Vornado Realty Trust (NYSE:VNO) Posts Quarterly Earnings Results, Misses Expectations By $0.49 EPS

Vornado Realty Trust (NYSE:VNO) posted its earnings results on Monday. The real estate investment trust reported $0.08 earnings per share for the quarter, missing the consensus estimate of $0.57 by ($0.49), FiscalAI reports. The firm had revenue of $462.24 million during the quarter, compared to the consensus estimate of $454.46 million. Vornado Realty Trust had a return on equity of 15.82% and a net margin of 43.99%.The firm’s revenue for the quarter was up 4.7% compared to the same quarter last year. During the same period in the previous year, the company posted $0.56 EPS.

Vornado Realty Trust Stock Performance

VNO opened at $40.03 on Tuesday. The company has a debt-to-equity ratio of 1.54, a current ratio of 6.14 and a quick ratio of 6.14. The company has a market capitalization of $7.53 billion, a price-to-earnings ratio of 11.00, a P/E/G ratio of 1.98 and a beta of 1.53. Vornado Realty Trust has a 1 year low of $24.57 and a 1 year high of $43.37. The business’s 50-day moving average price is $38.09 and its two-hundred day moving average price is $32.31.

Vornado Realty Trust announced that its board has approved a stock repurchase plan on Wednesday, April 29th that authorizes the company to repurchase $300.00 million in outstanding shares. This repurchase authorization authorizes the real estate investment trust to purchase up to 5.4% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s management believes its stock is undervalued.

Key Stories Impacting Vornado Realty Trust

Here are the key news stories impacting Vornado Realty Trust this week:

• Positive Sentiment: FFO exceeded expectations. Adjusted funds from operations rose to $0.67 per share from $0.56 a year earlier, beating the $0.57 consensus estimate. Including certain items, FFO was $0.74 per share, up from $0.60. Vornado Q2 FFO Estimates
• Positive Sentiment: Revenue and property operations improved. Second-quarter revenue increased 4.7% to $462.2 million, surpassing the $454.5 million analyst estimate. Same-store NOI at share increased 9.8%, led by 11.9% growth in New York and 9.1% growth at THE MART. Leasing spreads were also positive across major portfolios. Vornado Second Quarter Results
• Positive Sentiment: Capital returns and portfolio expansion support sentiment. Vornado repurchased approximately 1.8 million shares for $53.5 million during the quarter and has $286.6 million remaining under its repurchase authorization. It also completed the $1.1 billion acquisition of a 49% interest in Park Avenue Plaza. Vornado Q2 and First-Half Results
• Neutral Sentiment: Park Avenue development remains a future catalyst. Demolition is underway for Ken Griffin’s planned skyscraper, with Citadel-related companies expected to occupy at least 850,000 square feet. The project could create long-term value, but benefits are still dependent on development execution and timing. Ken Griffin Park Avenue Project
• Negative Sentiment: Reported net income plunged. Net income attributable to common shareholders fell to $16.4 million, or $0.08 per share, from $743.8 million, or $3.70, primarily because the prior-year quarter included an $803.2 million NYU lease-related gain.
• Negative Sentiment: Some portfolio weakness remains. Six-month adjusted FFO was essentially flat at $1.19 per share, while occupancy was 87.5% overall. Same-store NOI at 555 California Street declined 14.3% year over year, highlighting weakness in that asset.

Analyst Upgrades and Downgrades

A number of research firms have commented on VNO. Piper Sandler boosted their price target on shares of Vornado Realty Trust from $28.00 to $42.00 and gave the company a “neutral” rating in a research report on Tuesday, July 21st. Citigroup lifted their price objective on Vornado Realty Trust from $32.00 to $34.00 and gave the company a “neutral” rating in a research report on Friday, May 8th. Morgan Stanley lowered shares of Vornado Realty Trust from an “equal weight” rating to an “underweight” rating and set a $32.00 price objective on the stock. in a report on Wednesday, July 22nd. Scotiabank boosted their price objective on shares of Vornado Realty Trust from $38.00 to $40.00 and gave the stock a “sector perform” rating in a research report on Tuesday, July 21st. Finally, Truist Financial upped their price target on Vornado Realty Trust from $28.00 to $39.00 and gave the company a “hold” rating in a research note on Friday, June 26th. Four research analysts have rated the stock with a Buy rating, seven have given a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $39.17.

Insider Buying and Selling

In other Vornado Realty Trust news, Director Michael D. Fascitelli sold 133,350 shares of the firm’s stock in a transaction that occurred on Wednesday, June 17th. The stock was sold at an average price of $36.62, for a total value of $4,883,277.00. Following the completion of the transaction, the director directly owned 475,161 shares in the company, valued at $17,400,395.82. This trade represents a 21.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Russell B. Wight, Jr. acquired 4,000 shares of the company’s stock in a transaction dated Monday, June 8th. The shares were bought at an average price of $16.94 per share, for a total transaction of $67,760.00. Following the purchase, the director owned 13,000 shares in the company, valued at approximately $220,220. This represents a 44.44% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. 9.00% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Royal Bank of Canada grew its holdings in Vornado Realty Trust by 18.3% during the first quarter. Royal Bank of Canada now owns 27,507 shares of the real estate investment trust’s stock worth $1,017,000 after purchasing an additional 4,251 shares during the period. AQR Capital Management LLC boosted its stake in shares of Vornado Realty Trust by 18.7% during the 1st quarter. AQR Capital Management LLC now owns 51,939 shares of the real estate investment trust’s stock worth $1,903,000 after acquiring an additional 8,189 shares during the period. Goldman Sachs Group Inc. increased its holdings in shares of Vornado Realty Trust by 22.6% during the 1st quarter. Goldman Sachs Group Inc. now owns 613,806 shares of the real estate investment trust’s stock worth $22,705,000 after acquiring an additional 112,956 shares during the last quarter. Marshall Wace LLP bought a new stake in Vornado Realty Trust in the 2nd quarter valued at $763,000. Finally, California Public Employees Retirement System raised its stake in Vornado Realty Trust by 9.6% in the 2nd quarter. California Public Employees Retirement System now owns 365,237 shares of the real estate investment trust’s stock valued at $13,967,000 after acquiring an additional 32,028 shares during the period. Institutional investors own 90.02% of the company’s stock.

Vornado Realty Trust Company Profile

Vornado Realty Trust is a self‐administered real estate investment trust focused on the ownership, management and redevelopment of office and retail properties. As a fully integrated REIT, the company oversees leasing, property management, building operations and strategic capital improvements designed to enhance asset value and tenant experience. Vornado’s business model emphasizes long‐term cash flow generation through stable rental income and disciplined portfolio optimization.

The company’s core portfolio is concentrated in New York City, where it holds a diverse mix of office towers and street‐level retail assets in prominent submarkets such as Midtown and the Penn Plaza corridor.