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CoreCivic (CXW): Buy, Sell, or Hold Post Q4 Earnings?

Wesley ParkMonday, Mar 31, 2025 7:57 am ET
3min read

Ladies and gentlemen, let me tell you something: corecivic (CXW) just dropped its Q4 earnings, and it's a game-changer! This company is on fire, and you need to pay attention. Let's dive into the numbers and see why this stock is a must-have in your portfolio.



First things first, the financials are stellar. CoreCivic reported a total revenue of $479.3 million for the fourth quarter of 2024, with a net income of $19.3 million. That's right, folks! The company's occupancy rate hit 75.5%, the highest since the first quarter of 2020. This is a massive win, and it shows that CoreCivic is back in the game with a vengeance.

Now, let's talk about the elephant in the room: government contracts. CoreCivic's reliance on these contracts is both a blessing and a curse. On one hand, the new administration's policies could lead to an increased demand for their services. On the other hand, contract terminations and expirations can be a nightmare. But here's the thing: CoreCivic is prepared. They've approved $40 million to $45 million for capital investments, and they're ready to activate facilities and transportation services as needed.

CXW Interval Closing Price
Name
Date
Interval Closing Price(USD)
CoreCivicCXW
20220331-20250328
20.41


But wait, there's more! CoreCivic's guidance for 2025 is nothing short of impressive. They're projecting net income between $53.5 million and $67.5 million. That's a range you can't ignore, folks. And with a "Buy" consensus among analysts and an average price target of $28.50, representing a 39.64% upside potential from the current stock price of $20.41, this is a no-brainer.

So, what's the verdict? BUY, BUY, BUY! CoreCivic is poised for growth, and you don't want to miss out on this opportunity. The market is bullish, and the company's strong financial performance and effective cost management initiatives have positioned it well to meet the growing demand from federal, state, and local government partners. Don't sit on the sidelines; get in the game and own this stock now!

Ask Aime: What's the upside potential for CoreCivic's stock?

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Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.
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