Hello Marc..thank you for your courtesy,..(smiles). It is a shame that service companies are out of favor vs the Nasdaq 100 index(QQQQ), the economy has had a very long rise since the debacle of 1987, maybe Greenspan did learn his lesson back then who knows we are fixing to find out soon. This being election year, the politicos may use rethoric to blast our sector, but fortunately all the bad news is out of this stock, and possible large federal contracts loom in the horizon.
The purchase of up to 500,000 shares plus the previous authority to purchase 122,000 shares in August 1998, with currently 21,508,992 shares outstanding, of which 12 million, or 55.8 percent, are owned by (WAK). Total Float will then be 8,886,992 shares at $9.325, then George could buy the whole company for roughly $83 million, a good deal......(smiles). The use of 1/4 cash on hand should prop up the price of the shares at this levels, in my way of thinking they should use 1/2 of the cash on hand and add another 500,000 shares soon.
As interest rates increase so does the desire by the Units of government to have the privates do the planning, construction, and management of the facilies and along with the rise in interest rates and the rise in unemployment, so does crime increases.
You are correct in your thoughts that this industry is undervalued. 25% growth and a 10 P.E. I know of no other like it. The press hates privatization of governmental businesses so they jump all over any prisoner complaints that are made public. This keeps the big mutual funds out of the picture. As I see the future the governments need to see cost savings . Once they are convinced then the business will be legitimized. This is still a new field and will take awhile to catch on. All I know is that with 25 year contracts already signed this business is not going away.