Deutsche Märkte schließen in 7 Stunden 31 Minuten

CoreCivic, Inc. (CXW)

NYSE - NYSE Verzögerter Preis. Währung in USD
Zur Watchlist hinzufügen
7,34+0,24 (+3,38%)
Börsenschluss: 4:00PM EST
Melden Sie sich an, um eine Nachricht zu posten.
  • M
    Money369
    $CXW conversation
    In the short-run, Mr. Market is a voting machine while in the long run, it is a weighing machine. Because of political uncertainties and covid19 related uncertainties combined with tax loss selling, prison stocks have a lot of negative momentum and sentiment. Thus based on trading patterns in 2008 after Obama election, in the next 3 to 4 weeks, I see $CXW and $GEO going substantially lower toward 50% below their 200-day moving averages, for $CXW, I see $5.60 per share as a possible bottom whereas for $GEO, I see $6.20 per share as possible bottom. Of course, there is value in these stocks, but Mr. Market is more interested and more focused on short-term market sentiments.
  • A
    Amir
    As predicted before Trump is the winner of this election and both $CXW & $GEO will fly tomorrow. Congrats to all longs!
  • A
    Amir
    Trump will win big and $GEO and $CXW will fly. It won’t be a close one, he’ll win bigly!
  • M
    Money369
    $CXW conversation
    Well. Where is the hoped for rally? Is this buy on rumor and sell on news type of situation? It shouldn't be $CXW at $7.50(35% discount to book value per share of $11.55) and $GEO at $9.76(24% premium to book value per share of $7.88) are simply too cheap to be ignored.

    Now $CXW is down almost 2.8% at $7.30 per share. What a bargain!
  • M
    Money369
    $CXW conversation
    Rotation, rotation, rotation, rotation. Former high fliers such as Tesla, Shopify, Docusign, etc. and companies with shaky fundamentals due to Covid-19, such as RCL, CCL, DAL, UAL, etc. should be coming down, while former poor performers with relatively more solid fundamentals, such as $GEO and $CXW should be going up over the next 30 to 90 days.

    January will be extremely good for both $CXW and $GEO.
  • M
    Money369
    $GEO conversation
    $GEO just reported earnings this morning. It is better than expected. Financial guidance for the full year 2020 was raised for BOP's 3-month extension of one facility scheduled to close. First of all, closing a prison does not mean the end of the world for that prison, often times it will be reopened later. This is a sigh of relief. I believe GEO at $8.80 per share is about 8 times 2020 EPS and is very cheap, but it is trading at 10% premium to book value per share while $CXW at $6.30 per share is trading at 45% discount to book value per share.

    Going forward, the key catalysts for $GEO and $CXW: 1. Trump winning the 2020 election, 2. Better than expected 4Q 2020 earnings, 3. 2021 easy comparison against 2020 numbers beginning in 2Q 2021.

    These catalysts will propel $GEO and $CXW much higher toward 200-day-moving averages around $11 to $12 per share by January 2021 and $15 to $17 by April 2021.

    Any thoughts? If $GEO does not cancel its dividend by the end of 2021, $GEO will be at least $19 per share and $CXW at least $16 per share .

    Disclaimer: I own shares in both $CXW and $GEO. This is not investment advice. It is for entertainment purpose only. DO not buy these stocks after reading my message. hahaha.
  • M
    Money369
    $CXW conversation
    $CXW and $GEO. Signs of bottoming. Most of stocks in my portfolio opened higher then went lower while CXW and GEO opened lower and went higher. This is a good sign.

    It doesn't matter who wins the election. Private prisons are here to stay.
  • M
    Money369
    $CXW conversation
    $CXW's share price at $6.76 per share is 28% below the lowest price reached during the stock market lows of March 2009 during US Financial Crisis. This is in big part due to CXW management’s decision to convert CXW from REITS to C corp back in 2012 because as a REIT, CXW was required to and did pay out nearly 90% of its free cash flow since 2012. That leaves CXW with no financial flexibility to reduce debt, reinvest profits for revenue and profit growth, or stock repurchases. Under pressure to pay out consistent dividend streams, there have been times when CXW borrowed significant amounts of debt to pay out dividends. From 2015 to 2019, CXW’s long-term debt increased from $1.4 billion to $1.9 billion, weakening CXW’s financial position and dramatically increasing its borrowing costs and credit risks. $GEO is in the same boat having converted from C corp to REITS around the same time CXW did in 2012. But unlike CXW, which is converting from REITS back to C Corp, $GEO management has decided this time to keep paying its dividends and maintain its REITS structure. Thus, I see this as good news for$ CXW shareholders and rather bad news for those holding $GEO shares.

    Simple comparison of financial metrics shows that current stock prices are very irrationally pessimistic, especially for $CXW. Below are some historical numbers for $CXW and $GEO.

    CXW

    2009
    Operating income: $315 million
    Interest Expense: $76 million
    Operating income to debt ratio: 4.14
    Book Value: $12.38 per share

    2019
    Operating income: $354 million
    Interest Expense: $85 million
    Operating income to debt ratio: 4.16
    Book Value: 11.57 per share.

    Note: CXW has maintained a healthy financial position illustrated by operating income to debt ratio of 4 times from 2009 to 2019

    *********************************************************************

    $GEO
    2009
    Operating income: $125 million
    Interest Expense: $28.5 million
    Operating income to debt ratio: 4.40
    Book Value: $12.78 per share

    2019
    Operating income: $338 million
    Interest Expense: $150 million
    Operating income to debt ratio: 2.25
    Book Value: 8.37 per share.

