Cigna (CI) Dips More Than Broader Markets: What You Should Know
Cigna (CI) closed at $273.05 in the latest trading session, marking a -0.94% move from the prior day. This move lagged the S&P 500's daily loss of 0.15%. Elsewhere, the Dow lost 0.28%, while the tech-heavy Nasdaq added 3.16%.
Coming into today, shares of the health insurer had lost 7.04% in the past month. In that same time, the Finance sector lost 8.03%, while the S&P 500 lost 5.39%.
Cigna will be looking to display strength as it nears its next earnings release. In that report, analysts expect Cigna to post earnings of $5.35 per share. This would mark a year-over-year decline of 10.98%. Our most recent consensus estimate is calling for quarterly revenue of $45.26 billion, up 2.62% from the year-ago period.
CI's full-year Zacks Consensus Estimates are calling for earnings of $24.77 per share and revenue of $187.69 billion. These results would represent year-over-year changes of +6.45% and +3.9%, respectively.
Any recent changes to analyst estimates for Cigna should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.21% lower. Cigna is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Cigna currently has a Forward P/E ratio of 11.13. For comparison, its industry has an average Forward P/E of 8.89, which means Cigna is trading at a premium to the group.
Meanwhile, CI's PEG ratio is currently 0.98. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Insurance - Multi line was holding an average PEG ratio of 1.08 at yesterday's closing price.
The Insurance - Multi line industry is part of the Finance sector. This group has a Zacks Industry Rank of 49, putting it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow CI in the coming trading sessions, be sure to utilize Zacks.com.
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Cigna Group (CI) : Free Stock Analysis Report
