CoreCivic (NYSE:CXW) Issues Earnings Results

CoreCivic (NYSE:CXW) posted its earnings results on Wednesday. The real estate investment trust reported $0.49 earnings per share for the quarter, missing analysts’ consensus estimates of $15.14 by ($14.65), FiscalAI reports. CoreCivic had a net margin of 54.60% and a return on equity of 10.69%. The company had revenue of $744.09 million for the quarter, compared to analysts’ expectations of $697.55 million. During the same period in the previous year, the firm earned $0.48 EPS. The firm’s quarterly revenue was up 28.2% compared to the same quarter last year.

CoreCivic Trading Up 1.2%

Shares of CXW traded up $0.33 during midday trading on Friday, hitting $28.56. The stock had a trading volume of 1,584,136 shares, compared to its average volume of 1,406,030. The firm has a market cap of $2.82 billion, a PE ratio of 1.86 and a beta of 0.63. CoreCivic has a 1 year low of $15.73 and a 1 year high of $36.55. The stock’s 50 day moving average is $32.42 and its 200 day moving average is $25.94. The company has a debt-to-equity ratio of 0.86, a current ratio of 1.32 and a quick ratio of 1.32.

Insider Buying and Selling

In other CoreCivic news, Director John R. Prann, Jr. sold 40,000 shares of CoreCivic stock in a transaction on Monday, August 17th. The shares were sold at an average price of $33.54, for a total value of $1,341,600.00. Following the transaction, the director directly owned 30,396 shares of the company’s stock, valued at approximately $1,019,481.84. The trade was a 56.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Lucibeth Mayberry sold 120,000 shares of the stock in a transaction that occurred on Wednesday, August 12th. The shares were sold at an average price of $33.29, for a total transaction of $3,994,800.00. Following the completion of the transaction, the executive vice president directly owned 149,329 shares of the company’s stock, valued at $4,971,162.41. The trade was a 44.56% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 459,287 shares of company stock worth $15,431,193 over the last ninety days. 1.76% of the stock is owned by insiders.

CoreCivic declared that its board has authorized a stock buyback plan on Monday, August 10th that authorizes the company to buy back $500 million in outstanding shares. This buyback authorization authorizes the real estate investment trust to buy up to 15.7% of its stock through open market purchases. Share buyback plans are generally an indication that the company’s management believes its shares are undervalued.

Analysts Set New Price Targets

Several brokerages recently commented on CXW. Weiss Ratings cut shares of CoreCivic from a “buy (b)” rating to a “buy (b-)” rating in a research note on Wednesday, October 28th. JonesTrading reaffirmed a “buy” rating and set a $42.00 target price on shares of CoreCivic in a report on Friday, September 18th. Benchmark increased their price objective on CoreCivic from $41.00 to $45.00 and gave the company a “buy” rating in a research report on Friday, August 7th. Noble Financial reissued an “outperform” rating on shares of CoreCivic in a research note on Monday, August 10th. Finally, Wall Street Zen lowered CoreCivic from a “buy” rating to a “hold” rating in a research report on Saturday, October 24th. Four analysts have rated the stock with a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $39.40.

CoreCivic Company Profile

CoreCivic, Inc is a diversified government solutions company that owns, manages and develops correctional and detention facilities in the United States. The company provides detention and corrections services to federal, state and local government agencies, primarily under contracts that call for the housing and care of individuals in custody.

In addition to secure facilities, CoreCivic operates residential reentry centers and provides community-based services designed to support individuals transitioning from incarceration.