Shares of Geo Group Inc (GEO), a major private prison operator in the United States, surged by 7.77% in pre-market trading on November 11th, 2024. The stock's sharp rally came as investors anticipated increased business opportunities for the company under Donald Trump's presidency and his tough stance on illegal immigration.

The surge in Geo Group's stock price was triggered by Trump's announcement on Sunday that he would appoint Tom Homan, the former acting director of Immigration and Customs Enforcement (ICE), as the U.S. "border czar." This move was widely interpreted as a signal of Trump's commitment to cracking down on illegal immigration, which could lead to a rise in demand for detention facilities and immigration-related services.

Analysts believe that Geo Group, which operates various private prisons and detention centers across the country, stands to benefit from Trump's tougher immigration policies. "Prison operators Geo Group and CoreCivic are up 4% and 8%, respectively, extending their post-election rally," noted a Reuters market analyst, highlighting the positive market sentiment around these companies.