Why Cigna (CI) is a Top Value Stock for the Long-Term
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors alike.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Why Investors Should Pay Attention to This Value Stock
Different than growth or momentum investors, value-focused investors are all about finding good stocks at good prices, and discovering which companies are trading under what their true value is before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to help pick out the most attractive and discounted stocks.
Cigna (CI)
Headquartered in Bloomfield, CT and formed in 1982, Cigna Corporation has rebranded itself as The Cigna Group. The company was formed as a result of a merger between Connecticut General Life Insurance Company and Insurance Company of North America. Cigna completed its combination with Express Scripts Holding Company by 2018-end. Shares of the new combined company trade on the NYSE under the stock ticker symbol “CI.”
CI boasts a Value Style Score of A and VGM Score of B, and holds a Zacks Rank #2 (Buy) rating. Shares of Cigna are trading at a forward earnings multiple of 12.6X, as well as a PEG Ratio of 1.1, a Price/Cash Flow ratio of 10X, and a Price/Sales ratio of 0.5X.
A company's earnings performance is important for value investors as well. For fiscal 2024, 11 analysts revised their earnings estimate higher in the last 60 days for CI, while the Zacks Consensus Estimate has increased $0.10 to $28.35 per share. CI also holds an average earnings surprise of 2.9%.
CI should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Cigna Group (CI) : Free Stock Analysis Report
