Fundamentals snapshot
CI · NYQ · Healthcare · Healthcare Plans
Current price
$282.52
52-week range
$239.51 - $315.47
Market cap
$74.65B
One-glance verdict
We don't put a cash-flow fair value on banks and insurers. For these companies the reported 'cash flow' is really just money moving between loans, deposits and trades — not the leftover profit the owners could actually pocket — so the usual method would print a misleading number.
Balance sheet
Net debt $24.62B. Interest coverage shows how many times profit covers the interest bill.
What stands out
What this company does
The Cigna Group is a major health services company that operates two large businesses: selling health insurance plans and managing prescription drug benefits for millions of people. Most of its revenue comes from its Evernorth division, which works with drug makers and pharmacies to help health plans control medication costs. Because it's deeply involved in both the insurance and pharmacy sides of the industry, Cigna plays a significant role in how Americans access and pay for healthcare.
The Cigna Group has a very long history, with its roots going back to the first stock insurance company in America, founded in 1792. The modern company was formed in 1982 through the merger of two large insurance companies. A huge turning point came in 2018 when Cigna bought Express Scripts, a major player in managing prescription drug benefits. This acquisition fundamentally changed the company, shifting its focus from being just a traditional health insurer to a broader health services company. In 2020, it grouped its health services businesses, including Express Scripts, under the brand name Evernorth.
The Cigna Group is a global health company that provides health insurance and a wide range of health-related services. Think of it as two main businesses working together: one part offers health insurance plans to companies and individuals, and the other part manages pharmacy benefits and provides other health services to those same customers and more. The company makes money by collecting payments, called premiums, for its insurance plans and by charging fees for the health and pharmacy services it provides. Ultimately, Cigna aims to make healthcare more affordable and achieve better health outcomes for its millions of customers around the world.
This is the larger part of Cigna's business and where most of its profits come from. Evernorth doesn't sell insurance directly; instead, it provides services that help manage healthcare. Its biggest piece is a Pharmacy Benefit Manager or PBM (a company that manages prescription drug plans for health insurers, large employers, and other payers), which handles everything from processing prescription claims to negotiating drug prices. It also includes a specialty pharmacy for complex conditions, a home delivery pharmacy, and virtual care services. Clients like health plans and large employers pay Evernorth to help control their pharmacy costs and improve the health of their members and employees.
This is the company's health benefits side, which most people would recognize as a traditional health insurance provider. It offers a variety of health insurance plans to employers for their workforce, as well as plans for individuals and families. These plans cover things like doctor visits, hospital stays, and mental health services. Cigna Healthcare also has an international business that provides health coverage for employees of multinational companies and other individuals living abroad.
Management is focused on growing as a "services-led" health company, with a strong emphasis on its Evernorth division. The strategy involves integrating its pharmacy and medical services more closely to better manage costs and improve patient health. They are also investing in digital health, such as expanding virtual care options, to make healthcare more accessible and convenient for customers. By focusing on affordability, expanding access to care, and providing better support to customers, the company aims to be a more comprehensive health partner rather than just an insurer.
Price history
Earnings history
Click any quarter to read the call summary and what the numbers say.
Is it cheap or expensive?
For a bank or insurer, the "free cash flow" shown on its statements is mostly money flowing through loans, deposits and trades — not the leftover profit the owners could actually keep, which is what this kind of valuation needs. Running that through the usual method would spit out a meaningless number, so we leave the cash-flow fair value out here rather than show you something misleading.
Is it drowning in debt?
Net debt $24.6B. Interest coverage 5.8x.
The Cigna Group's profit covers its interest bill about 5.8 times over. which is stronger than every peer shown here and 1 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Total debt $31.88B Interest coverage 5.79x This is the baseline the peer rows are being compared against.
Total debt $73.33B Interest coverage 4.74x -18% vs CI Carries about 1.2x less debt cushion than CI.
Total debt $76.31B Interest coverage 3.33x -43% vs CI Carries about 1.7x less debt cushion than CI.
Total debt $31.04B Interest coverage 5.79x -0% vs CI Has roughly the same debt cushion as CI.
Total debt $14.74B Interest coverage 3.46x -40% vs CI Carries about 1.7x less debt cushion than CI.
Total debt $16.10B Interest coverage -0.46x -100% vs CI This peer has almost no interest-payment cushion compared with CI.
What you should know
The numbers
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Valuation
Profitability
Health
Growth
Cash flow
Dividend
Metric explainer
Debt comparison
What you should know