CoreCivic (NYSE:CXW) Shares Down 4.2% – Here’s Why

Shares of CoreCivic, Inc. (NYSE:CXW) fell 4.2% during mid-day trading on Monday . The stock traded as low as $33.86 and last traded at $33.74. 105,700 shares traded hands during trading, a decline of 92% from the average daily volume of 1,273,657 shares. The stock had previously closed at $35.23.

Analyst Ratings Changes

A number of research firms have recently commented on CXW. Noble Financial reissued an “outperform” rating on shares of CoreCivic in a research note on Monday, August 10th. Benchmark boosted their price target on shares of CoreCivic from $41.00 to $45.00 and gave the stock a “buy” rating in a research report on Friday, August 7th. JonesTrading restated a “buy” rating and set a $42.00 price objective on shares of CoreCivic in a research report on Friday. Weiss Ratings upgraded shares of CoreCivic from a “hold (c+)” rating to a “buy (b-)” rating in a report on Wednesday, July 1st. Finally, Northland Securities set a $40.00 target price on shares of CoreCivic in a report on Friday, June 26th. Four investment analysts have rated the stock with a Buy rating, According to data from MarketBeat, the company currently has a consensus rating of “Buy” and a consensus price target of $39.40.

CoreCivic Stock Performance

The company has a market capitalization of $3.26 billion, a price-to-earnings ratio of 26.44 and a beta of 0.60. The firm’s 50 day simple moving average is $32.72 and its 200-day simple moving average is $26.17. The company has a debt-to-equity ratio of 0.86, a quick ratio of 1.32 and a current ratio of 1.32.

CoreCivic (NYSE:CXW) last issued its quarterly earnings results on Wednesday, August 5th. The real estate investment trust reported $0.38 earnings per share for the quarter, beating analysts’ consensus estimates of $0.34 by $0.04. The business had revenue of $684.92 million for the quarter, compared to the consensus estimate of $618.63 million. CoreCivic had a return on equity of 9.22% and a net margin of 5.15%.CoreCivic’s revenue for the quarter was up 27.3% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.59 earnings per share. CoreCivic has set its FY 2026 guidance at 2.610-2.700 EPS. Analysts expect that CoreCivic, Inc. will post 2.69 EPS for the current year.

CoreCivic declared that its board has authorized a stock buyback plan on Monday, August 10th that allows the company to buyback $500.00 million in outstanding shares. This buyback authorization allows the real estate investment trust to reacquire up to 15.7% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s board of directors believes its stock is undervalued.

Insider Buying and Selling

In other CoreCivic news, Director Mark A. Emkes sold 30,000 shares of the stock in a transaction that occurred on Monday, August 24th. The shares were sold at an average price of $34.25, for a total value of $1,027,500.00. Following the completion of the sale, the director owned 141,274 shares in the company, valued at $4,838,634.50. This represents a 17.52% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Anthony L. Grande sold 29,199 shares of CoreCivic stock in a transaction on Monday, August 17th. The shares were sold at an average price of $33.61, for a total transaction of $981,378.39. Following the sale, the executive vice president directly owned 164,782 shares of the company’s stock, valued at $5,538,323.02. This trade represents a 15.05% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 459,287 shares of company stock worth $15,431,193 over the last ninety days. 1.76% of the stock is currently owned by corporate insiders.

Institutional Trading of CoreCivic

Several hedge funds and other institutional investors have recently modified their holdings of CXW. The Manufacturers Life Insurance Company bought a new position in CoreCivic during the second quarter valued at approximately $1,458,000. BlackRock Inc. bought a new stake in CoreCivic in the 2nd quarter valued at $480,557,000. Jupiter Topco LLC acquired a new stake in CoreCivic in the 2nd quarter worth $1,340,000. Bank of New York Mellon Corp bought a new position in shares of CoreCivic during the 2nd quarter worth about $18,516,000. Finally, KCM Capital Inc bought a new stake in shares of CoreCivic in the first quarter valued at about $10,400,000. 85.13% of the stock is currently owned by hedge funds and other institutional investors.

About CoreCivic

CoreCivic, Inc (NYSE: CXW) is a diversified government-solutions company that provides detention, corrections and residential reentry services. The company partners with federal, state and local government agencies to design, develop, own, lease and manage correctional and detention facilities in the United States.

Through its CoreCivic Safety operations, the company manages correctional and detention facilities and provides related services, including security, inmate care, transportation and rehabilitation programs.