    Note: $GEO’s financial strength has deteriorated because its operating income to debt ratio has gone down by nearly 50%. So growth in operating income and annual cash dividend has come at the expense or sacrifice to its reduced strengthen in financial position. $GEO will have to eventually cut its dividends further or follow CXW’s lead by converting from a REIT back to C corp and suspend its dividend entirely.

    From 2012 to 2019, CXW has distributed more than $22 cash dividend per share. If CXW was a C Corp, not a REITS and there was no dividends and annual free cash flow of $200 million was used for debt reduction(no stock repurchase and no re-investments for growth) , CXW book value would have been at least $33 per share vs today's book value of $11.57 per share. The result would have been that today CXW is debt free or very close to debt free and pays almost no interest expense, which would save up to $84 million annually which would increase EPS by $0.71 per share. The same can be said for $GEO. So 2020 consensus EPS estimate would have been $1.57 per share instead of $$0.86 per share on Yahoo finance. CXW stock price would trade at book value per share of $33.00 or at least be much closer to book value per share. If CXW trades at this 1 times multiple of $33.00 per share book value(having retained all past dividends since 2012 and paying down debt), CXW stock price would be up to 388% higher than today’s SP of $6.76 per share. The same can be said for $GEO.

    In conclusion, Considering that GEO’s situation regarding its annual dividends is unsustainable, I would much prefer to invest in CXW over GEO because CXW share price at $6.76 per share is trading at a 48% discount to book value while GEO share price at $9 per share is still trading at a 8% premium to its book value.
  • M
    Money369
    $CXW conversation
    COVID-19 has and will continue to cause economic disaster. Unemployment and crime rate will unfortunately go a lot higher driving an increase in incarceration. $CXW and $GEO become beneficiaries of this uncertain times caused by this pandemic. All the other beneficiaries' stocks such as $ZM, $NFLX, $DOCU, $FVRR, $W have become extremely overpriced. This is a sad scenario that is bound to happen, which is why I invest in $CXW and maybe even a little bit of $GEO so that I can get at least some of my tax money back. Read my other posts on yahoo message board to learn why I prefer $CXW over $GEO.
  • D
    David A
    $SPI conversation
    Just mention the word BLOCKCHAIN these days and BOOM your stock price will double.. Must have been the message that all these companies received at some special CEO conference they all attended to. Gonna buy me some more stock in companies like $CXW who run prisons cause there's gonna be a lot more of them built if these companies don't follow thru with all these claims of blockchain going on....
  • M
    Money369
    $CXW conversation
    All I can say is that Mr. Market is exercising its voting machine capabilities with $CXW and $GEO. But in the long-run, Mr. Market is a weighing machine for the current value and future value of cash flow for $CXW and $GEO.

    In my book, CXW will have a higher rate of return than $GEO in the next 5 to 7 years.
  • S
    Smashing LeftistLunatics
    $CXW conversation
    President Obastid and ShrillaryBEAST Clinton are putting another industry out-of-business because "they-say-so". Meanwhile,
    most Americans want more of the bad guys incarcerated and want it done at less expense. We don't want more violent
    rapists and murderers/carjackers attacking our daughters/sisters and mothers. We will turn into a horrible Third World Nation
    with ShrillaryBEAST's desire to reduce the Federal prisons. My God - I can't believe the nation is being ruined - and the media
    CBS/NBC/ABC/NPR/PBS are co-conspirators in this. Americans have just a few months left to wake up.
  • H
    Hungus
    Im seeing a lot of articles about corona in the prisons. There is no other institution in the world more qualified to handle an outbreak then the prison system. This is not their first rodeo with handling infectious diseases. $GEO $CXW
  • 1
    1234xxn
    Anyone still bullish CXW? Give me a reason please, I am holding 2000 shares of CXW which already lost more than $8000. I'm thinking to get rid of it...how's relationship between DHS and private prison, is it possible that the purpose of the announcement of DHS is to save the industry but need a formal process or excuse under the pressure? Thanks!
  • f
    frank
    $CXW conversation
    When do the contracts end ?
    Will they end them ?
    I'm holding for now . However, I'm in the hole deep here .
  • S
    Sham
    AcelRx Pharmaceuticals, Inc.
    FDA releases updated industry guidelines for development of generic abuse-deterrent opioid pain meds https://seekingalpha.com/news/3372089?source=ansh $ENDP, $AGN, $JNJ, $TEVA, $MNK, $INSY, $DEPO, $ALKS, $AMPH, $COLL, $EGLT, $PTIE, $ACUR, $PTX, $ACRX, $IPCI, $KMPH, $ELTP, $TRVN, $CXW, $BDSI, $OPNT, $MYL, $PRGO
  • J
    JosephZ
    $CXW conversation
    Anyone know offhand the ratio between federal and state business? I'm thinking that state business must be substantial, hence the rebound off the lows in the stock price.
  • a
    army.miles
    CoreCivic, Inc.
    This company only has 7% of its business wit US DOJ. Obama said no more DOJ business and the stock plummeted by half. The reality, no contracts were ever lost and all contracts were renewed. Feds and states continue to use this company. Why did Obama target this company? Ask him. Bottom line, if you understand the prison situation in the US yoy would have bought this stock $13.30 and you would buy it today. Hell, you never would have sold it if you bought it at 30. There is and will continue to be a lot of money to be made here.
  • R
    Richard
    $CXW conversation
    What an amazing overreaction to a memo that has no definition to it other than lets start thinking about this. Where will the manpower come from? I think this will be a long phase in and we'll see what a Republican controlled legislature has to say about it. I bought more shares at 14.00.
  • S
    Steve
    $CXW conversation
    Honestly, anyone who gets rich off of the imprisonment of other human beings is a real low life.