Cigna (CI) Stock

Cigna (CI) experienced a significant rise in its stock price during the last trading session, with trading volume exceeding the usual amount. However, the recent changes in earnings estimates might not lead to additional price growth in the short term.

Cigna has strong fundamentals, such as steady revenue and earnings per share (EPS) growth, a healthy balance sheet, and a stock price that is considered undervalued, which justifies a buy rating. In the third quarter, the company reported a 29.9% increase in revenue and a 10.9% rise in non-GAAP EPS, thanks to more customers and price increases. Additionally, Cigna offers a good dividend yield and growth potential, with a low payout ratio and expected double-digit annual EPS growth that could lead to higher dividends in the future.

Johnson & Johnson has filed a lawsuit against parts of Cigna, claiming that the health insurance company collaborated with a drug-benefit intermediary to misuse J&J's financial aid funds meant for patients using some of its more expensive medications, according to a report by The Wall Street Journal on Friday.

A prominent healthcare analyst believes that the likelihood of this bill being approved is under 5%.

On Wednesday, shares of major healthcare companies dropped by almost 5% due to worries about possible changes to their complicated business models. This decline affected companies like UnitedHealth Group, Cigna, and CVS Health, which are among the largest private health insurers and pharmacy benefit managers in the country.

CI is in a good position for growth thanks to the strong performance of its Evernorth and Cigna Healthcare divisions. Its solid financial status allows it to make investments in the business.

A new grant program has been launched to assist 15 nonprofit organizations working to reduce health disparities in Hartford, CT, and Houston, TX. The Cigna Group Foundation, which is the charitable branch of The Cigna Group, revealed the first set of grant recipients today. These organizations are part of The Cigna Group Health Equity Impact Fund.

The Zacks Style Scores help investors quickly identify highly-rated stocks that match their investment preferences. Here are some reasons to make the most of this tool.

The healthcare company has put an end to the rumors about a merger.