J.P. Morgan Reiterates Overweight Rating, $95 PT on Vornado Realty Trust Ahead of 4Q Earnings

In a report published Friday, J.P. Morgan reiterated its Overweight rating and $95.00 price target on Vornado Realty Trust

. J.P. Morgan noted, “Heading into VNO's 4Q earnings release next week (VNO reports next Tuesday after the close), we are updating our FFO estimates to reflect a number of items, including VNO's share of Toys' 3Q results, the mark-to-market on the JCP derivative position, its recent preferred equity issuance/redemption, the sale of LNR, its mortgage/mezz investment in 701 Seventh Avenue, and the settlement of the Stop & Shop litigation. Note that our model already assumed $350 million of retail dispositions at a 6% cap rate in both 2Q and 3Q, so we did not adjust our disposition assumptions to account for the sale of The Plant for $203 million in 2Q, though the cap rate on this sale is likely sub-6%.” Vornado Realty Trust closed on Thursday at $84.88.