Cigna Group (NYSE:CI) Stock Price Down 9.2% - Here's What Happened

Key Points

• Cigna Group's shares fell 9.2% on Thursday, trading as low as $270.50 from a previous close of $297.86, amidst a significant increase in trading volume.
• Several analysts have revised their price targets for Cigna Group, with Piper Sandler increasing it to $374.00 and Truist Financial raising it to $405.00, while the consensus average price target is set at $380.39.
• Cigna Group recently reported quarterly earnings of $7.20 EPS, exceeding estimates, along with a revenue of $67.13 billion, marking an 11% year-over-year increase.

Shares of Cigna Group (NYSE:CI - Get Free Report) traded down 9.2% during mid-day trading on Thursday . The stock traded as low as $275.20 and last traded at $270.50. 2,593,776 shares were traded during mid-day trading, an increase of 43% from the average session volume of 1,813,072 shares. The stock had previously closed at $297.86.

Analysts Set New Price Targets

CI has been the subject of a number of analyst reports. Royal Bank Of Canada reiterated an "outperform" rating and set a $371.00 target price on shares of Cigna Group in a research note on Thursday, June 26th. TD Cowen raised shares of Cigna Group to a "strong-buy" rating in a report on Monday, June 23rd. Piper Sandler increased their price target on shares of Cigna Group from $348.00 to $374.00 and gave the stock an "overweight" rating in a report on Monday, May 5th. Truist Financial increased their price target on shares of Cigna Group from $385.00 to $405.00 and gave the stock a "buy" rating in a report on Monday, May 12th. Finally, Robert W. Baird lowered their target price on shares of Cigna Group from $388.00 to $362.00 and set an "outperform" rating on the stock in a research report on Tuesday, April 15th. Three equities research analysts have rated the stock with a hold rating, sixteen have given a buy rating and two have assigned a strong buy rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $378.67.

Cigna Group Stock Down 1.9%

The firm's 50-day moving average price is $308.90 and its 200-day moving average price is $311.92. The company has a market cap of $70.06 billion, a price-to-earnings ratio of 14.32, a price-to-earnings-growth ratio of 0.81 and a beta of 0.47. The company has a debt-to-equity ratio of 0.65, a current ratio of 0.71 and a quick ratio of 0.72.

Cigna Group (NYSE:CI - Get Free Report) last posted its quarterly earnings results on Thursday, July 31st. The health services provider reported $7.20 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $7.15 by $0.05. The company had revenue of $67.13 billion for the quarter, compared to the consensus estimate of $62.61 billion. Cigna Group had a net margin of 1.92% and a return on equity of 18.80%. The company's revenue for the quarter was up 11.0% on a year-over-year basis. During the same period last year, the firm posted $6.72 EPS. Sell-side analysts forecast that Cigna Group will post 29.77 earnings per share for the current fiscal year.

Cigna Group Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 18th. Shareholders of record on Thursday, September 4th will be paid a $1.51 dividend. The ex-dividend date is Thursday, September 4th. This represents a $6.04 dividend on an annualized basis and a yield of 2.3%. Cigna Group's payout ratio is 33.44%.

Hedge Funds Weigh In On Cigna Group

A number of institutional investors have recently modified their holdings of the company. Austin Private Wealth LLC bought a new position in shares of Cigna Group in the second quarter valued at approximately $352,000. James Investment Research Inc. increased its position in Cigna Group by 47.9% during the second quarter. James Investment Research Inc. now owns 8,880 shares of the health services provider's stock worth $2,936,000 after acquiring an additional 2,876 shares during the period. Howard Capital Management Inc. increased its position in Cigna Group by 4.8% during the second quarter. Howard Capital Management Inc. now owns 1,826 shares of the health services provider's stock worth $604,000 after acquiring an additional 84 shares during the period. Purkiss Capital Advisors LLC bought a new position in Cigna Group during the second quarter worth $412,000. Finally, Fjarde AP Fonden Fourth Swedish National Pension Fund increased its position in Cigna Group by 20.2% during the second quarter. Fjarde AP Fonden Fourth Swedish National Pension Fund now owns 57,104 shares of the health services provider's stock worth $18,877,000 after acquiring an additional 9,600 shares during the period. Institutional investors own 86.99% of the company's stock.

About Cigna Group

The Cigna Group, together with its subsidiaries, provides insurance and related products and services in the United States. Its Evernorth Health Services segment provides a range of coordinated and point solution health services, including pharmacy benefits, home delivery pharmacy, specialty pharmacy, distribution, and care delivery and management solutions to health plans, employers, government organizations, and health care providers.