Is The GEO Group, Inc. (GEO) a great play right now?

On Thursday, shares of The GEO Group, Inc. (NYSE:GEO) marked $17.61 per share versus a previous $17.79 closing price. With having a -1.01% loss, an insight into the fundamental values of The GEO Group, Inc., investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. GEO showed a fall of -10.61% within its YTD performance, with highs and lows between $16.33 – $25.55 during the period of 52 weeks, compared to the simple moving average of -13.66% in the period of the last 200 days.

JP Morgan equity researchers changed the status of The GEO Group, Inc. (NYSE: GEO) shares from “Overweight” to a “Neutral” rating in the report published on February 15th, 2019. Other analysts, including JP Morgan, also published their reports on GEO shares. JP Morgan repeated the rating from the previous report, marking GEO under “Overweight” rating, in the report published on July 14th, 2017. Additionally, GEO shares got another “Buy” rating from Canaccord Genuity, setting a target price of $50 on the company’s shares, according to the report published in March 8th, 2017. On February 24th, 2017, Canaccord Genuity Reiterated an Buy rating and increased its price target from $43 to $52. On the other hand, Canaccord Genuity Reiterated the “Buy” rating for GEO shares, as published in the report on December 12th, 2016. Canaccord Genuity seems to be going bullish on the price of GEO shares, based on the price prediction for GEO, indicating that the shares will jump from $29 to $35, giving the shares “Buy” rating based on their report from November 11th, 2016. Another “Buy” rating came from SunTrust, providing a prediction for $35 price target according to the report published in September 1st, 2016.

The GEO Group, Inc. (GEO) Analysis

The present dividend yield for GEO owners is set at 0.11, marking the return investors will get regardless of the company’s performance in the upcoming period. In addition, the growth of sales from quarter to quarter is recording 5.20%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of The GEO Group, Inc. (GEO) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of 14.90% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 1.30 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while GEO is currently recording an average of 1.01M in volumes. The volatility of the stock on monthly basis is set at 2.85%, while the weekly volatility levels are marked at 2.67%with -4.03% of loss in the last seven days. Additionally, long-term investors are predicting the target price of $23.00, indicating growth from the present price of $17.61, which can represent yet another valuable research and analysis points that can help you decide whether to invest in GEO or pass.

What to Look for When Analyzing The GEO Group, Inc. Shares?

The GEO Group, Inc. (GEO) is based in the USA and it represents one of the well-known company operating with Financial sector. If you wish to compare GEO shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 13.58 for The GEO Group, Inc., while the value 10.94 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value 1.30 is supported by the yearly ESP growth of -6.60%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 0.70%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 88.00% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in GEO Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in GEO in the recent period. That is how The Vanguard Group, Inc. now has an increase position in GEO by 1.55% in the first quarter, owning 17.85 million shares of GEO stocks, with the value of $306.26 million after the purchase of an additional 272,540 shares during the last quarter. In the meanwhile, Barrow, Hanley, Mewhinney & Strau also increased their stake in GEO shares changed 8.60% in the first quarter, which means that the company now owns 8.63 million shares of company, all valued at $148.05 million after the acquisition of additional 683,323 shares during the last quarter.

Artemis Investment Management LLP acquired a new position in The GEO Group, Inc. during the first quarter, with the value of $88.72 million, and QMA LLC increased their stake in the company’s shares by 15.59% in the first quarter, now owning 565,134 shares valued at $71.91 million after the acquisition of the additional 4.19 million shares during the last quarter. In the end, SSgA Funds Management, Inc. increased their position by 15.59% during the first quarter, now owning 3.89 million GEO shares, now holding the value of $66.75 million in GEO with the purchase of the additional 123,116 shares during the period of the last quarter. At the present, 88.00% of GEO shares are in the ownership of institutional investors.