10 Most Undervalued Industrial Stocks To Buy According To Analysts

2. The GEO Group, Inc. (NYSE:GEO)

Potential Upside: 65.11%

Forward P/E: 14.69

Number of Hedge Fund Holders: 47

According to a report released on December 23, Noble Financial kept its Buy rating on the stock. Analyst Joe Gomes maintained a price target of $35 for the shares, offering a huge upside of 92% from current levels.

A day before the above rating, the company announced that it had secured a contract with U.S. Immigration and Customs Enforcement (ICE). Under the contract, the company will provide skip tracing services for individuals on the federal government’s non-detained docket for a period of up to two years. The agreement is expected to generate approximately $121 million in revenue, or about 4.8% of the company’s trailing twelve-month revenue of $2.53 billion.

The company’s BI Incorporated subsidiary will deliver the services, using improved location research with identifiable information, physical observation, and commercial data verification. These efforts are aimed at investigating address information and verifying current addresses.

George C. Zoley, Executive Chairman of GEO, said in a press release statement:

The expansion of our services addressing the non-detained docket through this new contract is a testament to the high-quality solutions BI has provided to ICE for more than 21 years.

The GEO Group, Inc. (NYSE:GEO) is a leading diversified government services provider. The company specializes in financing, design, development, and support services for processing centers, secure facilities, and community reentry centers.