Vornado Realty Trust (NYSE: VNO) stock fell -3.68% on Friday to $25.16 against a previous-day closing price of $26.12. With 1.61 million shares changed hands, the volume of the stock remained lighter than its average volume of 2.0 million shares. During the session, the REIT – Office company that operates in wider Real Estate sector, reached to the highest price of $26.54 whereas the lowest price it dropped to was $25.16. The 52-week range on VNO shows that it touched its highest point at $47.26 and its lowest point at $25.27 during that stretch. It currently has a 1-year price target of $31.45. With its current market cap of 4.74 billion, VNO has annualized dividend of $2.12 while the current yield stands at 8.43%. Beta for the stock currently stands at 1.26.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of VNO was down-trending over the past week, with a drop of -5.02%, but this was down by -8.44% over a month. Three-month performance dropped to -10.46% while six-month performance fell -45.27%. The stock lost -39.36% in the past year, while it has lost -39.89% so far this year. A look at the trailing 12-month EPS for VNO yields 0.66 with Next year EPS estimates of 0.47. For the next quarter, that number is 0.14. This implies an EPS growth rate of 128.80% for this year and 19.74% for next year. EPS is expected to grow by 17.33% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of -24.90%.
Float and Shares Shorts:
At present, 191.75 million VNO shares are outstanding with a float of 176.25 million shares on hand for trading. On Jul 14, 2022, short shares totaled 15.13 million, which was 7.89% higher than short shares on Jun 14, 2022. In addition to Mr. Steven Roth as the firm’s Chairman & CEO, Mr. Michael J. Franco serves as its Pres & CFO.
Through their ownership of 83.61% of VNO’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 53.49% of VNO, in contrast to 26.85% held by mutual funds. Shares owned by individuals account for 10.32%. As the largest shareholder in VNO with 13.70% of the stake, The Vanguard Group, Inc. holds 26,269,621 shares worth 26,269,621. A second-largest stockholder of VNO, Norges Bank Investment Management, holds 18,082,373 shares, controlling over 9.43% of the firm’s shares. SSgA Funds Management, Inc. is the third largest shareholder in VNO, holding 13,972,346 shares or 7.29% stake. With a 9.41% stake in VNO, the Government Pension Fund – Global is the largest stakeholder. A total of 18,042,011 shares are owned by the mutual fund manager. The Vanguard Real Estate Index Fund, which owns about 3.90% of VNO stock, is the second-largest Mutual Fund holder. It holds 7,474,866 shares valued at 195.99 million. Vanguard Total Stock Market Index holds 2.68% of the stake in VNO, owning 5,133,434 shares worth 134.6 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for VNO since 14 analysts follow the stock currently. There are 2 analysts who recommend BUY ratings, while 3 suggest SELL ratings. Of the remaining analysts, 7 believe that the stock is worth HOLDING, 1 give it an OVERWEIGHT rating, and 1 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With VNO analysts setting a high price target of $35.00 and a low target of $20.00, the average target price over the next 12 months is $30.45. Based on these targets, VNO could surge 39.11% to reach the target high and fall by -20.51% to reach the target low. Reaching the average price target will result in a growth of 21.03% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. VNO will report FY 2022 earnings on 02/13/2023. Analysts have provided yearly estimates in a range of $0.91 being high and $0.42 being low. For VNO, this leads to a yearly average estimate of $0.73. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Vornado Realty Trust surprised analysts by $0.01 when it reported $0.19 EPS against a consensus estimate of $0.18. The surprise factor in the prior quarter was $0.07. Based on analyst estimates, the high estimate for the next quarter is $0.23 and the low estimate is $0.04. The average estimate for the next quarter is thus $0.14.
Summary of Insider Activity:
Insiders traded VNO stock several times over the past three months with 0 Buys and 0 Sells. In these transactions, 0 shares were bought while 0 shares were sold. The number of buy transactions has increased to 1 while that of sell transactions has risen to 2 over the past year. The total number of shares bought during that period was 5,262 while 259,100 shares were sold.