, while maintaining a framework of leverage, coverage and unsecured/secured debt covenants; these moves collectively extend its debt maturities, refine liquidity, and reinforce balance sheet discipline under customary default and covenant structures important to creditors and other financial stakeholders.

The most recent analyst rating on (VNO) stock is a Hold with a $36.00 price target. To see the full list of analyst forecasts on Vornado Realty stock, see the VNO Stock Forecast page.