CoreCivic (NYSE:CXW) Share Price Breaks Above 50 Day Moving Average – Time to Sell?

Shares of CoreCivic, Inc. (NYSE:CXW) passed above its 50 day moving average during trading on Wednesday. The stock has a 50 day moving average of $32.21 and traded as high as $33.20. CoreCivic shares last traded at $32.5810, with a volume of 1,820,760 shares.

Analysts Set New Price Targets

CXW has been the subject of several recent research reports. Weiss Ratings raised CoreCivic from a “buy (b-)” rating to a “buy (b)” rating in a research report on Thursday. Benchmark upped their price target on shares of CoreCivic from $41.00 to $45.00 and gave the stock a “buy” rating in a research note on Friday, August 7th. Noble Financial reissued an “outperform” rating on shares of CoreCivic in a research report on Monday, August 10th. Wall Street Zen downgraded shares of CoreCivic from a “buy” rating to a “hold” rating in a research note on Saturday, October 24th. Finally, TD Cowen reissued a “hold” rating on shares of CoreCivic in a report on Friday, October 23rd. Four research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $39.40.

CoreCivic Price Performance

The company has a market cap of $2.70 billion, a P/E ratio of 12.30 and a beta of 0.63. The company has a debt-to-equity ratio of 0.27, a quick ratio of 2.41 and a current ratio of 2.41. The firm’s fifty day moving average is $32.14 and its two-hundred day moving average is $26.28.

CoreCivic (NYSE:CXW) last issued its earnings results on Wednesday, November 4th. The real estate investment trust reported $0.49 earnings per share (EPS) for the quarter, missing the consensus estimate of $15.14 by ($14.65). The business had revenue of $744.09 million for the quarter, compared to the consensus estimate of $697.55 million. CoreCivic had a net margin of 54.60% and a return on equity of 9.27%. The firm’s revenue for the quarter was up 28.2% compared to the same quarter last year. During the same period last year, the business posted $0.48 EPS. As a group, analysts anticipate that CoreCivic, Inc. will post 2.81 earnings per share for the current fiscal year.

CoreCivic announced that its Board of Directors has approved a stock repurchase program on Monday, August 10th that authorizes the company to buy back $500 million in outstanding shares. This repurchase authorization authorizes the real estate investment trust to reacquire up to 15.7% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its shares are undervalued.

Insider Activity

In other news, Director Mark A. Emkes sold 30,000 shares of CoreCivic stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $34.25, for a total value of $1,027,500.00. Following the sale, the director directly owned 141,274 shares of the company’s stock, valued at approximately $4,838,634.50. The trade was a 17.52% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Anthony Grande sold 29,199 shares of CoreCivic stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $33.61, for a total value of $981,378.39. Following the completion of the sale, the executive vice president directly owned 164,782 shares in the company, valued at approximately $5,538,323.02. The trade was a 15.05% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 264,595 shares of company stock valued at $8,976,917. 1.76% of the stock is owned by corporate insiders.

Institutional Trading of CoreCivic

Institutional investors have recently bought and sold shares of the stock. Empowered Funds LLC lifted its holdings in shares of CoreCivic by 11.3% in the 3rd quarter. Empowered Funds LLC now owns 374,460 shares of the real estate investment trust’s stock worth $12,076,000 after acquiring an additional 38,129 shares during the last quarter. Caxton Associates LLP grew its holdings in shares of CoreCivic by 239.1% in the third quarter. Caxton Associates LLP now owns 79,388 shares of the real estate investment trust’s stock worth $2,560,000 after purchasing an additional 55,977 shares during the last quarter. Ieq Capital LLC grew its holdings in shares of CoreCivic by 21.4% in the third quarter. Ieq Capital LLC now owns 8,431 shares of the real estate investment trust’s stock worth $272,000 after purchasing an additional 1,484 shares during the last quarter. Public Sector Pension Investment Board purchased a new position in CoreCivic in the 3rd quarter worth about $12,081,000. Finally, Global Retirement Partners LLC raised its stake in shares of CoreCivic by 338.9% during the third quarter. Global Retirement Partners LLC now owns 2,164 shares of the real estate investment trust’s stock valued at $70,000 after acquiring an additional 1,671 shares in the last quarter. 85.13% of the stock is currently owned by institutional investors.

About CoreCivic

CoreCivic, Inc. is a U.S. corrections and government-services company that operates correctional and detention facilities under contracts with federal, state and local government agencies. Its services include facility management and related support for people in custody. The company also provides residential reentry services, including transitional housing and programs intended to help people return to their communities. Through its real estate business, CoreCivic owns and develops correctional and detention properties that government agencies may lease.