...Fitch Ratings believes The GEO Group, Inc,'s (GEO; B+/Stable) ownership and operation of private prisons, along with related segments, negatively impacts the breadth and depth of capital sources available to it. Investor sentiment appears to be improving, as evidenced by the company's ability to refinance its entire debt structure in 2024. However, Fitch believes GEO and its peers will continue to be scrutinized by politicians, their constituents and capital sources with ESG considerations, posing risks to both the durability of operating cash flows and increasing refinancing risk. Fitch also believes that these factors are mitigated somewhat by the company's conservative financial policy with low leverage, consistent cash flow generation directed towards debt repayment, operational tailwinds from the current administration's policies, and sentiment changes with respect to ESG investing....
