October 11, 2023
: Formerly known as Corrections Corporation of America, it manages numerous facilities across the country. Performance Drivers (2024–2025)
: A major boost occurred in early 2025 when the executive branch reversed a previous order that had directed the Department of Justice to phase out private prison contracts.
: Stocks for both GEO Group and CoreCivic rallied significantly—over 50% in some cases—following the 2024 U.S. election. This was largely due to investor expectations of increased demand for detention space following promises of mass deportations.
Investing in private prisons involves purchasing shares of companies that manage correctional and detention facilities for government agencies. This sector is highly sensitive to political shifts, as its revenue primarily comes from federal and state contracts. Core Investment Landscape
: In 2025, companies reported record revenue growth. CoreCivic saw a 10% revenue increase in Q2 2025 compared to 2024, while GEO Group saw a 5% increase.
The industry is dominated by two major publicly traded corporations that collectively manage over half of the private prison contracts in the U.S..
: The largest contractor for U.S. Immigration and Customs Enforcement (ICE) .
Stock prices in this sector are often tied to federal immigration and criminal justice policies.