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Fly News Breaks for August 19, 2016
GEO, CXW
Aug 19, 2016 | 07:43 EDT
Wells Fargo lowered its price target ranges on private corrections companies Corrections Corp (CXW) and Geo Group (GEO) after the Department of Justice said it would terminate its use of private prisons. Wells cut its price target on CXW to $17-$22 from $26-$28 and on Geo to $19-$25 from $33-$35. Wells lowered its 2017 FFO estimates for the companies slightly, and says it now expects their stocks to trade at seven times to nine times its 2017 FFO per share estimates. The firm expects the stocks to remain weak until more clarity about the department's intentions become known, as Wells says that investors will continue to be anxious about the government's termination of private prison deals. It says that the companies face "outsized risk" and it keeps Market Perform ratings on both names.
News For CXW;GEO From the Last 2 Days
CXW
Mar 26, 2024 | 09:04 EDT
Northland raised the firm's price target on CoreCivic to $19 from $17 and keeps an Outperform rating on the shares. The firm recently hosted meetings with CoreCivic and came away with increased confidence in the company's outlook and the heightened level of demand from government agencies for capacity and security infrastructure, the analyst tells investors.