(CI) Cigna - Overview
Sector: Healthcare | Industry: Healthcare Plans | Exchange: NYSE (USA) | Market Cap: 79.548m USD | Total Return: -9.1% in 12m
Industry Rotation: +22.1
Avg Turnover: 484M
EPS Trend: 81.8%
Qual. Beats: 0
Rev. Trend: 97.0%
Qual. Beats: 13
Warnings
No concerns identified
Tailwinds
No distinct edge detected
The Cigna Group is a global health services organization operating primarily through two core segments: Evernorth Health Services and Cigna Healthcare. Evernorth focuses on pharmacy benefit management (PBM), specialty pharmacy distribution, and clinical care services. Cigna Healthcare provides medical insurance plans to employers, individuals, and government entities, alongside dental and behavioral health solutions.
The company utilizes a diversified distribution model, selling products through brokers, consultants, and direct-to-consumer channels. As a major player in the PBM sector, Cigna operates in a highly consolidated industry where three large entities manage approximately 80% of all prescription drug claims in the United States. This integrated business model allows the firm to capture margins across both the financing and delivery of healthcare services.
Investors can evaluate the company’s long-term valuation metrics and historical performance trends on ValueRay. Founded in 1792 and headquartered in Bloomfield, Connecticut, the company rebranded from Cigna Corporation to The Cigna Group in 2023 to reflect its expanded focus beyond traditional insurance.
- Evernorth pharmacy benefit management margins drive consolidated revenue growth and earnings
- Medical loss ratio fluctuations impact profitability within the Cigna Healthcare segment
- Federal pharmacy benefit manager transparency legislation poses significant regulatory and margin risk
- Specialty pharmacy growth and biosimilar adoption accelerate Evernorth Health Services expansion
- Aggressive share repurchase programs and dividend increases support long term shareholder value
| Net Income: 6.29b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA 1.01 > 1.0 |
| NWC/Revenue: -3.44% < 20% (prev -4.77%; Δ 1.33% < -1%) |
| CFO/TA 0.06 > 3% & CFO 8.81b > Net Income 6.29b |
| Net Debt (23.86b) to EBITDA (11.93b): 2.00 < 3 |
| Current Ratio: 0.82 > 1.5 & < 3 |
| Outstanding Shares: last quarter (264.2m) vs 12m ago -6.71% < -2% |
| Gross Margin: 9.30% > 18% (prev 0.10%; Δ 919.8% > 0.5%) |
| Asset Turnover: 182.9% > 50% (prev 169.5%; Δ 13.40% > 0%) |
| Interest Coverage Ratio: 6.77 > 6 (EBITDA TTM 11.93b / Interest Expense TTM 1.38b) |
| A: -0.06 (Total Current Assets 43.03b - Total Current Liabilities 52.61b) / Total Assets 153.27b |
| B: 0.32 (Retained Earnings 49.11b / Total Assets 153.27b) |
| C: 0.06 (EBIT TTM 9.32b / Avg Total Assets 151.96b) |
| D: 0.41 (Book Value of Equity 45.51b / Total Liabilities 110.82b) |
| Altman-Z'' Score: 1.48 = BB |
| DSRI: 0.93 (Receivables 26.61b/26.24b, Revenue 277.94b/255.37b) |
| GMI: 1.10 (GM 9.30% / 10.25%) |
| AQI: 1.01 (AQ_t 0.70 / AQ_t-1 0.69) |
| SGI: 1.09 (Revenue 277.94b / 255.37b) |
| TATA: -0.02 (NI 6.29b - CFO 8.81b) / TA 153.27b) |
| Beneish M-Score: -2.94 (Cap -4..+1) = A |
Over the past week, the price has changed by -0.82%, over one month by +2.42%, over three months by -0.64% and over the past year by -9.07%.
