Geo Group (NYSE:GEO) Releases Earnings Results, Meets Estimates

Geo Group (NYSE:GEO) announced its quarterly earnings results on Thursday. The real estate investment trust reported $0.25 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.25, Briefing.com reports. Geo Group had a net margin of 9.41% and a return on equity of 7.42%. The business’s revenue was up 16.5% on a year-over-year basis. During the same period in the prior year, the company posted $0.13 EPS. Geo Group updated its Q1 2026 guidance to 0.170-0.190 EPS and its FY 2026 guidance to 0.990-1.070 EPS.

Geo Group Stock Performance

Shares of NYSE GEO traded down $2.19 during midday trading on Thursday, reaching $13.64. 5,436,087 shares of the stock were exchanged, compared to its average volume of 1,745,037. The company has a quick ratio of 1.62, a current ratio of 1.62 and a debt-to-equity ratio of 1.02. The firm has a 50-day simple moving average of $16.64 and a two-hundred day simple moving average of $18.38. Geo Group has a twelve month low of $12.81 and a twelve month high of $32.09. The firm has a market cap of $1.90 billion, a price-to-earnings ratio of 8.02 and a beta of 0.73.

Geo Group News Roundup

Here are the key news stories impacting Geo Group this week:

• Positive Sentiment: Q4 revenue beat and strong top‑line growth — GEO reported total Q4 revenues of $707.7M, up ~16.5% year‑over‑year, signaling healthy contract activity and revenue momentum. View Press Release
• Positive Sentiment: Founder returns as CEO — GEO announced CEO J. David Donahue will retire and Founder/Executive Chairman Dr. George Zoley will resume the CEO role effective March 1, 2026, a move some investors may view as stabilizing because of Zoley’s long-standing operational experience. Corporate Reorganization
• Neutral Sentiment: Q4 EPS in line with expectations — GEO reported $0.25 EPS, matching consensus and improving from $0.13 a year ago; that removes an outright earnings surprise as a catalyst. Earnings Coverage
• Neutral Sentiment: Full release and investor materials posted — management provided a press release and slide deck with the quarter and 2026 outlook for review. Slide Deck
• Negative Sentiment: 2026 guidance below Street expectations — GEO set FY 2026 EPS guidance of $0.99–$1.07 vs. consensus ~$1.27, a meaningful shortfall that likely pressured the stock. Company Results & Guidance
• Negative Sentiment: Q1 guidance also below expectations — management guided Q1 2026 EPS of $0.17–$0.19 (consensus ~$0.25) and revenue guidance slightly under Street estimates, reinforcing concerns about near‑term earnings growth. Guidance Summary
• Negative Sentiment: Legal and ESG pressure persists — a denied rehearing on a legal injunction and reports of rejected shareholder proposals on human‑rights reviews add reputational and litigation risk that could weigh on valuation. No Rehearing Article ESG Coverage

Institutional Trading of Geo Group

A number of institutional investors and hedge funds have recently made changes to their positions in GEO. Geneos Wealth Management Inc. grew its position in Geo Group by 245.1% in the 2nd quarter. Geneos Wealth Management Inc. now owns 1,101 shares of the real estate investment trust’s stock valued at $26,000 after acquiring an additional 782 shares in the last quarter. NewEdge Advisors LLC lifted its holdings in Geo Group by 81.9% during the 1st quarter. NewEdge Advisors LLC now owns 1,864 shares of the real estate investment trust’s stock worth $54,000 after buying an additional 839 shares in the last quarter. Militia Capital Partners LP boosted its position in Geo Group by 122.6% in the 2nd quarter. Militia Capital Partners LP now owns 6,900 shares of the real estate investment trust’s stock valued at $165,000 after buying an additional 3,800 shares during the period. CIBC Asset Management Inc purchased a new stake in shares of Geo Group during the fourth quarter worth $205,000. Finally, United Services Automobile Association acquired a new stake in shares of Geo Group in the first quarter valued at $260,000. 76.10% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on the company. Weiss Ratings restated a “hold (c)” rating on shares of Geo Group in a research report on Monday, December 29th. Wall Street Zen raised Geo Group from a “hold” rating to a “buy” rating in a research report on Saturday, December 13th. Jones Trading decreased their target price on Geo Group from $50.00 to $37.00 and set a “buy” rating for the company in a research report on Friday, November 7th. Finally, Zacks Research upgraded shares of Geo Group from a “strong sell” rating to a “hold” rating in a report on Friday, January 9th. Three research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, Geo Group currently has a consensus rating of “Moderate Buy” and an average target price of $35.00.

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.