This section combines price targets, revision history, analyst coverage changes, and an AI summary of what changed on the Street.
Price Target· 1 analysts setting price target
$37.67
+9.1%
Current Price $34.54·Median $38.00
Low
$32.00
High
$43.00
Current price
$34.54
Average target
$37.67
Street summary
Limited Target Increase with a Mixed Outlook Remaining
The consensus price target rose over the last 30 days from 38.22 to 39.11, an increase of 0.89 or 2.33%, while the number of analysts remained at one and the consensus did not change over the last 7 days or 1 day. The current target is 39 versus a price of 34.68, with a range between 32 and 44, reflecting notable divergence in estimates despite the limited analyst base.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
StockSector medianSector averagetypical sector range
Vornado Realty Trust is a real estate investment trust focused on offices and street retail in Manhattan, generating revenue from property leasing and billboards associated with its locations in Times Square and PENN District. Re-leasing PENN 1 and PENN 2 and the commencement of their leases are central to business growth, alongside property development and acquisitions of assets such as Park Avenue Plaza and 623 Fifth Avenue. Owning the billboard sites allows the company to operate this business without leasing the spaces on which the billboards are installed.
In quarter 2 of fiscal year 2026, ended 2026-06-30, revenue was 462.2 million dollars, up 4.7% from 441.4 million dollars in the same quarter of the previous year. Net income was 32.0 million dollars and diluted earnings per share were 0.08 dollars, compared with net income of 759.3 million dollars and diluted earnings per share of 3.7 dollars in quarter 2 of fiscal year 2025. Revenue improvement therefore does not mean that accounting earnings have returned to the comparable period's level; operationally, however, New York offices and retail improved simultaneously, with an additional contribution from advertising.
Operating cash flow, according to EL7 data, was 163.7 million dollars in quarter 2 of fiscal year 2026, ended 2026-06-30. For the last 12 months through 2026-06-30, revenue was 1.8 billion dollars and net income was 67.9 million dollars, compared with operating cash flow of 390.9 million dollars according to EL7 data. Free cash flow calculated by EL7 (operating cash flow minus capital expenditure) for the last 12 months through 2026-06-30 was approximately 270.6 million dollars; these figures show that cash generation is stronger than accounting net income, while the timing of funding tenant improvements continues to affect available cash.
Key numbers
Q2 FY2026
Revenue
$462.2M
+4.7%vs a year earlier
Net income
$32.0M
−95.8%vs a year earlier
Diluted EPS
0.08
−97.8%vs a year earlier
Net cash (cash + short-term investments − debt)
-$1.9B
Last 12 months to 2026-06-30
Revenue
$1.8B
Net income
$67.9M
3.7%of revenue
Free cash flow (operating cash flow − capex)
$270.6M
14.8%of revenue
What changed since the last analysis
On 2026-10-20, the average analyst consensus target declined to 37.67 dollars, compared with 38.22 dollars in the 2026-08-30 analysis.
What's Driving the Stock
PENN leasing is translating into actual earnings: in quarter 2 of fiscal year 2026, ended 2026-06-30, comparable funds from operations were 0.67 dollars per share versus 0.56 dollars per share in the same quarter of the previous year. Management linked the increase to the commencement of rent recognition at PENN 1 and PENN 2 and other operating factors, despite higher net interest expense.
Higher office occupancy improves growth visibility: New York office occupancy reached 92.2% in quarter 2 of fiscal year 2026, ended 2026-06-30, up 60 basis points from the previous quarter. On the 2026-08-04 call, management said it expected occupancy to exceed 93% by the end of fiscal year 2026.
Pricing strength is evident in executed leases: during quarter 2 of fiscal year 2026, ended 2026-06-30, Vornado completed 29 Manhattan office transactions covering 348,000 square feet, with average initial rent of 107 dollars per square foot and a cash rent increase of 5.0% over the previous leases for the relevant spaces.
PENN 1 lease renewals provide room for rent increases: on the 2026-08-04 call, management reported leases covering 246,000 square feet awaiting signature at PENN 1, with a rent increase of 44% over the previous leases, and expected a company-wide increase exceeding 20% in quarter 3 of fiscal year 2026; these are management expectations, not realized results.
Buying & Selling Case
▲ Buying Case8 pts
+Accelerating core business activity supports the revenue recovery: annual growth reached 4.7% in quarter 2 of fiscal year 2026, ended 2026-06-30, compared with an annual contraction of 0.5% in quarter 1 of fiscal year 2026, an improvement of 5.2 percentage points in the growth rate from the previous quarter.
+Signed leases for which rent recognition has not yet begun provide a tangible path to earnings growth; on the 2026-08-04 call, management estimated the rents associated with these leases at 180 million dollars, while New York office occupancy reached 92.2% in quarter 2 of fiscal year 2026, ended 2026-06-30, leaving room for completed leasing to translate into actual income.
+Vornado has a demonstrated ability to raise rents at its properties; Manhattan office leases in quarter 2 of fiscal year 2026, ended 2026-06-30, achieved average initial rent of 107 dollars per square foot and a cash rent increase of 5.0%, while PENN 1 leases awaiting signature on 2026-08-04 carried a rent increase of 44%.
