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Cigna (CI) Beats Q3 Earnings Estimate, Updates Guidance

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Cigna Corp. (CI - Free Report) is a national health benefits company with a comprehensive portfolio of businesses which includes Employee Healthcare, Disability and Life.

Its organizational efficiency plans as well as expansion of Seniors and Medicare business position it well for long run.

The company has a large international presence, which provides diversification benefits.

Cigna is due to be acquired by Anthem Inc. The merger, however, is wrapped in uncertainty with the DoJ opposing to the merger on grounds that the deal would curb competition in the market.

With respect to earnings surprise, though Cigna surpassed estimates in three of the past four quarters and delivered a negative surprise in only one, its average earnings miss is 1.34%.

Currently, Cigna has a Zacks Rank #3 (Hold), but that could definitely change following Cigna earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below: You can see the complete list of today’s Zacks #1 Rank stocks here.


Earnings:  Cigna surpassed the earnings estimate. Our consensus called for earning per share of $1.91, and the company reported earnings of $1.94 per share. Earnings per share was, however, down 15% year over year.

Revenue: Operating revenues of $9.81 billion surpassed the Zacks Consensus Estimate of $9.79 billion. Revenues also grew 5% year over year.

CIGNA CORP Price and EPS Surprise

CIGNA CORP Price and EPS Surprise | CIGNA CORP Quote

Key Stats to Note:

Premiums of $7.6 billion increased 3.5% year over year, while mail order pharmacy revenues increased 18.5%

Total Medical Customers totaled 15.2 million as on Sep 30, 2016.

Cigna updated its 2016 earnings guidance. It expects earning per share in the range of $7.80 to $8.05. It expects mid-single digit growth in revenue. The company expects global medical customer growth in low single digits percentage range.

Check back later for our full write up on this CI earnings report later!

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