Vornado Realty (VNO) Offering Possible 10.5% Return Over the Next 13 Calendar Days

Vornado Realty's most recent trend suggests a bearish bias. One trading opportunity on Vornado Realty is a Bear Call Spread using a strike $40.00 short call and a strike $50.00 long call offers a potential 10.5% return on risk over the next 13 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $40.00 by expiration. The full premium credit of $0.95 would be kept by the premium seller. The risk of $9.05 would be incurred if the stock rose above the $50.00 long call strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Vornado Realty is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving down which suggests that the medium-term momentum for Vornado Realty is bearish.

The RSI indicator is at 39.42 level which suggests that the stock is neither overbought nor oversold at this time.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here


LATEST NEWS for Vornado Realty

Cuomo’s Penn Station Plan Would Fund Fix With Office Complex
Thu, 02 Jul 2020 18:53:14 +0000
(Bloomberg) — A New York state plan to redevelop the neighborhood surrounding Penn Station would clear the way for more than 14 million square feet of new offices, a massive addition of space that would accelerate the shift of Manhattan’s core toward the West side.The project would use new construction on eight sites to fund improvements to the existing Penn Station and create underground tracks and platforms to the south of the transit hub, according to a draft proposal posted online.New York Governor Andrew Cuomo first proposed the plan in January, promising to expand the Penn Station’s capacity by 40% and create new development projects to finance improvements to the transit hub.Empire State Development, the state’s economic development agency, is seeking authority to override New York City zoning rules to allow for larger buildings than currently permitted. The agency is working with Vornado Realty Trust, a major landowner in the area, the proposal said.“Governor Cuomo has advanced a bold vision to build New York back stronger than ever,” Empire State Development said in a statement. “The environmental scoping document just released is the first step of a comprehensive public review process that will study all impacts of this project and include the local community in ensuring it achieves these goals.Vornado didn’t respond to a request for comment. The project, dubbed the Empire Station Complex, could take 16 years to complete and calls for more than 800,000 square feet of retail space and nearly 1,300 hotel rooms, according to the published documents.The retail and lodging industries have been among the hardest hit by the pandemic, raising the prospect that existing properties could be converted to other uses. The future of the Manhattan office market is also uncertain, as employers get comfortable with remote-work, and city-dwellers who fled New York in the early days of the pandemic consider relocating permanently.But the Penn Station project’s long time horizon will give New York’s economy time to recover, and its West side location puts the proposed development in the middle of an emerging office hub.The first phase of Hudson Yards, a few blocks west of Penn Station, included more than 8 million square feet of office space. Macy’s Inc., meanwhile, has proposed building a 1.5 million square foot office building atop its nearby flagship store on 34th Street, a block east of the train station.For its part, Vornado is in the process of converting the former James A. Farley Post Office, across the street from Penn Station, into a massive office building.The company has said it will spend more than $2 billion to redevelop over 5 million square feet of real estate in the area.The state’s plan would likely require agreements with the Metropolitan Transportation Authority and other parties, according to the proposal. The state is holding a virtual session on July 20 to discuss the project.(Updates with state from Empire State Development.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

Third Avenue Value Fund Buys 3 Stocks, Sells 1 in 2nd Quarter
Wed, 01 Jul 2020 20:29:04 +0000
Fund invests in an insurance company, a REIT and a courier service Continue reading…

Top Stocks for July 2020
Tue, 30 Jun 2020 19:13:45 +0000
The S&P 500 Index is a market-capitalization-weighted index of the 500 largest publicly traded companies in the U.S. It is widely regarded as the best gauge of large-cap U.S. equities. Some of the largest companies in the index include Microsoft Corp.

UBS-Barclays Commercial Mortgage Trust 2012-C2 — Moody's affirms seven and downgrades five classes of UBS-Barclays 2012-C2
Tue, 30 Jun 2020 03:23:07 +0000
Moody's Investors Service, (“Moody's”) has affirmed the ratings on seven classes and downgraded the ratings on five classes in UBS-Barclays Commercial Mortgage Trust 2012-C2, Commercial Mortgage Pass-Through Certificates, Series 2012-C2. The ratings on four P&I classes, Cl. D, Cl. E, Cl. F and Cl. G, were downgraded due to higher anticipated losses as a result of the decline in pool performance, particularly in relation to three regional malls, Louis Joliet Mall (9.6% of the pool), Crystal Mall (9.6% of the pool) and Pierre Bossier Mall (4.7% of the pool).

