Vornado Realty Trust: Preferred Shares Remain Attractive

Vornado Realty Trust preferreds: VNO.PR.L yields 7.6% with <14% payout ratio and rising FFO coverage. Click to read more.

Summary - Vornado Realty Trust offers well-covered preferred dividends, with a payout ratio under 14% and declining further as FFO grows. - Consensus estimates project VNO's FFO per share to rise from $2.35 in 2026 to $2.69 in 2027, improving preferred dividend coverage. - VNO.PR.L preferred shares yield 7.6%, trade at a 30% discount to par, and present an attractive risk/reward profile versus Treasuries.

- While VNO common shares look increasingly interesting, I remain focused on the preferreds given their strong coverage and yield advantage. - Looking for more investing ideas like this one? Get them exclusively at European Small-Cap Ideas.

Learn More » Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions.

I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. I may initiate a long position in Vornado's Series L preferred stock but this is unlikely to happen within the next 72 hours.

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