Cigna (CI) AI Stock Analysis

• Market Cap: $70.70B
• Dividend Yield: 1.93%
• Average Volume (3M): 1.92M
• Price to Earnings (P/E): 11.7
• Beta (1Y): 0.32
• Revenue Growth: 16.75%
• EPS Growth: 113.48%
• Country: US
• Employees: 71,295
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Healthcare Plans
• EPS (TTM): 7.83
• Shares Outstanding: 267,125,820
• 10 Day Avg. Volume: 2,931,965
• 30 Day Avg. Volume: 1,923,100
• PEG Ratio: -0.74
• Price to Book (P/B): 1.89
• Price to Sales (P/S): 0.31
• P/FCF Ratio: 8.64
• Enterprise Value/Market Cap: 1.58
• Enterprise Value/Revenue: 0.42
• Enterprise Value/Gross Profit: 4.14
• Enterprise Value/Ebitda: 9.59
• 1Y Price Target: $345.41
• Price Target Upside: 30.51% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 17
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: $268.00 ▲(1.26% Upside)

Cigna's overall stock score is driven by solid financial performance and attractive valuation, offset by bearish technical indicators and challenges highlighted in the earnings call. The company's strategic initiatives and strong cash flow provide a foundation for future growth, but current market sentiment and operational pressures warrant caution.

Positive Factors

Strategic Investments

The investment in Shields Health Solutions enhances Cigna's specialty capabilities, positioning it for long-term growth in specialty services.

Client Retention

High client retention rates indicate strong customer loyalty and stable revenue streams, supporting long-term business stability.

Cash Flow Generation

Robust cash flow generation enhances Cigna's ability to fund operations and strategic investments, supporting sustainable growth.

Negative Factors

Margin Pressure

Margin pressure in the Pharmacy Benefit Services segment could impact profitability, challenging long-term financial performance.

Medical Care Ratio Increase

An increased medical care ratio reflects higher costs, potentially affecting profitability and necessitating efficiency improvements.

Challenges in Individual Exchange Business

Challenges in the individual exchange business may hinder revenue growth and require strategic adjustments to maintain competitiveness.

Cigna Business Overview & Revenue Model

Company Description

The Cigna Group provides insurance and related products and services in the United States. Its Evernorth segment provides a range of coordinated and point solution health services, including pharmacy, benefits management, care delivery and management, and intelligence solutions to health plans, employers, government organizations, and health care providers. The company's Cigna Healthcare segment offers medical, pharmacy, behavioral health, dental, vision, health advocacy programs, and other products and services for insured and self-insured customers; Medicare Advantage, Medicare Supplement, and Medicare Part D plans for seniors, as well as individual health insurance plans to on and off the public exchanges; and health care coverage in its international markets, as well as health care benefits for mobile individuals and employees of multinational organizations. The company also offers permanent insurance contracts sold to corporations to provide coverage on the lives of certain employees for financing employer-paid future benefit obligations. It distributes its products and services through insurance brokers and consultants; directly to employers, unions and other groups, or individuals; and private and public exchanges. The company was founded in 1792 and is headquartered in Bloomfield, Connecticut.

How the Company Makes Money

Cigna generates revenue primarily through premiums collected from its health insurance policies, which cover a variety of services including medical, dental, and pharmacy care. The company also earns revenue from providing managed care services to employers and government programs. Key revenue streams include individual and group health insurance premiums, administrative services for self-funded employer plans, and sales of ancillary products like dental and vision insurance. Additionally, Cigna has strategic partnerships and collaborations with healthcare providers, which enable them to optimize costs and improve care delivery. The company also benefits from the increasing demand for healthcare services and the expansion of health insurance coverage, particularly in the context of regulatory changes and market dynamics.

Cigna Financial Statement Overview

Summary

Cigna demonstrates solid financial performance with consistent revenue growth and strong cash flow generation. While profitability margins and leverage ratios present areas for improvement, the company's financial health remains stable. The balance between growth, profitability, and cash flow positions Cigna well in the competitive healthcare plans industry.

Income Statement

Cigna's income statement shows a steady revenue growth rate of 2.31% in the TTM period, indicating a positive growth trajectory. The gross profit margin is relatively low at 7.81%, but the net profit margin has improved to 1.64% from the previous year. The EBIT and EBITDA margins have slightly decreased, suggesting some pressure on operational efficiency. Overall, the company demonstrates stable revenue growth with room for improvement in profitability margins.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 0.81, indicating a balanced approach to leverage. The return on equity (ROE) is at 10.74%, showing a decent return on shareholders' investments. The equity ratio stands at 26.47%, suggesting a stable capital structure. While the company maintains a healthy balance sheet, the leverage could be optimized further to enhance financial stability.

