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Corrections Corp down 20% https://www.google.com/finance?q=NYSE%3ACXW https://www.google.com/finance?q=NYSE%3ACXW
by simonsarris 10y ago
Corrections Corp down 20%
https://www.google.com/finance?q=NYSE%3ACXW https://www.google.com/finance?q=NYSE%3ACXW
- thefastlane 10y agogood.
- rememberlenny 10y agoDown 32.88% on writing.
- fapjacks 10y agoGood.
- azinman2 10y agoNow 37%. It's insane that prisons could be on the stock market at all. Talk about perverse incentives....
- SparkyMcUnicorn 10y agoIt's down 46% now. Another one to watch is The GEO Group which is down 44%.
- deleted 10y ago[deleted]
- TheOneTrueKyle 10y agoInsane are the people who look at that stock and say, "that's a good investment"...
- mtgx 10y ago"Terrorism can only be good for business."
- koolba 10y ago> "Terrorism can only be good for business." Maybe domestic terrorism but not international. Private prisons only make money when people are captured alive and locked up on US soil.
- jonlucc 10y agoUntil they run GitMo too?
- happyslobro 10y agoInternational terrorism makes great money for the military complex, when a good customer uses it as an excuse for an invasion. And then employment goes up, people focus away from the domestic problems, politicians get their kickbacks without sacrificing an election, you've heard this story a million times...
- paulsutter 10y agoYou might want to rephrase. I assume you're saying, the perversity goes well beyond prisons, including the companies that profit from war and paranoia generally. But as your comment stands, its hard to tell.
- taurath 10y agoI haven't heard a single argument from anyone about how it's even slightly moral or good for anyone other than the private prisons to use them. There is nothing better about them - I hope they all go bankrupt.
- jonwachob91 10y agoI don't recall exactly when, but Jim Cramer did an entire episode of Mad Money last year about how private prisons are a good investment. Here is a link to a segment form 2011 about private prisons being good investments - http://www.cnbc.com/id/44677873 http://www.cnbc.com/id/44677873 I'll keep looking for last years episode.
- FireBeyond 10y agoHave a look into the Barrier Fund (was the Vice Fund), and clones: http://vicefund.com http://vicefund.com > The Barrier Fund will concentrate its net assets in industries that have significant barriers to entry including the alcoholic beverages, tobacco, gaming and defense/aerospace industries.
- taurath 10y agoNearly 10% YOY returns - it certainly does pay to have no morals
- WalterSear 10y agoI'd argue it's not insane, it's human nature. http://www.openculture.com/2013/01/hannah_arendts_original_articles_on_the_banality_of_evil_in_the_inew_yorkeri_archive.html http://www.openculture.com/2013/01/hannah_arendts_original_a... I'd also argue it's something we need to actively work to engineer out of society and humanity.
- happyslobro 10y agoThe problem with engineering our way to a utopia, or at least, a humane government and economy, is determining who gets to write the specs that the engineers implement. It basically the same problem of deciding who should govern us, and how much of our own autonomy we should delegate to them. We're still going to have the same problems with a technocracy, that we already have with representative democracy.
- WalterSear 10y agoI wasn't suggesting neo-marxism. I was pointing out that we are fucked in the long term unless we collectively stamp this out.
- Unbeliever69 10y agoNow if we can only bring down the scourge know as for-profit schools!
- wil421 10y agoI don't think they are always a bad thing. If we could make it so that didn't profit off tuitions/fees that would be great. Some schools have contracts with companies, the government, or even have legitimate patents.
- jonwachob91 10y agoSo make the for-profit institutions non-for-profit... Please note that private institution and for-profit institutions are not the same thing.
- r_smart 10y agoPrivate schools are for profit. They are generally regarded as the best education you can get for K-12 schooling (at least where I live in the US). Same goes for many of the colleges in the US (actually, wait, isn't that the difference between a college and a university?). For profit schools pretty much kick ass. I think the exception comes when the government contracts a business to run a school. This is a very different arrangement and is prone to all of the horrors that come along with the government signing contracts for various services. Once the contract is in place, given how slow the government is to act, all one needs to do is comply with the contract enough to not lose it outright.
