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

CoreCivic, Inc. (NYSE:CXW) gapped down before the market opened on Friday. The stock had previously closed at $34.36, but opened at $32.91. CoreCivic shares last traded at $32.9430, with a volume of 142,789 shares.

Wall Street Analysts Forecast Growth

A number of analysts have recently commented on CXW shares. Northland Securities set a $40.00 price target on CoreCivic in a report on Friday, June 26th. Weiss Ratings raised shares of CoreCivic from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Wednesday, July 1st. Noble Financial restated an “outperform” rating on shares of CoreCivic in a research note on Monday, August 10th. Benchmark raised their target price on shares of CoreCivic from $41.00 to $45.00 and gave the company a “buy” rating in a research note on Friday, August 7th. Finally, Wall Street Zen upgraded CoreCivic from a “hold” rating to a “buy” rating in a research note on Monday, August 10th. Four research 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 Down 3.9%

The firm has a 50-day moving average price of $32.84 and a 200 day moving average price of $26.57. The company has a debt-to-equity ratio of 0.86, a current ratio of 1.32 and a quick ratio of 1.32. The company has a market cap of $3.27 billion, a price-to-earnings ratio of 26.50 and a beta of 0.60.

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

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

Insider Activity

In other news, EVP Anthony L. Grande sold 29,199 shares of the business’s stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $33.61, for a total value of $981,378.39. Following the completion of the sale, the executive vice president owned 164,782 shares of the company’s stock, valued at approximately $5,538,323.02. The trade was a 15.05% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO David Garfinkle sold 50,000 shares of the company’s stock in a transaction dated Monday, August 17th. The shares were sold at an average price of $33.76, for a total transaction of $1,688,000.00. Following the completion of the transaction, the chief financial officer owned 343,353 shares in the company, valued at $11,591,597.28. This trade represents a 12.71% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 459,287 shares of company stock worth $15,431,193. Corporate insiders own 1.76% of the company’s stock.

Institutional Trading of CoreCivic

Several hedge funds and other institutional investors have recently bought and sold shares of CXW. BlackRock Inc. acquired a new position in CoreCivic in the 2nd quarter valued at $480,557,000. Lee Danner & Bass Inc. grew its holdings in shares of CoreCivic by 273.1% during the 1st quarter. Lee Danner & Bass Inc. now owns 2,173,498 shares of the real estate investment trust’s stock worth $41,101,000 after purchasing an additional 1,590,940 shares in the last quarter. Park West Asset Management LLC acquired a new stake in shares of CoreCivic during the 2nd quarter worth $27,310,000. JB Capital Partners LP bought a new position in shares of CoreCivic in the second quarter worth $25,677,480. Finally, Deutsche Bank AG bought a new position in shares of CoreCivic in the second quarter worth $18,805,000. Institutional investors and hedge funds own 85.13% of the company’s stock.

CoreCivic Company Profile

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.