Thu, Dec 18, 2014, 4:17 AM EST - U.S. Markets open in 5 hrs 13 mins


% | $
Quotes you view appear here for quick access.

Corrections Corporation of America Message Board

  • flipper_58 flipper_58 Apr 6, 1999 4:06 PM Flag

    So how's business??

    PZN has announced new contracts on 5,377 beds
    this year, 1,225 are existing facilities. This
    represents an 18% increase(5,377/30k) in ALL the beds PZN
    owns since CCA and PZN started buying beds. And this
    is just the first quarter. These new beds are
    estimated to cost $155MM.

    It's been my understanding
    this is the pace management had expected, $600MM in
    new business this year alone.
    By my rough
    calculations using 9% debt this will add $.50/share of new
    earnings to the firm, or in excess of a 20% growth rate.

    $600MM in new beds will add appx. 50-60% more beds then
    what is finished on the books now. Assuming the market
    value is 30-40% higher of a new bed once it's on-line,
    these new beds should increase the actual book value of
    the firm by 25%.

    Just thought you'd like to
    know why the share price is going down.

36.72+0.58(+1.60%)Dec 17 4:08 PMEST

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.