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CI

Cigna NYSE:CI Stock Report

Last Price

US$268.03

Market Cap

US$85.0b

7D

1.1%

1Y

12.6%

Updated

03 Jul, 2022

Data

Company Financials +
CI fundamental analysis
Snowflake Score
Valuation5/6
Future Growth1/6
Past Performance2/6
Financial Health2/6
Dividends5/6

CI Stock Overview

Cigna Corporation provides insurance and related products and services in the United States.

Cigna Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Cigna
Historical stock prices
Current Share PriceUS$268.03
52 Week HighUS$273.58
52 Week LowUS$191.74
Beta0.77
1 Month Change1.75%
3 Month Change8.85%
1 Year Change12.60%
3 Year Change63.99%
5 Year Change58.03%
Change since IPO3,903.77%

Recent News & Updates

Jun 14

Cigna: A Forgotten Gem

Cigna does not get as much attention as other large healthcare companies but is growing at a rapid pace. The rising price of healthcare, increasing number of consumers with health insurance, and steady population growth will cause higher demand for the company's services. Management is making key decisions to increase shareholder value and improve the company, such as diversifying revenue, buying back shares, and offering a leading dividend.

Jun 06

Cigna: A Giant In The Industry Is A 'Buy'

In this article, we'll take a look at healthcare company Cigna. The company is a giant in the field of healthcare insurance. With almost 74,000 employees and revenues over $174 billion, this business is one of the largest on earth in terms of healthcare insurance and other services. This is my foundational thesis on Cigna Corporation - and my initial stance is a "BUY".

May 21
Here's Why Cigna (NYSE:CI) Has A Meaningful Debt Burden

Here's Why Cigna (NYSE:CI) Has A Meaningful Debt Burden

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' When we think about how risky a company...

Shareholder Returns

CIUS HealthcareUS Market
7D1.1%2.2%-2.5%
1Y12.6%4.4%-21.2%

Return vs Industry: CI exceeded the US Healthcare industry which returned 4.4% over the past year.

Return vs Market: CI exceeded the US Market which returned -21.2% over the past year.

Price Volatility

Is CI's price volatile compared to industry and market?
CI volatility
CI Average Weekly Movement4.3%
Healthcare Industry Average Movement9.7%
Market Average Movement8.1%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market3.3%

Stable Share Price: CI is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CI's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
179272,963David Cordanihttps://www.cigna.com

Cigna Corporation 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.

Cigna Fundamentals Summary

How do Cigna's earnings and revenue compare to its market cap?
CI fundamental statistics
Market CapUS$85.04b
Earnings (TTM)US$5.39b
Revenue (TTM)US$176.99b

15.8x

P/E Ratio

0.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CI income statement (TTM)
RevenueUS$176.99b
Cost of RevenueUS$153.96b
Gross ProfitUS$23.03b
Other ExpensesUS$17.65b
EarningsUS$5.39b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 04, 2022

Earnings per share (EPS)16.98
Gross Margin13.01%
Net Profit Margin3.04%
Debt/Equity Ratio71.7%

How did CI perform over the long term?

See historical performance and comparison

Dividends

1.7%

Current Dividend Yield

25%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is CI undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CI?

Other financial metrics that can be useful for relative valuation.

CI key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.6x
Enterprise Value/EBITDA11.3x
PEG Ratio1.9x

Price to Earnings Ratio vs Peers

How does CI's PE Ratio compare to its peers?

CI PE Ratio vs Peers
The above table shows the PE ratio for CI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average31.3x
CVS CVS Health
15.4x7.2%US$123.2b
LH Laboratory Corporation of America Holdings
10.6x-1.6%US$22.3b
DGX Quest Diagnostics
8.6x-0.4%US$16.0b
RCM R1 RCM
90.6x38.4%US$9.1b
CI Cigna
15.8x8.4%US$85.0b

Price-To-Earnings vs Peers: CI is good value based on its Price-To-Earnings Ratio (15.8x) compared to the peer average (31.3x).


