VORNADO REALTY TRUST (VNO) Stock Fundamental Analysis
NYSE:VNO - US9290421091 - REIT
37.57 USD
-0.07 (-0.19%)
37.57 USD
0 (0%)
Overall VNO gets a fundamental rating of 5 out of 10. We evaluated VNO against 129 industry peers in the Diversified REITs industry. Both the profitability and the financial health of VNO get a neutral evaluation. Nothing too spectacular is happening here. VNO has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
VNO had positive earnings in the past year.
In the past year VNO had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: VNO reported negative net income in multiple years.
VNO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 5.21%, VNO belongs to the best of the industry, outperforming 96.12% of the companies in the same industry.
Looking at the Return On Equity, with a value of 13.34%, VNO belongs to the top of the industry, outperforming 93.80% of the companies in the same industry.
VNO has a worse Return On Invested Capital (1.45%) than 78.29% of its industry peers.
The Average Return On Invested Capital over the past 3 years for VNO is in line with the industry average of 3.06%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.21% | ||
| ROE | 13.34% | ||
| ROIC | 1.45% |
ROA(3y)-0.72%
ROA(5y)-0.74%
ROE(3y)-2.02%
ROE(5y)-1.95%
ROIC(3y)1.48%
ROIC(5y)1.27%
1.3 Margins
VNO has a better Profit Margin (45.05%) than 95.35% of its industry peers.
In the last couple of years the Profit Margin of VNO has declined.
VNO has a Operating Margin of 14.83%. This is in the lower half of the industry: VNO underperforms 65.12% of its industry peers.
In the last couple of years the Operating Margin of VNO has declined.
VNO has a Gross Margin of 49.21%. This is in the lower half of the industry: VNO underperforms 79.07% of its industry peers.
VNO's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.83% | ||
| PM (TTM) | 45.05% | ||
| GM | 49.21% |
OM growth 3Y-1.7%
OM growth 5Y-7.8%
PM growth 3Y-58.25%
PM growth 5Y-68.97%
GM growth 3Y-1.17%
GM growth 5Y-1.66%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VNO is destroying value.
VNO has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, VNO has about the same amount of shares outstanding.
Compared to 1 year ago, VNO has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.40, we must say that VNO is in the distress zone and has some risk of bankruptcy.
VNO has a Altman-Z score of 0.40. This is comparable to the rest of the industry: VNO outperforms 43.41% of its industry peers.
The Debt to FCF ratio of VNO is 7.73, which is on the high side as it means it would take VNO, 7.73 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of VNO (7.73) is better than 94.57% of its industry peers.
A Debt/Equity ratio of 1.16 is on the high side and indicates that VNO has dependencies on debt financing.
VNO has a Debt to Equity ratio of 1.16. This is comparable to the rest of the industry: VNO outperforms 52.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 7.73 | ||
| Altman-Z | 0.4 |
ROIC/WACC0.22
WACC6.46%
2.3 Liquidity
A Current Ratio of 1.88 indicates that VNO should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.88, VNO is in the better half of the industry, outperforming 76.74% of the companies in the same industry.
A Quick Ratio of 1.88 indicates that VNO should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.88, VNO is doing good in the industry, outperforming 76.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 1583.33% over the past year.
The earnings per share for VNO have been decreasing by -57.97% on average. This is quite bad
The Revenue has been growing slightly by 1.38% in the past year.
VNO shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -1.47% yearly.
EPS 1Y (TTM)1583.33%
EPS 3Y-58.75%
EPS 5Y-57.97%
EPS Q2Q%1955.56%
Revenue 1Y (TTM)1.38%
Revenue growth 3Y4%
Revenue growth 5Y-1.47%
Sales Q2Q%-1.96%
3.2 Future
Based on estimates for the next years, VNO will show a very strong growth in Earnings Per Share. The EPS will grow by 68.63% on average per year.
The Revenue is expected to grow by 4.66% on average over the next years.
EPS Next Y2412.38%
EPS Next 2Y-64.47%
EPS Next 3Y131.29%
EPS Next 5Y68.63%
Revenue Next Year1.84%
Revenue Next 2Y3%
Revenue Next 3Y4.35%
Revenue Next 5Y4.66%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 9.30, which indicates a very decent valuation of VNO.
Compared to the rest of the industry, the Price/Earnings ratio of VNO indicates a rather cheap valuation: VNO is cheaper than 96.90% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 27.17. VNO is valued rather cheaply when compared to this.
VNO is valuated quite expensively with a Price/Forward Earnings ratio of 7439.60.
Based on the Price/Forward Earnings ratio, VNO is valued a bit more expensive than 61.24% of the companies in the same industry.
VNO's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.78.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.3 | ||
| Fwd PE | 7439.6 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VNO is valued a bit more expensive than the industry average as 74.42% of the companies are valued more cheaply.
VNO's Price/Free Cash Flow ratio is rather cheap when compared to the industry. VNO is cheaper than 96.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.86 | ||
| EV/EBITDA | 17.52 |
4.3 Compensation for Growth
VNO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as VNO's earnings are expected to grow with 131.29% in the coming years.
PEG (NY)0
PEG (5Y)N/A
EPS Next 2Y-64.47%
EPS Next 3Y131.29%
5. Dividend
5.1 Amount
VNO has a Yearly Dividend Yield of 7.42%, which is a nice return.