- vonmoltke 10y ago> Private schools are for profit. No, they aren't. The vast majority of private schools are non-profit corporations.
- throwaway729 10y ago> Private schools are for profit This is far more false than true. Most private schools are, in fact, not-for-profit. All of the house-hold private university names, except for University of Phoenix, are all not-for-profit. Harvard, Yale, etc. are all not-for-profit. > They are generally regarded as the best education you can get for K-12 schooling The only for profit K-12 schools I know of are basically web-based GED prep courses. Not exactly the "best education you can get", but it'll get you that McDonalds gig. This isn't even true of not-for-profit private schools. There are plenty of public schools, e.g. in wealthy suburbs, that are far higher quality than your average Catholic private school, for example. > actually, wait, isn't that the difference between a college and a university? No, not at all. The only difference is that a university a) has multiple colleges and b) offers graduate degrees. Colleges and universities can be private for-profit, private not-for-profit, or public. > For profit schools pretty much kick ass Sorry to burst your bubble, but in higher education, for-profit universities are usually bottom of the barrel in terms of both prestige and quality.
- pc86 10y agoI mean if you believe they will continue to exist and make a profit, it makes financial sense to invest in them.
- SilasX 10y agoSo, it's perfectly fine to personally enrich yourself by: A) Working as a prison guard/admin (in which your job security/salary increase with incarceration); B) Hiring released convicts (in which your model becomes increasingly profitable as more of the labor force is branded as less hireable due to greater incarceration); C) Supplying goods to prisons (in which your specialization at the problems of delivery to prisons becomes more valuable with greater incarceration) D) Lobbying for tough-on-crime laws due to the above incentives, as e.g. CO interest groups have done [1] But running the prison itself? "That's too much, man!" Frankly, the anti-private prison movement is, IMHO, very confused. Numerous groups financially profit from the prison system even when they're publicly run, and such prisons produce the same egregious incentives to encourage more incarceration. (See the three-strikes lobbying.) It seems like a way to exploit anti-market, anti-profit bias to get the masses enraged at an enormous red herring -- which, by the way, is still only 6-16% [2]. [1] http://www.cjcj.org/uploads/cjcj/documents/the_undue_influence_of_californias_prison_guards_union-californias_correctional_industrial_complex.pdf http://www.cjcj.org/uploads/cjcj/documents/the_undue_influen... [2] https://www.aclu.org/issues/mass-incarceration/privatization-criminal-justice/private-prisons https://www.aclu.org/issues/mass-incarceration/privatization...
- pavel_lishin 10y agoI think it is, in fact, fine to do A, B, and C. We do need prisons. Some people are too dangerous to be allowed in society, and this will likely always be the case. So they must be guarded. (Technically, you're also guarding everyone else from them.) If it's immoral to work as a prison guard, it's also immoral to work as a policeman, or a firefighter, or a street cleaner - as your job becomes more secure when there are more criminals, or house fires, or litterers. Patent nonsense. Hiring released convicts is also a good thing, in general - people go to prison, pay their debt to society, and come out. They need jobs, now. And a person is going to need a bed sheet, a tooth brush, and toilet paper whether they're in prison or free. D, I agree with, is wrong. And especially when done by the folks who do C.
- eeeeeeeeeeeee 10y agoThere is a big difference between profiting from people versus profiting indirectly through supplies that a public prison uses. The incentives are totally backwards. The state should be encouraging people to not be in prison, but instead we have monetary incentives in place for putting more people in prison and keeping them there.
- cloudjacker 10y agoI mean.... I do plan on looking at the 10-K to form an objective opinion about it There's really almost no scenario where I'm going to say "yeah I don't want to be in a position to make a downpayment on a house by analyzing and pursuing that profitable scenario" whether long, short, no play, I'll take a look how about you?
- byebyetech 10y agoI bet they lobby against Decriminalizing anything.
- iak8god 10y agoCCA is spending about a million dollars on lobbying per year lately. That's down from a few years back when they were at 2-4M. If you're up for it, you can dig around and try to figure out what/who they're buying here: http://www.opensecrets.org/lobby/clientsum.php?id=D000021940&year=2016 http://www.opensecrets.org/lobby/clientsum.php?id=D000021940...
