Geo Group (NYSE:GEO) Lowered to "Hold" Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded Geo Group from a “buy” to a “hold” rating, even as other analysts remain more positive on the stock. The broader analyst consensus still sits at a “Buy” with a price target of $36.50.
• Geo Group shares fell 0.6% and were trading at $30.89, with the stock still near its 52-week high of $32.25. The company’s market cap is about $4.13 billion.
• The company recently posted better-than-expected quarterly results, with EPS of $0.29 versus $0.19 expected and revenue of $705.21 million versus $688.89 million forecast. Geo also guided for FY 2026 EPS of 1.15 to 1.25.

Geo Group (NYSE:GEO - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report released on Saturday.

A number of other research firms have also weighed in on GEO. Zacks Research upgraded Geo Group from a "hold" rating to a "strong-buy" rating in a research note on Monday, July 20th. Northland Securities upped their target price on Geo Group from $30.00 to $40.00 and gave the stock an "outperform" rating in a research note on Friday, June 26th. Finally, Weiss Ratings raised Geo Group from a "hold (c)" rating to a "hold (c+)" rating in a report on Tuesday, June 9th. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, Geo Group presently has an average rating of "Buy" and a consensus price target of $36.50.

Geo Group Stock Down 0.6%

GEO stock opened at $30.89 on Friday. The company has a market capitalization of $4.13 billion, a P/E ratio of 15.68, a price-to-earnings-growth ratio of 1.84 and a beta of 0.79. Geo Group has a 12 month low of $12.51 and a 12 month high of $32.25. The firm's fifty day simple moving average is $27.71 and its 200-day simple moving average is $20.75. The company has a debt-to-equity ratio of 1.06, a current ratio of 1.75 and a quick ratio of 1.75.

Geo Group (NYSE:GEO - Get Free Report) last issued its earnings results on Wednesday, May 6th. The real estate investment trust reported $0.29 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.19 by $0.10. The firm had revenue of $705.21 million during the quarter, compared to analysts' expectations of $688.89 million. Geo Group had a net margin of 10.00% and a return on equity of 9.43%. The firm's revenue was up 16.6% compared to the same quarter last year. During the same quarter last year, the company posted $0.14 earnings per share. Geo Group has set its FY 2026 guidance at 1.150-1.250 EPS and its Q2 2026 guidance at 0.250-0.290 EPS. As a group, equities research analysts forecast that Geo Group will post 1.2 earnings per share for the current year.

Institutional Trading of Geo Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Geneos Wealth Management Inc. raised its position in shares of Geo Group by 245.1% in the second quarter. Geneos Wealth Management Inc. now owns 1,101 shares of the real estate investment trust's stock worth $26,000 after acquiring an additional 782 shares during the period. Bessemer Group Inc. boosted its stake in shares of Geo Group by 111.9% during the 1st quarter. Bessemer Group Inc. now owns 1,723 shares of the real estate investment trust's stock worth $29,000 after acquiring an additional 910 shares in the last quarter. IFP Advisors Inc acquired a new stake in shares of Geo Group during the 4th quarter valued at about $30,000. Bayforest Capital Ltd acquired a new stake in shares of Geo Group during the 4th quarter valued at about $37,000. Finally, Daytona Street Capital LLC purchased a new position in shares of Geo Group in the 4th quarter valued at about $53,000. Institutional investors and hedge funds own 76.10% of the company's stock.

Geo Group Company Profile

The GEO Group NYSE: GEO is a leading provider of correctional, detention and community reentry services to government agencies around the world. As a real estate investment trust, the company specializes in the design, financing, development and operation of secure facilities for adult and juvenile offenders, immigration detainees and individuals requiring mental health treatment or substance abuse programming. GEO's integrated service model also encompasses electronic monitoring, rehabilitative programming and post-release supervision aimed at reducing recidivism and enhancing public safety.

GEO's portfolio spans a range of facility types, including medium- and maximum-security correctional institutions, residential reentry centers, mental health treatment units and immigration detention centers.

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