Cash Flow

Cigna's cash flow statement highlights a significant free cash flow growth rate of 88.57% in the TTM period, showcasing strong cash generation capabilities. The operating cash flow to net income ratio is 0.15, and the free cash flow to net income ratio is 0.86, indicating efficient cash conversion. The robust cash flow performance supports the company's ability to fund operations and investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	268.13B	247.12B	195.26B	180.52B	174.07B	160.40B
Gross Profit	26.89B	25.96B	25.18B	23.50B	22.95B	24.21B
EBITDA	11.62B	11.45B	10.85B	10.44B	9.96B	10.37B
Net Income	6.15B	3.43B	5.16B	6.70B	5.37B	8.46B
Balance Sheet
Total Assets	157.92B	155.88B	152.76B	143.88B	154.89B	155.45B
Cash, Cash Equivalents and Short-Term Investments	6.03B	8.21B	8.75B	6.83B	6.00B	11.51B
Total Debt	34.04B	31.97B	30.93B	31.55B	34.27B	33.56B
Total Liabilities	115.91B	114.64B	106.41B	98.98B	107.70B	105.06B
Stockholders Equity	41.80B	41.03B	46.22B	44.87B	47.11B	50.32B
Cash Flow
Free Cash Flow	7.44B	8.96B	10.24B	7.36B	6.04B	9.26B
Operating Cash Flow	8.66B	10.36B	11.81B	8.66B	7.19B	10.35B
Investing Cash Flow	-4.18B	-2.10B	-5.17B	3.10B	-3.61B	2.98B
Financing Cash Flow	-5.60B	-7.65B	-4.29B	-11.24B	-8.21B	-8.53B

Cigna Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 264.66
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CI, the sentiment is Negative. The current price of 264.66 is below the 20-day moving average (MA) of 292.83, below the 50-day MA of 295.39, and below the 200-day MA of 304.25, indicating a bearish trend. The MACD of -8.90 indicates Positive momentum. The RSI at 37.92 is Neutral, neither overbought nor oversold. The STOCH value of 22.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CI.

Cigna Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UNH	76 Outperform	$302.36B	17.42	18.48%	2.58%	10.48%	24.25%
CVS	74 Outperform	$99.12B	204.02	0.63%	3.39%	6.71%	-90.11%
HUM	71 Outperform	$33.90B	21.63	9.03%	1.21%	9.88%	-7.25%
CI	69 Neutral	$70.70B	11.68	14.65%	1.93%	16.75%	113.48%
ELV	68 Neutral	$70.37B	12.95	12.61%	1.93%	11.96%	-11.11%
CNC	61 Neutral	$17.75B	-3.34	-21.93%	―	14.92%	-286.72%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Cigna Corporate Events

Cigna’s Earnings Call: Strong Performance Amid Challenges

Cigna Group’s recent earnings call revealed a generally positive sentiment, underscored by robust revenue and earnings performance. The company’s strategic investments and client retention efforts have paid off, although challenges persist, particularly in the Pharmacy Benefit Services segment and with increased medical care ratios in the individual exchange business. Despite these hurdles, Cigna is poised for growth in specialty services and strategic client renewals, although the transition to a new rebate-free model may present short-term challenges.

Cigna Group Reports Strong Q3 2025 Results

The Cigna Group is a global health company that provides a wide range of health services and solutions through its subsidiaries, including Evernorth Health Services and Cigna Healthcare, operating in more than 30 markets worldwide. In the third quarter of 2025, The Cigna Group reported a 10% increase in total revenues, reaching $69.7 billion, and a significant rise in shareholders’ net income to $1.9 billion, or $6.98 per share. The company also reaffirmed its 2025 adjusted earnings per share outlook of at least $29.60. Key highlights include the introduction of a new rebate-free pharmacy benefit model aimed at reducing costs and enhancing transparency. The company’s performance was driven by strong growth in Evernorth Health Services, particularly in its Pharmacy Benefit Services and Specialty and Care Services segments, which saw a 15% increase in adjusted revenues. However, Cigna Healthcare experienced an 18% decrease in adjusted revenues due to the divestiture of certain businesses. Looking ahead, The Cigna Group remains committed to executing its growth strategy and addressing healthcare challenges, with a focus on innovation and cost reduction.

Cigna Board Member Announces Retirement

On October 15, 2025, Retired Major General Elder Granger, M.D. announced his retirement from Cigna‘s Board of Directors, effective December 31, 2025, in line with the Board’s retirement age policy. His retirement is not due to any disagreement with the company, indicating a smooth transition and stability in Cigna’s governance.

The most recent analyst rating on (CI) stock is a Buy with a $333.00 price target. To see the full list of analyst forecasts on Cigna stock, see the CI Stock Forecast page.

Cigna Issues $4.5 Billion in Senior Notes

On September 4, 2025, Cigna completed a significant financial maneuver by issuing $4.5 billion in senior notes with varying maturity dates and interest rates. The proceeds from this issuance are intended to repay $2 billion in loans used for a strategic investment and support general corporate purposes, potentially impacting the company’s financial flexibility and strategic positioning.

The most recent analyst rating on (CI) stock is a Buy with a $383.00 price target. To see the full list of analyst forecasts on Cigna stock, see the CI Stock Forecast page.

Cigna Reaffirms 2025 Earnings Projection Amid Industry Challenges

The Cigna Group, a prominent player in the healthcare industry, has reaffirmed its projected full-year 2025 consolidated adjusted income from operations, expecting at least $29.60 per share. This announcement, initially discussed in July 2025, underscores Cigna’s confidence in its financial performance and strategic positioning despite the inherent uncertainties and risks in the evolving healthcare sector.

The most recent analyst rating on (CI) stock is a Buy with a $335.00 price target. To see the full list of analyst forecasts on Cigna stock, see the CI Stock Forecast page.