+The acquisition of half of Park Avenue Plaza offers an opportunity to reset rents; on the
What would change this view
When: 2026-11-02
Revenue compared with the benchmark of 462.2 million dollars
▲ Positive
Revenue exceeding 462.2 million dollars in the earnings announcement expected on 2026-11-02 would strengthen the growth case and confirm revenue advancing beyond the level of quarter 2 of fiscal year 2026, ended 2026-06-30.
▼ Negative
Revenue falling below 462.2 million dollars in the earnings announcement expected on 2026-11-02 would reinforce the risk of a slowdown in converting leasing activity into revenue compared with quarter 2 of fiscal year 2026, ended 2026-06-30.
Comparable funds from operations against the benchmark of 0.67 dollars per share
▲ Positive
Comparable funds from operations reaching at least 0.67 dollars per share in the earnings announcement expected on 2026-11-02 would support management's description of the result for quarter 2 of fiscal year 2026, ended 2026-06-30, as an appropriate average run rate for the remainder of fiscal year 2026.
Valuation
The value based on the median analyst target is 38 dollars, within a range of 32 dollars to 43 dollars. This is a low-confidence indicative value because it relies on one analyst in this measure, and it reflects growth expectations that inherently tend toward optimism. The value based on the industry multiple is 17 dollars, within a range of 7.10 dollars to 33 dollars, using next year's earnings and a median multiple of 83.6 across 9 companies, valuing the company as its peers are valued. The ranges of the two methods overlap at their edges, but the difference between 38 dollars and 17 dollars illustrates the difference between pricing expected growth and applying the earnings multiple of peer companies. The average analyst consensus target is 37.67 dollars with a Neutral recommendation, while EL7's valuation pillar, which compares the attractiveness of multiples within the industry, ranks 16 out of 23 based on data for the period ended 2026-06-30.
HoldAnalyst target: $37.67(+9.1%)
Figures in the text are as of 2026-10-20; the live price is shown at the top of the page.
FAQ
How does Vornado generate revenue, and why is PENN District important for VNO stock?
Vornado leases offices and retail properties, with a focus on Manhattan, and operates a billboard business in Times Square and PENN District. In quarter 2 of fiscal year 2026, ended 2026-06-30, Manhattan office leasing included 181,000 square feet in PENN District and 167,000 square feet across its other properties there. PENN 1 and PENN 2 are important because the commencement of rent recognition contributed to comparable funds from operations reaching 0.67 dollars per share in that quarter.
Why do VNO's accounting earnings differ from funds from operations?
In quarter 2 of fiscal year 2026, ended 2026-06-30, net income was 32.0 million dollars and diluted earnings per share were 0.08 dollars. In the same period, comparable funds from operations were 0.67 dollars per share versus 0.56 dollars per share in the same quarter of the previous year; this is a non-GAAP measure distinct from earnings per share. The figures therefore show a decline in net income from the comparable period alongside an improvement in the operating measure, which management linked to rent commencements and growth in the advertising business. The available information is insufficient to explain the entire difference between the two measures.
Automated analysis for informational purposes only — not investment advice.
The billboard business adds a source of growth alongside rents: in the discussion of results for quarter 2 of fiscal year 2026, ended 2026-06-30, management described this business as growing approximately 5% annually, driven by higher prices and the volume of advertising space sold, with opportunities to add billboards as part of the PENN District development.
Improvement in analyst expectations is not uniform: over the 90 days through 2026-10-20, 3 price target increases were recorded with no reductions, including Scotiabank raising its target to 41 dollars on 2026-09-02; however, the consensus average declined to 37.67 dollars from 38.22 dollars in the 2026-08-30 analysis, while the overall rating remained Neutral.
2026-08-04
call, management described existing rents as approximately half the market level, with an existing mortgage carrying an interest rate of 2.9% and a remaining term of 6 years, supporting the property's income while awaiting lease renewals.
+The 350 Park Avenue project has an identified anchor tenant and partner; on the 2026-08-04 call, management stated that Citadel is the anchor tenant for one million square feet and that Ken Griffin is a 60% partner, with Vornado intending to exercise its participation option for a maximum stake of 36%, giving the project a leasing and partnership foundation before completion.
+Earnings are supported by cash generation exceeding net income; operating cash flow according to EL7 data for the last 12 months through 2026-06-30 was 390.9 million dollars, equivalent to 576% of net income of 67.9 million dollars, while free cash flow calculated by EL7 (operating cash flow minus capital expenditure) for the last 12 months through 2026-06-30 was approximately 270.6 million dollars.
+A shrinking share base increases each share's portion of results, all else being equal; diluted shares declined to 194.2 million in quarter 2 of fiscal year 2026, ended 2026-06-30, from 201.1 million in the same quarter of the previous year, a decrease of 3.4%, with share repurchases of 133.4 million dollars over the last 12 months through 2026-06-30.
