Head to Head Survey: Vornado Realty Trust (NYSE:VNO) & Piedmont Realty Trust (NYSE:PDM)

Vornado Realty Trust (NYSE:VNO) and Piedmont Realty Trust (NYSE:PDM) are both real estate companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, risk, profitability, analyst recommendations, valuation, earnings and dividends.

Analyst Recommendations

This is a summary of current ratings and target prices for Vornado Realty Trust and Piedmont Realty Trust, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vornado Realty Trust	4	5	4	0	2.00
Piedmont Realty Trust	1	2	1	1	2.40

Vornado Realty Trust currently has a consensus target price of $38.91, suggesting a potential upside of 13.13%. Piedmont Realty Trust has a consensus target price of $10.67, suggesting a potential upside of 10.71%. Given Vornado Realty Trust’s higher possible upside, analysts plainly believe Vornado Realty Trust is more favorable than Piedmont Realty Trust.

Risk and Volatility

Vornado Realty Trust has a beta of 1.58, meaning that its share price is 58% more volatile than the S&P 500. Comparatively, Piedmont Realty Trust has a beta of 1.39, meaning that its share price is 39% more volatile than the S&P 500.

Insider & Institutional Ownership

90.0% of Vornado Realty Trust shares are held by institutional investors. Comparatively, 84.5% of Piedmont Realty Trust shares are held by institutional investors. 9.0% of Vornado Realty Trust shares are held by insiders. Comparatively, 1.2% of Piedmont Realty Trust shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Vornado Realty Trust and Piedmont Realty Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vornado Realty Trust	3.71%	1.37%	0.43%
Piedmont Realty Trust	-14.18%	-5.39%	-2.00%

Earnings & Valuation

This table compares Vornado Realty Trust and Piedmont Realty Trust”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vornado Realty Trust	$1.81 billion	3.55	$904.96 million	$0.02	1,719.60
Piedmont Realty Trust	$564.99 million	2.13	-$83.62 million	($0.65)	-14.82

Vornado Realty Trust has higher revenue and earnings than Piedmont Realty Trust. Piedmont Realty Trust is trading at a lower price-to-earnings ratio than Vornado Realty Trust, indicating that it is currently the more affordable of the two stocks.

Summary

Vornado Realty Trust beats Piedmont Realty Trust on 13 of the 15 factors compared between the two stocks.

About Vornado Realty Trust

Vornado Realty Trust is a fully – integrated equity real estate investment trust.

About Piedmont Realty Trust

Piedmont Office Realty Trust, Inc. (also referred to herein as "Piedmont" or the "Company") (NYSE: PDM) is an owner, manager, developer, redeveloper and operator of high-quality, Class A office properties located primarily in major U.S. Sunbelt markets. The Company is a fully-integrated, self-managed real estate investment trust ("REIT") with local management offices in each of its markets and is investment-grade rated by Standard & Poor's and Moody's. The Company was designated an Energy Star Partner of the Year for 2021, 2022 and 2023, and it was the only office REIT headquartered in the Southeast to receive those designations. Approximately 85% of the Company's square footage is Energy Star certified and nearly 70% is LEED certified. Piedmont is headquartered in Atlanta, GA.