CoreCivic owns, operates and manages prisons and other correctional facilities and provides residential, community re-entry and prisoner transportation services for governmental agencies. The company was founded in 1983 and is based in Nashville, Tennessee.
CXW Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for CXW, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that CoreCivic Inc ranked in the 65th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 130.5%. In terms of the factors that were most noteworthy in this DCF analysis for CXW, they are:
The company's compound free cash flow growth rate over the past 5.7 years comes in at -0.03%; that's greater than only 20.08% of US stocks we're applying DCF forecasting to.
28% of the company's capital comes from equity, which is greater than merely 9.75% of stocks in our cash flow based forecasting set.
The weighted average cost of capital for the company is 7. This value is greater than just 14.77% stocks in the Real Estate sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of CoreCivic Inc? See DHC, CBRE, IRM, CIGI, and CHCI.
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CoreCivic ([[CXW]] +0.2%) gets a new contract under an intergovernmental agreement between the city of Cushing, OK, and the United States Marshals Service that will use the company's 1,692-bed Cimarron Correctional Facility in Cushing, which CXW had planned to idle in Q3.The new management contract starts on Sept. 15, 2020...
Detainees at a privately run US Immigration and Customs Enforcement (ICE) detention centre were reportedly thrown out of wheelchairs and slammed to the ground by guards when they asked for medical assistance. The immigrants, who were being detained at the Stewart Detention Centre in Georgia, run privately by CoreCivic, said that guards used excessive force when they asked for