+Revisions by some analysts support an improving outlook for the company, with 3 target increases and no reductions recorded over the 90 days through 2026-10-20, including Citi on 2026-08-10, Evercore ISI on 2026-08-05, and Scotiabank on 2026-09-02, although the consensus recommendation remained Neutral.
▼ Selling Case7 pts
−The debt burden requires discipline in funding development and share repurchases; in quarter 2 of fiscal year 2026, ended 2026-06-30, debt according to EL7 data was approximately 2.6 billion dollars, compared with cash and short-term investments of 675.4 million dollars. Management indicated that higher net interest expense constrained growth in funds from operations; this comparison excludes long-term marketable securities and is not a measure of total liquidity.
−Completed leasing has not fully translated into available cash income; on the 2026-08-04 call, management estimated occupancy associated with income recognition under accounting principles at approximately 83% to 84%, compared with actual occupancy of 92.2% in quarter 2 of fiscal year 2026, ended 2026-06-30. It expected tenant improvement costs to remain at similar levels between fiscal year 2026 and fiscal year 2027 before beginning to decline in fiscal year 2028.
−350 Park Avenue carries a long-term capital commitment and an income gap during development; on the 2026-08-04 call, management estimated additional capital requirements for Vornado's stake at approximately 300 million to 350 million dollars, with major contributions beginning in 2029 and beyond, and acknowledged the loss of income from the old building during the period before the new building becomes operational.
−Vornado's business model concentrates its exposure in Manhattan offices and retail, and the leasing plan announced on 2026-08-04 highlights Citadel's importance as the anchor tenant for one million square feet at 350 Park Avenue; consequently, weaker demand for premium offices in this market, or delays in executing this project, would affect a core part of the growth path presented by management.
−Accounting earnings remain volatile despite revenue growth; net income was 32.0 million dollars in quarter 2 of fiscal year 2026, ended 2026-06-30, compared with 759.3 million dollars in the same quarter of the previous year, while earnings for the last 12 months through 2026-06-30 were approximately 67.9 million dollars, limiting the usefulness of a single quarter's earnings in estimating sustainable earnings capacity.
−EL7's valuation pillar does not give the company a relative advantage within the office REIT industry; based on data for the period ended 2026-06-30, it scored 32 out of 100 and the company ranked 16 out of 23. This pillar measures the attractiveness of valuation multiples relative to industry peers.
−Market sentiment toward the company remains relatively weak despite some target increases; based on data for the period ended 2026-06-30, EL7's sentiment pillar, which measures analysts' stance and expectations toward the stock, scored 24 out of 100 within the industry and ranked 17 out of 20, consistent with the consensus remaining Neutral.
▼ Negative
Comparable funds from operations falling below 0.67 dollars per share in the earnings announcement expected on 2026-11-02 would weaken the realization of the run rate management described for the remainder of fiscal year 2026 and raise further questions about the ability of rent commencements to offset expenses.
When: Fiscal year 2026
New York office occupancy exceeding 93%
▲ Positive
New York office occupancy exceeding 93% by the end of fiscal year 2026 would confirm progress in executing leasing in line with management's expectations and support an expansion of the occupied property base.
▼ Negative
New York office occupancy remaining at 93% or below by the end of fiscal year 2026 would mean management's expectation of exceeding this level was not met and would weaken the case for rapid absorption of vacant space.
Can Vornado fund its development with its existing debt burden?
In quarter 2 of fiscal year 2026, ended 2026-06-30, debt according to EL7 data was approximately 2.6 billion dollars, compared with cash and short-term investments of 675.4 million dollars, excluding long-term marketable securities. Operating cash flow according to EL7 data for the last 12 months through 2026-06-30 was approximately 390.9 million dollars, but this does not eliminate the funding requirements for tenant improvements and development. On the 2026-08-04 call, management estimated the additional capital needed for its stake in 350 Park Avenue at approximately 300 million to 350 million dollars, with major funding beginning in 2029 and beyond, and mentioned discussions to sell two assets without announcing their completion.
What could increase VNO's income following the results for quarter 2 of fiscal year 2026?
On the 2026-08-04 call, management identified signed leases for which rent recognition had not yet begun, estimating the associated rents at 180 million dollars. New York office occupancy was 92.2% in quarter 2 of fiscal year 2026, ended 2026-06-30, with expectations that it would exceed 93% by the end of fiscal year 2026. Management also expected comparable funds from operations to grow in fiscal year 2026 compared with fiscal year 2025, and PENN leasing and the Park Avenue Plaza acquisition to continue contributing to growth in fiscal year 2027, without providing detailed formal guidance.
How should the different analyst targets for VNO stock be interpreted?
The average analyst consensus target is 37.67 dollars, within a range of 32 dollars to 43 dollars, with a Neutral recommendation. Over the 90 days through 2026-10-20, 3 target increases were recorded with no reductions, including Scotiabank raising its target from 40 dollars to 41 dollars on 2026-09-02. Nevertheless, the consensus average declined from 38.22 dollars in the 2026-08-30 analysis, so the direction of revisions by the named institutions does not necessarily match the change in the consensus average.
