CoreCivic (NYSE:CXW) Issues Quarterly Earnings Results

CoreCivic (NYSE:CXW) announced its quarterly earnings data on Wednesday. The real estate investment trust reported $0.49 earnings per share for the quarter, missing the consensus estimate of $15.14 by ($14.65), FiscalAI reports. CoreCivic had a return on equity of 9.22% and a net margin of 5.15%.

CoreCivic Stock Performance

CXW stock traded down $0.39 during trading on Wednesday, hitting $30.58. 2,832,740 shares of the company’s stock traded hands, compared to its average volume of 1,390,838. The company has a quick ratio of 1.32, a current ratio of 1.32 and a debt-to-equity ratio of 0.86. CoreCivic has a 52 week low of $15.73 and a 52 week high of $36.55. The stock has a fifty day moving average price of $32.59 and a two-hundred day moving average price of $25.84. The stock has a market capitalization of $3.02 billion, a price-to-earnings ratio of 24.46 and a beta of 0.63.

Insider Activity at CoreCivic

In other news, EVP Daren Swenson sold 20,000 shares of the firm’s stock in a transaction dated Friday, September 11th. The shares were sold at an average price of $34.85, for a total value of $697,000.00. Following the transaction, the executive vice president directly owned 142,666 shares in the company, valued at approximately $4,971,910.10. This trade represents a 12.30% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO David Garfinkle sold 50,000 shares of CoreCivic stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $33.96, for a total transaction of $1,698,000.00. Following the completion of the transaction, the chief financial officer directly owned 293,353 shares of the company’s stock, valued at $9,962,267.88. This trade represents a 14.56% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 459,287 shares of company stock valued at $15,431,193 in the last ninety days. 1.76% of the stock is owned by insiders.

Wall Street Analyst Weigh In

CXW has been the topic of a number of recent analyst reports. TD Cowen restated a “hold” rating on shares of CoreCivic in a research note on Friday, October 23rd. Wall Street Zen downgraded CoreCivic from a “buy” rating to a “hold” rating in a research note on Saturday, October 24th. Benchmark boosted their price objective on CoreCivic from $41.00 to $45.00 and gave the company a “buy” rating in a report on Friday, August 7th. UBS Group set a $35.00 price objective on CoreCivic in a report on Tuesday, July 7th. Finally, Weiss Ratings cut CoreCivic from a “buy (b)” rating to a “buy (b-)” rating in a research note on Wednesday, October 28th. Four equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $39.40.

CoreCivic declared that its board has approved a share repurchase program on Monday, August 10th that allows the company to repurchase $500 million in outstanding shares. This repurchase authorization allows the real estate investment trust to buy up to 15.7% of its shares through open market purchases. Share repurchase programs are usually an indication that the company’s leadership believes its shares are undervalued.

About CoreCivic

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.