- jonknee 10y agoNot a ton different than military contractors like Lockheed Martin, Raytheon or General Dynamics. They actively root for war so they can make money.
- nathancahill 10y agoThey do a little more than "root for war". https://www.opensecrets.org/lobby/indus.php?id=D https://www.opensecrets.org/lobby/indus.php?id=D
- vonmoltke 10y agoThose numbers are deceptive. For example, they lump the entire $9.2M spent by Boeing into the "defense" category. Boeing is a pretty diverse aerospace and services company. They sell to many more areas of the government than the DOD and have many more interests in government policy beyond acquisitions programs. Dumping all of their lobbying efforts into "defense" unfairly distorts the category, especially since that number alone represents 1/6 of it.
- deleted 10y ago[deleted]
- dmix 10y agoBoeing got 40% of their revenue from the DoD in 2007 according to WikiInvest and that probably hasn't changed much today: http://www.wikinvest.com/stock/Boeing_Company_(BA)/Data/Percentage_of_Revenue_from_Department_of_Defense http://www.wikinvest.com/stock/Boeing_Company_(BA)/Data/Perc... That's pretty significant - once you factor in their other revenue from private industry plus sales to foreign countries. So if you were going to categorize Boeing as anything in the context of the US gov alone, defense seems appropriate. Additionally, even cutting that number in half (for the sake of accuracy) only reduces the total defense aerospace category by $4.6 million ($38m -> $33.4m total) which doesn't make those numbers drastically different, or that link much less persuasive.
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- mrb 10y agoIt should not be their presence on the stock market that is insane, but the fact they can be for-profit businesses.
- BurningFrog 10y agoI honestly don't understand the incentive part. Can you spell it out? If the prison company was also in charge of sentencing people to prisons, I would get it. But as long as they merely implement the sentences the court system decides, what are the perverse incentives?
- stouset 10y agoPrivate prisons are compensated based on the number of prisoners they house, not on the recidivism rate. Private prison companies then further lobby for harsher sentences.
- azinman2 10y agoNot to mention they're legally required to attempt increasing profits (maximizing shareholder value) forever. If the supply of prisoners is fixed, how else can that be done other than creating worse and worse prisons?
- juandazapata 10y agoNow it's 40% down. Good.
- charlesdm 10y agoDon't forget, if you have pension savings then you're probably invested in this through some sort of pension fund.
- deleted 10y ago[deleted]
- hx87 10y agoUnless your pension fund is absurdly ill-managed and/or corrupt, your exposure will be tiny.
- astral303 10y agoSources? Pension funds tend to not be socially-minded
- TheCoelacanth 10y agoWell-managed pension funds are diversified enough to not have an overly large exposure to any industry.
- cloudjacker 10y agowhich proves the only point that was being made? Does your mind frequently attempt to lessen the blow by noticing the blow does in fact exist but is small?
- hx87 10y agoIf all that happens is that my portfolio is a few points below what it would otherwise be, that's not much of a point. > Does your mind frequently attempt to lessen the blow by noticing the blow does in fact exist but is small? All the time? Otherwise you'd constantly be overwhelmed by small but ultimately inconsequential stresses.
- expertentipp 10y ago> Corrections Corp This sounds like an US metal band from '90s
- MrZongle2 10y ago...and one that would have released a cover of Humble Pie's "30 Days in the Hole", at that.
- kayla210 10y agoWow, prisons on the stock market...? Interesting...
- swalsh 10y agoSo there is a fairly significant bounce back starting at ~12:40. My best guess would be profit taking from shorters? I wonder if there would be any way to know who shorted this, it seems like the perfect type of thing for some inside trading in DC to take place.
- Blackthorn 10y agoShort interest on CXW was only 8.8%. Probably just digesting the news, realizing this was panic selling and states still held the vast, vast majority of private prisons.
- fnordfnordfnord 10y agoGEO Group too. https://www.google.com/finance?q=NYSE%3ACXW%2C+NYSE%3AGEO https://www.google.com/finance?q=NYSE%3ACXW%2C+NYSE%3AGEO