Past performance does not predict future results. Informational only, not investment advice.
Cigna trades at ~9.2x forward P/E on 2026 guidance, appearing undervalued relative to fundamentals. A conservative DCF valuation suggests ~$390/share fair value against current ~$279/share, with substantial margin of safety despite regulatory risks already priced in.
Cigna trades at ~9.2x forward P/E with 2026 EPS guidance of $30.45, well below the author's conservative DCF valuation of ~$390/share. Despite acknowledged PBM regulation risks, the discount appears excessive given strong revenue growth (+7% YoY), operating income growth (+6% YoY), and substantial cash generation ($9.6B OCF, $6.5B buyback authorization).
End of results.