LONDON, UK / ACCESSWIRE / July 18, 2017 / Pro-Trader Daily takes a closer look at The GEO Group, Inc. (NYSE: GEO) as the Company’s stock will begin trading ex-dividend on July 19, 2017. In order to capture the dividend payout, investors must purchase the stock one day prior to the ex-dividend date that is by latest at the end of trading session on July 18, 2017. Are you looking for research on dividend stocks, if so register with us now for your free membership at:

Today, PRO-TD covers ex-dividend news on GEO. Get our free coverage by signing up at:

Dividend Declared

On July 10, 2017, GEO Group announced that its Board of Directors declared a quarterly cash dividend of $0.47 per share. The quarterly cash dividend will be paid on July 28, 2017, to shareholders of record as of the close of business on July 21, 2017.

George C. Zoley, Chairman and Chief Executive Officer of GEO Group, said:

“We are pleased to declare a quarterly cash dividend of $0.47 per share, or $1.88 per share annualized, which is indicative of our continued commitment to return value to our shareholders.”

GEO Group’s indicated dividend represents a yield of 6.49%, more than three times compared to the average dividend yield for the Services sector of 2.01%. The Company has increased dividend for four consecutive years.

Dividend Insights

GEO Group has a dividend payout ratio of 95.4%, which indicates that the Company distributes approximately $0.95 for every $1.00 earned. The dividend payout ratio reflects how much money a Company is returning to shareholders versus how much money it is keeping on hand to reinvest in growth, to pay off debt, and/or to add to its cash reserves.

According to analysts’ estimates, GEO Group is projected to report earnings of $1.55 in the coming year, while the Company’s annualized dividend is $1.88. One of the primary reasons for the difference between earnings and the annualized dividend is that REITs are structured by law to distribute at least 90% of earnings. Moreover, since REITs generate income from owning portfolios of investment real estate, they are likely to have higher depreciation charges.

Since depreciation is a non-cash charge, it does not directly impact the ability of dividend the Companies can distribute. For this reason, Fund from Operations (FFO) is calculated by adding depreciation and amortization to earnings, subtracting any gains on sales, to get an accurate picture of cash flow, and a REIT’s ability to pay dividends. For instance, for the quarter ended March 31, 2017, net income attributable to GEO Group was $40.4 million, or $0.35 per diluted share, while its adjusted FFO was $74.0 million, or $0.65 per diluted share, and it expects to generate adjusted FFO in a range of $2.47 to $2.53 per diluted share, which should be able to sufficiently cover the dividend outflow.

About the Company

GEO Group is the first fully integrated equity real estate investment trust specializing in the design, financing, development, and operation of correctional, detention, and community reentry facilities around the globe. GEO Group is the world’s leading provider of diversified correctional, detention, community reentry, and electronic monitoring services to government agencies worldwide with operations in the United States, Australia, South Africa, and the United Kingdom. GEO Group’s worldwide operations include the ownership and/or management of 143 facilities totaling approximately 100,000 beds, including projects under development, with a growing workforce of approximately 23,500 professionals.

Recent Development for GEO Group

On May 26, 2017, GEO Group announced that it has been awarded two ten-year contracts, inclusive of renewal option periods, by the Federal Bureau of Prisons (“BOP”) for the continued housing of criminal aliens under the custody of the BOP at the Company-owned 1,800-bed Big Spring Facility and the Company-owned 1,732-bed Flight Line Facility, which on a combined basis were previously referred to as the Big Spring Correctional Center in Texas.

The two ten-year contracts were awarded to GEO under a long-standing procurement commonly referred to as Criminal Alien Requirement (CAR) 16, which was issued by the BOP in 2015. The contracts are expected to generate total combined revenues of approximately $664 million over their full ten-year terms, and their expected financial contribution in 2017 is in-line with the assumptions which were included in GEO’s most recently issued financial guidance.

Stock Performance

GEO Group’s share price finished yesterday’s trading session at $30.80, slightly advancing 0.56%. A total volume of 521.15 thousand shares have exchanged hands. The Company’s stock price soared 0.23% in the last one month, 18.83% in the past six months and 33.03% in the previous twelve months. Additionally, the stock surged 28.58% since the start of the year. Shares of the Company have a PE ratio of 24.10 and have a dividend yield of 6.10%. The stock currently has a market cap of $3.74 billion.

Pro-Trader Daily:

Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.


The non-sponsored content contained herein has been prepared by a writer (the “Author”) and is fact checked and reviewed by a third party research service company (the “Reviewer”) represented by a credentialed financial analyst [for further information on analyst credentials, please email [email protected]. Rohit Tuli, a CFA® charter holder (the “Sponsor”), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.


PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.


This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit


For any questions, inquiries, or comments reach out to us directly. If you’re a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: [email protected]

Phone number: (917) 341.4653

Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Pro-Trader Daily

Related Posts Plugin for WordPress, Blogger...