Analyst Charles Rhyee from TD Cowen maintained a Buy rating on Cigna and keeping the price target at $338.00.
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Charles Rhyee has given his Buy rating due to a combination of factors that highlight Cigna’s solid operating momentum and conservative forward assumptions. He points to notably strong performance in the specialty pharmacy segment, where adjusted pre‑tax income expanded at a robust pace, alongside better‑than‑expected medical cost ratios in the core health insurance business, indicating disciplined underwriting and effective cost management.
He also views management’s outlook for the specialty segment as intentionally cautious, with projected operating income growth that could be exceeded as biosimilar Stelara adoption rises and the CarePathRx acquisition contributes more meaningfully. While the pharmacy benefits segment came in softer, it tracked internal forecasts and reflects strategic investments in the rebate‑free Signature model, which, together with solid PBM client retention for upcoming selling seasons, supports sustained earnings growth and underpins his unchanged $338 price target.
Rhyee covers the Healthcare sector, focusing on stocks such as Option Care Health, Cardinal Health, and Cigna. According to TipRanks, Rhyee has an average return of 2.7% and a 48.78% success rate on recommended stocks.