Private prison stocks are increasing on Wall Street as former President Donald Trump plans to imprison immigrants (which has the support of Latino men), notes Forbes:
[S]hares of multibillion-dollar private prison companies CoreCivic and Geo Group—which are Immigration and Customs Enforcement contractors—are up 76% and 73% since Election Day, respectively…
Boosting CoreCivic and Geo Group stocks further Monday was Trump’s appointment of Tom Homan as his “border czar,” with the former acting ICE director an advocate of a “humane” but “necessary mass deportation operation.”
In a conference call last Thursday, Geo Group chairman George Zoley said he expects the government to fund 70,000 to 100,000 beds in ICE detention centers, roughly double the 41,500 beds now funded.
Geo Group can up its operational ICE detention center beds from 13,000 to 31,000 by next year, forecasts Brendan McCarthy, an analyst at independent research firm Sidoti.
McCarthy projects $3 billion in revenue for Geo Group in 2025, a 24% jump from its blended 2024 sales.
(Source: Forbes)