Trump’s Quiet Workhorses Are the Prize in Vornado Sale Plan
Fri, 26 Jun 2020 20:31:01 +0000
(Bloomberg) — Manhattan’s 1290 Sixth Avenue and San Francisco’s 555 California Street are outliers in President Donald Trump’s real-estate portfolio. His name doesn’t appear in big letters there. Trump owns only 30% of them. His company doesn’t have a management role.Yet without fanfare, the two office towers are also among the Trump Organization’s most lucrative assets, together generating tens of millions in cash flow each year, according to a Bloomberg analysis. Now the properties could propel the most lucrative real estate deal involving Trump’s company during tenure in the White House.Vornado Realty Trust, which holds the remaining 70% in the buildings, said this week it’s seeking to recapitalize them. People familiar with the matter said Vornado is looking to sell the high-rises and would lead the effort, meaning Trump’s family would be a step removed from talks. The Trump Organization is likely to sell its stakes as part of a deal, the people said.The president bucked decades of tradition by declining to divest from his family business when joining the White House, and he has been dogged by lawsuits alleging his businesses open the door to spending by favor-seekers. In any sale, opponents and ethics organizations will surely scrutinize the buyer’s motives and the fairness of terms. A deal could yield hundreds of millions of dollars that the president’s company could plow into new investments, which could benefit from some of the real-estate friendly tax policies and banking regulations enacted by his administration.Vornado declined to comment. The Trump Organization didn’t respond to requests for comment.The two office buildings occupy prime commercial zones in two of the U.S.’s priciest cities, with tenants including Cushman & Wakefield and Neuberger Berman in Manhattan, and Microsoft Corp. and Goldman Sachs Group Inc in San Francisco. Vornado’s stakes in the two could be worth $2.6 billion, according to an analysis by Green Street Advisors, a real estate advisory firm. That implies that Trump’s stake could be worth as much as $1.1 billion before accounting for his share of debt.The 45-floor Sixth Avenue building generated $63 million of net cash flow after debt payments last year, according to loan disclosures compiled by Bloomberg. Trump’s share of that, $19 million, is more than the combined $15 million in net cash flow after debt generated by offices at two of his marquee office properties, Trump Tower and 40 Wall Street.“This is is a significant asset,” said Danny Ismail, an analyst at Green Street. With more than 2 million square feet, it has a roster of blue chip tenants and gets healthy rents given its quality and location, he said. ”It would be a good North Star in terms of where investors are valuing NYC office buildings.”Beyond the challenges posed by a minority partner who is running for re-election, it is an uncertain time to be marketing office properties. A recent report from Savills found that asking rents in Manhattan could plunge 26% to the lowest level since 2012 in the event of a prolonged recession.Companies are re-evaluating their need for space as the continuing coronavirus surge in the U.S. has left millions of workers uncertain about when they’ll return to their offices.“Last week everything was looking pretty good. Now all of a sudden we have new outbreaks so maybe things aren’t so good,” said Joshua Stein, a New York-based real estate attorney. “The value of this building could change by the minute.”Such a sale could give Vornado the chance to make a statement about the value of its portfolio of commercial properties, after the coronavirus pandemic helped depress its shares in March to levels reminiscent of the troughs of 2009. The stock is down about 45% for the year after slipping 3.4% on Friday in New York to $36.64. Both properties have rent rolls filled with tenants in long leases that are likely to outlast the economic upheaval. To handle the sales, Vornado turned to two firms that specialize in high-end commercial real estate. San Francisco’s 555 California is being brokered by Eastdil Secured, a real estate investment banking company. Cushman & Wakefield, which has handled an assortment of billion-dollar transactions in Manhattan in recent years, is representing 1290 Sixth Avenue.Trump’s office properties are his company’s most reliable income generators, and throughout the years have helped fuel the companies acquisition of higher-risk assets, including golf courses.This isn’t the first time that Vornado’s chairman, Steve Roth, has featured prominently in Trump family dealings. Kushner Cos., the family firm of Trump’s son-in-law Jared Kushner, co-owned another midtown office building, 666 Fifth Avenue, with Vornado prior to its sale in 2018.(Updates shares.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.

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