The Geo Group specializes in the ownership, leasing and management of correctional, detention and re-entry facilities and the provision of community-based services and youth services in the United States, Australia, South Africa and the United Kingdom. The company was founded in 1984 and is based in Boca Raton, Florida.
GEO Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for GEO, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Geo Group Inc ranked in the 78th percentile in terms of potential gain offered. Specifically, our DCF analysis implies the stock is trading below its fair value by an estimated 457%. As for the metrics that stood out in our discounted cash flow analysis of Geo Group Inc, consider:
28% of the company's capital comes from equity, which is greater than merely 11.42% of stocks in our cash flow based forecasting set.
Geo Group Inc's weighted average cost of capital (WACC) is 8%; for context, that number is higher than only 23.77% of tickers in our DCF set.
As a business, Geo Group Inc experienced a tax rate of about 6% over the past twelve months; relative to its sector (Real Estate), this tax rate is higher than 84.41% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Real Estate that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as GEO, try CORR, HIW, DEI, WHLR, and VNO.
BOCA RATON, Fla.--(BUSINESS WIRE)--The GEO Group, Inc. (NYSE: GEO) ("GEO") published today the company’s second annual Human Rights and Environmental, Social & Governance (ESG) report. The report builds on GEO’s first-ever Human Rights and ESG report, which provided disclosures on how GEO informs its employees of the company’s long-standing commitment to respecting human rights; the criteria GEO uses to assess human rights performance; and GEO’s contract compliance program and independent v
Co-produced with Beyond Saving The market is having a rough month, down about 8% month-to-date. Data by YCharts While not yet officially in "correction" range, it's getting very close. Unlike the collapse we saw in March, this decline comes without any obvious significant move. To put things in perspective, even...
Deleveraging Target Seems Reasonable... Previously I discussed why GEO Group (GEO) should reduce its dividend to focus on deleveraging. On the Q2-2020 earnings release, GEO reduced its quarterly dividend from $0.48/share to $0.34/share. More importantly, GEO announced that it anticipates to repay $100 million in debt and quantified $50-100 million...
Double S Capital on Seeking Alpha | September 8, 2020
NEW YORK--(BUSINESS WIRE)--Bronstein, Gewirtz & Grossman, LLC reminds investors that a class action lawsuit has been filed against The GEO Group, Inc. ("GEO" or "the Company") (NYSE: GEO) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired GEO securities between February 27, 2020, and June 16, 2020, inclusive (the ''Class Period''). Such investors are encouraged to join this case by visiting the firm’s site: www.bgandg.com/geo. This class action seeks
Los Angeles, CA - (NewMediaWire) - September 07, 2020 - The Schall Law Firm, a national shareholder rights litigation firm, announces the filing of a class action lawsuit against The GEO Group, Inc. (“GEO” or “the Company”) (NYSE: GEO) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission. Investors who purchased the Company's securities between February 27, 2020 and June 16, 2020, inclusive (the ''Class Period''), are encouraged to contact the firm before September 8, 2020. If you are a shareholder who suffered a loss, click here to participate. We also encourage you to contact Brian Schall of the Schall Law Firm, 1880 Century Park East, Suite 404, Los Angeles, CA 90067, at 310-301...