02:10 PM EDT, 04/24/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We believe VNO continues to face significant headwinds from a weak office leasing environment in Manhattan and risks of fewer than expected interest rate cuts. We keep our target price at $22 on a forward P/FFO of 9.5x our 2024 FFO estimate, a premium to office REIT peers (8.2x) due to VNO's concentration on class A offices. We trim our 2024 FFO estimate by $0.09 to $2.30 and 2025's by $0.20 to $2.36. While VNO's class A office concentration helps insulate it from the worst of the office real estate headwinds, we note that substantial pressure remains. We expect pricing power to remain non-existent for VNO due to significant vacancy (~18.0%) within the Manhattan office market. Additionally, leverage of 8.1x and significant maturities coming due in 2025 ($1.3B), 2026 ($925M), and 2027 ($2.9B) in a higher rate environment limit upside potential, in our view. As a result, we believe shares are currently overvalued, trading at 11.6x our 2024 FFO estimate, or a 41% premium to office REIT peers.