Corecivic Inc (NYSE: CXW)
Corecivic wasn’t having what would be considered a strong day in the market today. In fact, when the trading session opened, the stock was trading slightly in the red. From there, it continued to fall further and further into the abyss. However, minutes ago, the stock started spiking in a clear attempt toward a recovery as the Secretary of the White House spoke. Below, we’ll talk about what we’re seeing from CXW, why, and what we’ll be watching for ahead.
What We’re Seeing From CXW
As mentioned above, Corecivic wasn’t having a great day in the market today. In fact, when the opening bell rang, the stock was already seeing losses, and those losses have only been expanded throughout the session. That is, until minutes ago when the stock started on a big spike upward. Currently (1:11), CXW is trading at $29.51 per share after a loss of $0.16 per share (0.54%) thus far today.
Why The Stock Is Spiking
As is usually the case, our partners at Trade Ideas were the first to inform us of the gains on CXW. As soon as they did, the CNA Finance team started digging to see exactly why the stock was spiking upward. In this case, it didn’t take long to dig up the story. It seems as though the gains can be directly tied to comments made by Sean Spicer, the White House Secretary.
In comments that were played live just minutes ago, Spicer made statements with regard to the criminal justice system in the United States. In one part of the statement, Spicer said that the White House plans to create more correction capacity. Of course, this is great news for Corecivic, a company that owns a network of correctional facilities throughout the United States.
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on CXW. In particular, we’re interested in learning about how the White House plans on increasing correction capacity. This could mean more federal funding for the company and others in the industry. We’ll keep a close eye on the news and bring it to you as it breaks!
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