Price to Earnings Ratio vs Industry

How does CI's PE Ratio compare vs other companies in the US Healthcare Industry?

Price-To-Earnings vs Industry: CI is good value based on its Price-To-Earnings Ratio (15.8x) compared to the US Healthcare industry average (18.8x)


Price to Earnings Ratio vs Fair Ratio

What is CI's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.8x
Fair PE Ratio35.2x

Price-To-Earnings vs Fair Ratio: CI is good value based on its Price-To-Earnings Ratio (15.8x) compared to the estimated Fair Price-To-Earnings Ratio (35.2x).


Share Price vs Fair Value

What is the Fair Price of CI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CI ($268.03) is trading below our estimate of fair value ($747.16)

Significantly Below Fair Value: CI is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: CI is poor value based on its PEG Ratio (1.9x)


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Future Growth

How is Cigna forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


8.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CI's forecast earnings growth (8.4% per year) is above the savings rate (1.9%).

Earnings vs Market: CI's earnings (8.4% per year) are forecast to grow slower than the US market (13.6% per year).

High Growth Earnings: CI's earnings are forecast to grow, but not significantly.

Revenue vs Market: CI's revenue (5.3% per year) is forecast to grow slower than the US market (8.2% per year).

High Growth Revenue: CI's revenue (5.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CI's Return on Equity is forecast to be low in 3 years time (16.4%).


Discover growth companies

Past Performance

How has Cigna performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


27.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CI has high quality earnings.

Growing Profit Margin: CI's current net profit margins (3%) are lower than last year (5.2%).


Past Earnings Growth Analysis

Earnings Trend: CI's earnings have grown significantly by 27.5% per year over the past 5 years.

Accelerating Growth: CI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CI had negative earnings growth (-36.2%) over the past year, making it difficult to compare to the Healthcare industry average (10.1%).


Return on Equity

High ROE: CI's Return on Equity (11.8%) is considered low.


Discover strong past performing companies

Financial Health

How is Cigna's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CI's short term assets ($35.4B) do not cover its short term liabilities ($43.7B).

Long Term Liabilities: CI's short term assets ($35.4B) do not cover its long term liabilities ($62.8B).


Debt to Equity History and Analysis

Debt Level: CI's net debt to equity ratio (60.6%) is considered high.

Reducing Debt: CI's debt to equity ratio has increased from 33.2% to 71.7% over the past 5 years.

Debt Coverage: CI's debt is well covered by operating cash flow (24.5%).

Interest Coverage: CI's interest payments on its debt are well covered by EBIT (6.4x coverage).


Balance Sheet


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Dividend

What is Cigna current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.67%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: CI's dividend (1.67%) is higher than the bottom 25% of dividend payers in the US market (1.6%).

High Dividend: CI's dividend (1.67%) is low compared to the top 25% of dividend payers in the US market (4.25%).


Stability and Growth of Payments

Stable Dividend: CI's dividends per share have been stable in the past 10 years.

Growing Dividend: CI's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (25.3%), CI's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (20.5%), CI's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

1.7yrs

Average management tenure


CEO

David Cordani (57 yo)

14.08yrs

Tenure

US$19,872,266

Compensation

Mr. David Michael Cordani serves as Chair of the Board at Cigna Corporation since January 01, 2022. He has been the Chief Executive Officer and President of Cigna Corporation since December 25, 2009 and Ju...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD19.87M) is above average for companies of similar size in the US market ($USD13.43M).

Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CI's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: CI's board of directors are considered experienced (3.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Cigna Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Cigna Corporation
  • Ticker: CI
  • Exchange: NYSE
  • Founded: 1792
  • Industry: Health Care Services
  • Sector: Healthcare
  • Implied Market Cap: US$85.039b
  • Shares outstanding: 317.27m
  • Website: https://www.cigna.com

Number of Employees


Location

  • Cigna Corporation
  • 900 Cottage Grove Road
  • Bloomfield
  • Connecticut
  • 6002
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/03 00:00
End of Day Share Price2022/07/01 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.