Back to top

Image: Bigstock

Cigna (CI) Stock Moves -0.24%: What You Should Know

Read MoreHide Full Article

Cigna (CI - Free Report) closed at $268.83 in the latest trading session, marking a -0.24% move from the prior day. This move was narrower than the S&P 500's daily loss of 0.37%. Elsewhere, the Dow lost 0.32%, while the tech-heavy Nasdaq lost 1.18%.

Prior to today's trading, shares of the health insurer had gained 5.07% over the past month. This has lagged the Finance sector's gain of 6.02% and the S&P 500's gain of 7.18% in that time.

Investors will be hoping for strength from Cigna as it approaches its next earnings release. The company is expected to report EPS of $6.03, down 3.05% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $47.13 billion, up 3.74% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $24.81 per share and revenue of $188.88 billion. These totals would mark changes of +6.62% and +4.56%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for Cigna. 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.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% higher. Cigna is currently a Zacks Rank #3 (Hold).

Digging into valuation, Cigna currently has a Forward P/E ratio of 10.86. Its industry sports an average Forward P/E of 8.82, so we one might conclude that Cigna is trading at a premium comparatively.

It is also worth noting that CI currently has a PEG ratio of 0.97. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. CI's industry had an average PEG ratio of 1.13 as of yesterday's close.

The Insurance - Multi line industry is part of the Finance sector. This group has a Zacks Industry Rank of 86, putting it in the top 35% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

Cigna Group (CI) - free report >>

Published in