I have only recently added GEO to my portfolio. For those of you who don't know the company, GEO operates prisons for the federal, state, and local governments. This is a highly profitable and growing industry as the prison system is already overcrowded and the expected number of prisoners is expected to increase faster than the space in prisons. State and local governments are having a difficult time keeping up with the demands and are outsourcing the job to private companies like GEO. Aside from the long-term need for a company like GEO, this industry is essentially recession proof. In fact, a collapse in the economy would actual increase demand making even more profits for GEO. So in the current expanding economiy, the demand for prison space is high and even if the economy reverses course GEOs profits may be even higher. Two other publically traded companies operate in this space with CRN being the largest. I like GEO because being a smaller player it can grow faster for longer, but perhaps more importantly GEO has recently entered into the mental hospital business. While not a large part of GEO's revenue, it is expanding its business to run mental health hospitals for cash starved governments. I believe this is a critical new growth area for GEO and it is currently the only publically traded company that is in this area. As such it will reap the benefits of being the first mover. In general, GEO is in an essentially recession proof industry that will sport double digit profit gains for GEO. In addition, its foray into the mental health business is a great are of expansion and should reap great returns in the future. In many ways, I have no fear in owning GEO (although one should always have a little fear). Buy GEO, hold it long-term, and reap the benefits.