Vornado Realty Trust (NYSE:VNO) to Buyback $300.00 million in Stock

Key Points

• Vornado's board authorized a stock buyback of $300 million, allowing repurchases of up to 5.4% of outstanding shares—a move typically interpreted as the company signaling its stock is undervalued.
• Analysts have trimmed ratings and price targets (multiple downgrades); MarketBeat's consensus is a Hold with a $34.82 target, while the stock traded down about 3.2% to $29.33.
• Recent quarter showed a slight EPS miss ($0.55 vs. $0.57) but revenue beat ($453.7M); the shares trade at a low valuation (P/E ≈ 7.0) with a market cap near $5.5 billion.

Vornado Realty Trust (NYSE:VNO - Get Free Report) declared that its Board of Directors has authorized a stock buyback plan on Wednesday, April 29th, RTT News reports. The company plans to repurchase $300.00 million in outstanding shares. This repurchase authorization allows the real estate investment trust to purchase up to 5.4% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's board of directors believes its stock is undervalued.

Wall Street Analyst Weigh In

Several analysts have commented on the stock. Wall Street Zen cut shares of Vornado Realty Trust from a "hold" rating to a "sell" rating in a research report on Saturday, February 14th. JPMorgan Chase & Co. decreased their price objective on Vornado Realty Trust from $41.00 to $33.00 and set a "neutral" rating for the company in a research note on Wednesday, March 25th. Scotiabank dropped their price objective on Vornado Realty Trust from $36.00 to $32.00 and set a "sector perform" rating for the company in a report on Monday, March 2nd. Weiss Ratings lowered Vornado Realty Trust from a "hold (c+)" rating to a "hold (c)" rating in a research note on Tuesday, April 21st. Finally, Barclays reduced their target price on Vornado Realty Trust from $33.00 to $28.00 and set an "underweight" rating on the stock in a report on Thursday, February 26th. Three equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, Vornado Realty Trust presently has a consensus rating of "Hold" and a consensus target price of $34.82.

Vornado Realty Trust Trading Down 3.2%

Shares of NYSE VNO traded down $0.98 during midday trading on Wednesday, reaching $29.33. 1,707,539 shares of the stock were exchanged, compared to its average volume of 2,033,465. The business has a 50-day simple moving average of $27.32 and a two-hundred day simple moving average of $32.00. The company has a market capitalization of $5.53 billion, a price-to-earnings ratio of 7.00, a P/E/G ratio of 1.63 and a beta of 1.51. Vornado Realty Trust has a 12 month low of $24.57 and a 12 month high of $43.37. The company has a debt-to-equity ratio of 1.44, a current ratio of 5.25 and a quick ratio of 5.25.

Vornado Realty Trust (NYSE:VNO - Get Free Report) last released its quarterly earnings data on Monday, February 9th. The real estate investment trust reported $0.55 EPS for the quarter, missing analysts' consensus estimates of $0.57 by ($0.02). The firm had revenue of $453.71 million during the quarter, compared to the consensus estimate of $440.23 million. Vornado Realty Trust had a net margin of 49.99% and a return on equity of 18.64%. Vornado Realty Trust's quarterly revenue was down .9% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.61 EPS. As a group, equities research analysts expect that Vornado Realty Trust will post 2.33 EPS for the current year.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.