Wednesday, August 11, 2021

CoreCivic, Inc. (CXW)
Post Call Follow Up and Updated Models

CoreCivic is a diversified government solutions company with the scale and experience needed to solve tough government challenges in flexible, cost-effective ways. We provide a broad range of solutions to government partners that serve the public good through corrections and detention management, a growing network of residential reentry centers to help address America’s recidivism crisis, and government real estate solutions. We are a publicly traded real estate investment trust and the nation’s largest owner of partnership correctional, detention and residential reentry facilities. We also believe we are the largest private owner of real estate used by U.S. government agencies. The Company has been a flexible and dependable partner for government for more than 35 years. Our employees are driven by a deep sense of service, high standards of professionalism and a responsibility to help government better the public good.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

ICE Populations and Revenue Climbing. ICE populations at CoreCivic have roughly doubled since the beginning of the year. We would note that revenue derived from ICE in the second quarter was $139.6 million, up from $135.7 million in the same period last year, and up from $131.5 million in the first quarter. Management stated that ICE populations overall remained about 2,200 below the contract minimums, although this is down from 3,200 at the end of the first quarter.


Safety Segment Improving.  Safety segment revenue declined modestly to $419.9 million from $424.1 million. Safety’s facility net operating income, however, increased to $112.6 million from $100.4 million during the second quarter of 2020. Increased per diem rates and lower COVID related operating expenses drove the improvement. Revenue per compensated man day rose to $90.88 in the quarter, up from …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision.