By Andrew Bary

This article is an excerpt from "Amazon and 9 More Stocks to Buy for 2026," published on Dec. 12, 2025. To see the full list, click here.

The New York City office market is improving, but you wouldn't know it from looking at shares of SL Green Realty, New York's biggest commercial landlord in Manhattan: The company's stock, at around $44, is down 35% in 2025 and trades near a 52-week low.

The depressed stock price reflects weaker-than-expected guidance for 2026 made recently, as well as ample leverage, but also the impact of Democratic socialist Zohran Mamdani, New York's incoming mayor, who isn't exactly business-friendly. His impact has been negative, but he probably won't destroy the real estate tax base of the city that will fund his social programs.

At its recent investor day, the company highlighted the disconnect between its stock price and asset value, which it puts at more than $70 per share. CEO Marc Holliday termed the situation "absurd" and said the company is priced at no more than the value of the land underneath its buildings.

Evercore ISI analyst Steve Sakwa recently called the valuation "compelling" and pegs SL Green's net asset value at $85 a share, although his price target is $54. If SL Green stays this cheap, activists or private-equity investors could target the company.

Write to Andrew Bary at andrew.bary@barrons.com

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January 01, 2026 01:00 ET (06:00 GMT)

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