The GEO Group (NYSE:GEO) Shares Gap Down on Disappointing Earnings

The GEO Group, Inc. (NYSE:GEO) shares gapped down prior to trading on Thursday following a dissappointing earnings announcement. The stock had previously closed at $25.78, but opened at $24.22. The GEO Group shares last traded at $24.72, with a volume of 471,475 shares.

The real estate investment trust reported $0.13 earnings per share for the quarter, missing the consensus estimate of $0.21 by ($0.08). The GEO Group had a return on equity of 9.20% and a net margin of 2.00%.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on the company. Wedbush restated an “outperform” rating on shares of The GEO Group in a research note on Tuesday, December 17th. Northland Securities raised their price target on The GEO Group from $16.00 to $37.00 and gave the company an “outperform” rating in a research note on Friday, November 8th. Finally, Noble Financial downgraded The GEO Group from an “outperform” rating to a “market perform” rating in a research note on Monday, November 11th.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of GEO. Intech Investment Management LLC acquired a new stake in shares of The GEO Group in the third quarter valued at approximately $1,279,000. Versor Investments LP acquired a new stake in shares of The GEO Group in the third quarter valued at approximately $604,000. Nisa Investment Advisors LLC lifted its position in shares of The GEO Group by 91.9% in the fourth quarter. Nisa Investment Advisors LLC now owns 859,528 shares of the real estate investment trust’s stock valued at $24,050,000 after buying an additional 411,565 shares during the last quarter. BNP Paribas Financial Markets lifted its position in shares of The GEO Group by 20.7% in the third quarter. BNP Paribas Financial Markets now owns 273,724 shares of the real estate investment trust’s stock valued at $3,517,000 after buying an additional 46,905 shares during the last quarter. Finally, Jennison Associates LLC acquired a new stake in shares of The GEO Group in the third quarter valued at approximately $630,000. 76.10% of the stock is currently owned by institutional investors.

The GEO Group Stock Performance

The company has a market capitalization of $3.51 billion, a price-to-earnings ratio of 85.80, a PEG ratio of 2.11 and a beta of 0.87. The stock has a 50-day moving average price of $29.43 and a 200-day moving average price of $22.15. The company has a debt-to-equity ratio of 1.25, a current ratio of 1.10 and a quick ratio of 1.10.

The GEO Group Company Profile

The GEO Group, Inc (NYSE: GEO) engages in ownership, leasing, and management of secure facilities, processing centers, and community-based reentry facilities in the United States, Australia, the United Kingdom, and South Africa. The company also provides secure facility management services, including the provision of security, administrative, rehabilitation, education, and food services; reentry services, such as temporary housing, programming, employment assistance, and other services; electronic monitoring and supervision services; and transportation services; as well as designs, constructs, and finances new facilities through projects.