Is The GEO Group, Inc. overvalued or undervalued?

As of 26 September 2025, The GEO Group, Inc. has moved from an expensive to a fair valuation grade. The company appears to be fairly valued based on its current metrics, with a P/E ratio of 35, an EV to EBITDA of 9.25, and a Price to Book Value of 2.93. In comparison to peers, Ladder Capital Corp. has a more attractive P/E ratio of 17.19, while Uniti Group, Inc. shows a higher P/E at 50.89, indicating that The GEO Group is positioned more favorably within its industry.
Despite recent volatility, The GEO Group has demonstrated strong long-term performance, with a 1-year return of 64.44% compared to the S&P 500's 15.64%, and a remarkable 3-year return of 182.43% versus the S&P 500's 81.77%. This suggests that while the stock may currently be fairly valued, its historical performance indicates potential for future growth.