Cigna Group (CI, Financial) shares experienced a decline of 4.69% as new reports emerged about the company's renewed merger discussions with Humana (HUM). This movement is a notable contrast to the S&P 500 index, which saw a minor dip of 0.2%.
The Cigna Group, trading under the ticker CI, is currently priced at $320.23. The company's stock has been considered "Modestly Undervalued" based on its GF Value of $389.21. For those interested, you can explore more about its GF Value.
Cigna primarily operates in the healthcare plans sector, providing services such as pharmacy benefit management and health insurance. As of December 2023, it covered 18 million medical members in the US. The company's financials show a price-to-earnings (P/E) ratio of 25.2 and a price-to-book (P/B) ratio of 2.17. The dividend yield stands at 1.68% with a 5-year dividend growth rate of 239.9%.
Despite its strong positioning, Cigna has been facing some headwinds. There are three medium warning signs, including insider selling activity with three transactions amounting to 31,540 shares sold in the last three months. On the upside, the company's Beneish M-Score suggests it is "Unlikely a manipulator," which is a positive signal for investors.
Cigna's stock has shown a positive change over a longer horizon, with a 3-year price change of +15.95% and a 5-year change of +15.41%. However, recent volatility includes a 12-week price change of -4.28% and a 1-week change of -8.88%. Despite these fluctuations, Cigna's future potential remains compelling given its strategic discussions with Humana and its current valuation status.