- StrongBuy: 13
- Buy: 6
- Hold: 6
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 340.5 | 18.8% |
P/E Forward = 9.4877
P/S = 0.2863
P/B = 1.8053
P/EG = 0.8623
Revenue TTM = 277.94b USD
EBIT TTM = 9.32b USD
EBITDA TTM = 11.93b USD
Long Term Debt = 29.37b USD (from longTermDebt, last quarter)
Short Term Debt = 1.53b USD (from shortTermDebt, last quarter)
Debt = 30.90b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 23.86b USD (from netDebt column, last quarter)
Enterprise Value = 102.60b USD (79.55b + Debt 30.90b - CCE 7.85b)
Interest Coverage Ratio = 6.77 (Ebit TTM 9.32b / Interest Expense TTM 1.38b)
EV/FCF = 13.39x (Enterprise Value 102.60b / FCF TTM 7.66b)
FCF Yield = 7.47% (FCF TTM 7.66b / Enterprise Value 102.60b)
FCF Margin = 2.76% (FCF TTM 7.66b / Revenue TTM 277.94b)
Net Margin = 2.26% (Net Income TTM 6.29b / Revenue TTM 277.94b)
Gross Margin = 9.30% ((Revenue TTM 277.94b - Cost of Revenue TTM 252.09b) / Revenue TTM)
Gross Margin QoQ = 9.45% (prev 7.66%)
Tobins Q-Ratio = 0.67 (Enterprise Value 102.60b / Total Assets 153.27b)
Interest Expense / Debt = 1.16% (Interest Expense 357.0m / Debt 30.90b)
Taxrate = 18.02% (409.0m / 2.27b)
NOPAT = 7.64b (EBIT 9.32b * (1 - 18.02%))
Current Ratio = 0.82 (Total Current Assets 43.03b / Total Current Liabilities 52.61b)
Debt / Equity = 0.73 (Debt 30.90b / totalStockholderEquity, last quarter 42.21b)
Debt / EBITDA = 2.00 (Net Debt 23.86b / EBITDA 11.93b)
Debt / FCF = 3.11 (Net Debt 23.86b / FCF TTM 7.66b)
Total Stockholder Equity = 41.49b (last 4 quarters mean from totalStockholderEquity)
RoA = 4.14% (Net Income 6.29b / Total Assets 153.27b)
RoE = 15.16% (Net Income TTM 6.29b / Total Stockholder Equity 41.49b)
RoCE = 13.16% (EBIT 9.32b / Capital Employed (Equity 41.49b + L.T.Debt 29.37b))
RoIC = 10.43% (NOPAT 7.64b / Invested Capital 73.28b)
WACC = 5.05% (E(79.55b)/V(110.45b) * Re(6.64%) + D(30.90b)/V(110.45b) * Rd(1.16%) * (1-Tc(0.18)))
Discount Rate = 6.64% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.92%
Shares (quarterly) Correlation: -89.89 | Cagr: -4.72%
[DCF] Terminal Value 86.08% ; FCFF base≈7.00b ; Y1≈6.83b ; Y5≈6.88b
[DCF] Fair Price = 685.5 (EV 205.18b - Net Debt 23.86b = Equity 181.32b / Shares 264.5m; r=6.0% [WACC]; 5y FCF grow -3.56% → 3.0% )
EPS Correlation: 81.83 | EPS CAGR: 6.19% | SUE: 0.87 | # QB: 0
Revenue Correlation: 96.99 | Revenue CAGR: 11.54% | SUE: 1.48 | # QB: 13
EPS current Quarter (2026-06-30): EPS=7.56 | Chg30d=+2.27% | Revisions=+25% | Analysts=21
EPS next Quarter (2026-09-30): EPS=7.62 | Chg30d=-2.12% | Revisions=-42% | Analysts=21
EPS current Year (2026-12-31): EPS=30.40 | Chg30d=+0.19% | Revisions=+67% | GrowthEPS=+1.9% | GrowthRev=+3.3%
EPS next Year (2027-12-31): EPS=33.55 | Chg30d=+0.30% | Revisions=+39% | GrowthEPS=+10.3% | GrowthRev=+4.8%
[Analyst] Revisions Ratio: +67%