BRENTWOOD, Tenn.—Anne L. Mariucci, a director at CoreCivic, Inc. (NYSE:CXW), recently sold 10,000 shares of the company's common stock. The transaction, which took place on November 11, 2024, was executed at a weighted average price of $24.00 per share, totaling $240,000.
Following this transaction, Mariucci holds 101,936 shares of CoreCivic. According to the filing, the sale was conducted in multiple trades with prices ranging slightly from $24.00 to $24.0001.
CoreCivic, a real estate investment trust headquartered in Brentwood, Tennessee, continues to be a significant player in the private corrections sector. This transaction represents a routine adjustment in Mariucci's holdings as part of her ongoing involvement with the company.
In other recent news, CoreCivic has experienced significant developments. The company's third-quarter results for 2024 exceeded expectations, driven by strong occupancy gains and improved labor cost management. CoreCivic reported a 2% revenue increase, reaching $491.6 million, and a 23% rise in normalized funds from operations per share to $0.43. These positive results were attributed to state revenue growth and improved occupancy rates.
Jones Trading upgraded CoreCivic's stock rating from Hold to Buy, in light of anticipated growth opportunities, particularly with the focus on addressing unauthorized migration and bolstering criminal justice enforcement by the new administration. The analyst from Jones Trading indicated that CoreCivic's largest customers, including Immigration and Customs Enforcement and the US Marshals Service, are expected to receive increased appropriations.
The company has also revised its guidance upward due to the robust occupancy outlook and the anticipation of enhanced profitability towards the end of the year. CoreCivic updated its 2024 financial guidance, expecting an adjusted EPS between $0.69 and $0.75 and normalized FFO per share between $1.59 and $1.65. These are among the recent developments that have unfolded within the company.
InvestingPro Insights
CoreCivic's recent stock performance has been remarkable, with InvestingPro data showing a 25.88% return in the past week and a 69.45% return over the last month. This surge aligns with the timing of Director Anne L. Mariucci's stock sale, suggesting she may have capitalized on the stock's strong momentum.
The company's financial health appears robust, with an InvestingPro Tip highlighting that CoreCivic has a perfect Piotroski Score of 9, indicating strong operational efficiency and financial stability. This score could be a factor in the stock's recent performance and may provide context for why insiders might choose to realize gains at this time.
However, investors should note that another InvestingPro Tip suggests the stock's RSI indicates it may be in overbought territory. This could explain the director's decision to sell a portion of her holdings, potentially anticipating a short-term pullback.
For those interested in a deeper analysis, InvestingPro offers 13 additional tips for CoreCivic, providing a more comprehensive view of the company's financial position and market performance. These insights can be particularly valuable when interpreting insider transactions like Mariucci's recent sale.
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