Compared to an average industry Dividend Yield of 6.31, VNO pays a bit more dividend than its industry peers.
VNO's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.42% |
5.2 History
The dividend of VNO decreases each year by -18.14%.
VNO has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of VNO decreased recently.
Dividend Growth(5Y)-18.14%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
25.00% of the earnings are spent on dividend by VNO. This is a low number and sustainable payout ratio.
DP25%
EPS Next 2Y-64.47%
EPS Next 3Y131.29%
37.57
-0.07 (-0.19%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryDiversified REITs
Earnings (Last)
Earnings (Next)
Inst Owners95.64%
Inst Owner Change3.04%
Ins Owners6.5%
Ins Owner Change0.43%
Market Cap7.21B
Analysts51.43
Price Target39.87 (6.12%)
Short Float %5.78%
Short Ratio6.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.42% |
Yearly Dividend1.07
Dividend Growth(5Y)-18.14%
DP25%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2129.51%
Min EPS beat(2)132.23%
Max EPS beat(2)4126.8%
EPS beat(4)4
Avg EPS beat(4)1094.95%
Min EPS beat(4)0.99%
Max EPS beat(4)4126.8%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.83%
Min Revenue beat(2)-4.75%
Max Revenue beat(2)1.08%
Revenue beat(4)2
Avg Revenue beat(4)-1.1%
Min Revenue beat(4)-4.75%
Max Revenue beat(4)1.3%
Revenue beat(8)3
Avg Revenue beat(8)-1.46%
Revenue beat(12)6
Avg Revenue beat(12)23.6%
Revenue beat(16)9
Avg Revenue beat(16)24.62%
PT rev (1m)-0.42%
PT rev (3m)-0.42%
EPS NQ rev (1m)-130.3%
EPS NQ rev (3m)-233.3%
EPS NY rev (1m)156.77%
EPS NY rev (3m)2742.86%
Revenue NQ rev (1m)-3.6%
Revenue NQ rev (3m)-3.66%
Revenue NY rev (1m)-1.46%
Revenue NY rev (3m)-1.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.3 | ||
| Fwd PE | 7439.6 | ||
| P/S | 4 | ||
| P/FCF | 7.86 | ||
| P/OCF | 5.19 | ||
| P/B | 1.18 | ||
| P/tB | 1.21 | ||
| EV/EBITDA | 17.52 |
EPS(TTM)4.04
EY10.75%
EPS(NY)0.01
Fwd EY0.01%
FCF(TTM)4.78
FCFY12.73%
OCF(TTM)7.24
OCFY19.27%
SpS9.39
BVpS31.72
TBVpS31.13
PEG (NY)0
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.21% | ||
| ROE | 13.34% | ||
| ROCE | 1.84% | ||
| ROIC | 1.45% | ||
| ROICexc | 1.58% | ||
| ROICexgc | 1.63% | ||
| OM | 14.83% | ||
| PM (TTM) | 45.05% | ||
| GM | 49.21% | ||
| FCFM | 50.9% |
ROA(3y)-0.72%
ROA(5y)-0.74%
ROE(3y)-2.02%
ROE(5y)-1.95%
ROIC(3y)1.48%
ROIC(5y)1.27%
ROICexc(3y)1.57%
ROICexc(5y)1.37%
ROICexgc(3y)1.63%
ROICexgc(5y)1.42%
ROCE(3y)1.87%
ROCE(5y)1.61%
ROICexcg growth 3Y2.74%
ROICexcg growth 5Y-7.36%
ROICexc growth 3Y3.14%
ROICexc growth 5Y-7.55%
OM growth 3Y-1.7%
OM growth 5Y-7.8%
PM growth 3Y-58.25%
PM growth 5Y-68.97%
GM growth 3Y-1.17%
GM growth 5Y-1.66%
F-Score8
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.16 | ||
| Debt/FCF | 7.73 | ||
| Debt/EBITDA | 9.48 | ||
| Cap/Depr | 98.16% | ||
| Cap/Sales | 26.18% | ||
| Interest Coverage | 0.79 | ||
| Cash Conversion | 185.73% | ||
| Profit Quality | 112.98% | ||
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z | 0.4 |
F-Score8
WACC6.46%
ROIC/WACC0.22
Cap/Depr(3y)148.23%
Cap/Depr(5y)165.12%
Cap/Sales(3y)40.05%
Cap/Sales(5y)44.81%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1583.33%
EPS 3Y-58.75%
EPS 5Y-57.97%
EPS Q2Q%1955.56%
EPS Next Y2412.38%
EPS Next 2Y-64.47%
EPS Next 3Y131.29%
EPS Next 5Y68.63%
Revenue 1Y (TTM)1.38%
Revenue growth 3Y4%
Revenue growth 5Y-1.47%
Sales Q2Q%-1.96%
Revenue Next Year1.84%
Revenue Next 2Y3%
Revenue Next 3Y4.35%
Revenue Next 5Y4.66%
EBIT growth 1Y2.55%
EBIT growth 3Y2.23%
EBIT growth 5Y-9.15%
EBIT Next Year206.97%
EBIT Next 3Y46.28%
EBIT Next 5Y26.08%
FCF growth 1Y1108.96%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y87.13%
OCF growth 3Y-10.96%
OCF growth 5Y-4.09%