📊 CXW Key Takeaways
Investment Thesis
CoreCivic demonstrates solid operational growth with 12.7% revenue expansion and improving earnings per share, supported by reasonable leverage and positive free cash flow generation. However, the company faces structural headwinds with low operating margins (7.1%), modest returns on equity (8.3%), and weak free cash flow conversion (2.4% FCF margin), limiting earnings quality and reinvestment capacity.
CXW Strengths
- Strong revenue growth of 12.7% YoY indicates solid demand for correctional and detention services
- Healthy liquidity position with 1.66x current ratio and manageable debt-to-equity of 0.86x
- Positive free cash flow generation of $52.8M provides capacity for debt service and potential distributions
- Interest coverage ratio of 2.5x demonstrates adequate ability to service debt obligations
CXW Risks
- Thin operating margins (7.1%) and net margins (5.3%) leave limited room for cost inflation or revenue pressures
- Low free cash flow margin (2.4%) suggests capital intensity reduces distributable cash relative to revenue growth
- Modest ROE (8.3%) and ROA (3.6%) indicate below-average capital efficiency and returns to shareholders
- Regulatory and political risks inherent in corrections industry could impact occupancy, pricing, and growth trajectory
- Capital expenditure requirements of $141.8M consume 73% of operating cash flow, constraining dividend sustainability
Key Metrics to Watch
- Free cash flow margin expansion and OCF growth sustainability
- Operating margin trends amid labor cost and facility maintenance pressures
- Debt leverage ratios and interest coverage stability
- Occupancy rates and contract renewal dynamics with government agencies
CXW Financial Metrics
💡 AI Analyst Insight
The relatively thin 2.4% FCF margin may limit capital allocation flexibility.
CXW Profitability Ratios
CXW vs Default Sector
How CoreCivic, Inc. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
CXW Balance Sheet & Liquidity
CXW 5-Year Financial Trend
5-Year Trend Summary: CoreCivic, Inc.'s revenue has grown significantly by 12% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.59 reflects profitable operations.
CXW Growth Metrics (YoY)
CXW Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $491.6M | $9.5M | $0.19 |
| Q2 2025 | $490.1M | $9.5M | $0.17 |
| Q1 2025 | $488.6M | $9.5M | $0.08 |
| Q3 2024 | $483.7M | $9.5M | $0.12 |
| Q2 2024 | $463.7M | $9.5M | $0.13 |
| Q1 2024 | $458.0M | $9.5M | $0.08 |
| Q3 2023 | $464.2M | $10.6M | $0.12 |
| Q2 2023 | $456.7M | $10.6M | $0.09 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
CXW Capital Allocation
CXW SEC Filings
Access official SEC EDGAR filings for CoreCivic, Inc. (CIK: 0001070985)
📋 Recent SEC Filings
❓ Frequently Asked Questions about CXW
What is the AI rating for CXW?
CoreCivic, Inc. (CXW) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.
What are CXW's key strengths?
Strong revenue growth of 12.7% YoY indicates solid demand for correctional and detention services. Healthy liquidity position with 1.66x current ratio and manageable debt-to-equity of 0.86x.
What are the risks of investing in CXW?
Thin operating margins (7.1%) and net margins (5.3%) leave limited room for cost inflation or revenue pressures. Low free cash flow margin (2.4%) suggests capital intensity reduces distributable cash relative to revenue growth.
What is CXW's revenue and growth?
CoreCivic, Inc. reported revenue of $2.2B.
Does CXW pay dividends?
CoreCivic, Inc. pays dividends, with $0.0M distributed to shareholders in the trailing twelve months.
Where can I find CXW SEC filings?
Official SEC filings for CoreCivic, Inc. (CIK: 0001070985) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is CXW's EPS?
CoreCivic, Inc. has a diluted EPS of $1.08.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.