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NYSE:CI stands out as a stock that provides good value for the fundamentals it showcases.

By Mill Chart

Last update: May 3, 2024

Discover THE CIGNA GROUP (NYSE:CI)—an undervalued stock our stock screener has picked out. NYSE:CI demonstrates solid fundamentals, including health and profitability, all while staying attractively priced. Let's explore the details.

Valuation Analysis for NYSE:CI

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NYSE:CI boasts a 8 out of 10:

  • 90.52% of the companies in the same industry are more expensive than CI, based on the Price/Earnings ratio.
  • CI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.06.
  • CI is valuated reasonably with a Price/Forward Earnings ratio of 11.76.
  • CI's Price/Forward Earnings ratio is rather cheap when compared to the industry. CI is cheaper than 90.52% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 20.72, CI is valued a bit cheaper.
  • 78.45% of the companies in the same industry are more expensive than CI, based on the Enterprise Value to EBITDA ratio.
  • Based on the Price/Free Cash Flow ratio, CI is valued cheaper than 87.93% of the companies in the same industry.
  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • CI has a very decent profitability rating, which may justify a higher PE ratio.
  • A more expensive valuation may be justified as CI's earnings are expected to grow with 13.57% in the coming years.

Evaluating Profitability: NYSE:CI

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:CI was assigned a score of 6 for profitability:

  • CI has a better Return On Assets (3.38%) than 73.28% of its industry peers.
  • CI's Return On Equity of 11.17% is fine compared to the rest of the industry. CI outperforms 77.59% of its industry peers.
  • The Return On Invested Capital of CI (7.65%) is better than 78.45% of its industry peers.
  • The 3 year average ROIC (7.18%) for CI is below the current ROIC(7.65%), indicating increased profibility in the last year.
  • CI's Profit Margin of 2.64% is fine compared to the rest of the industry. CI outperforms 70.69% of its industry peers.
  • Looking at the Operating Margin, with a value of 4.63%, CI is in the better half of the industry, outperforming 64.66% of the companies in the same industry.

Unpacking NYSE:CI's Health Rating

ChartMill employs its own Health Rating for stock assessment. This rating, ranging from 0 to 10, is calculated by examining various liquidity and solvency ratios. In the case of NYSE:CI, the assigned 5 reflects its health status:

  • The Altman-Z score of CI (2.33) is better than 63.79% of its industry peers.
  • The Debt to FCF ratio of CI is 3.02, which is a good value as it means it would take CI, 3.02 years of fcf income to pay off all of its debts.
  • CI's Debt to FCF ratio of 3.02 is amongst the best of the industry. CI outperforms 81.90% of its industry peers.

What does the Growth looks like for NYSE:CI

ChartMill employs its own Growth Rating system for all stocks. This score, ranging from 0 to 10, is derived by evaluating different growth factors, such as EPS and revenue growth, taking into account both past performance and future projections. NYSE:CI has earned a 7 for growth:

  • The Earnings Per Share has grown by an nice 8.05% over the past year.
  • Measured over the past years, CI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.91% on average per year.
  • Looking at the last year, CI shows a quite strong growth in Revenue. The Revenue has grown by 8.42% in the last year.
  • Measured over the past years, CI shows a very strong growth in Revenue. The Revenue has been growing by 32.15% on average per year.
  • The Earnings Per Share is expected to grow by 11.43% on average over the next years. This is quite good.
  • CI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.51% yearly.

Every day, new Decent Value stocks can be found on ChartMill in our Decent Value screener.

Our latest full fundamental report of CI contains the most current fundamental analsysis.

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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THE CIGNA GROUP

NYSE:CI (5/17/2024, 7:04:00 PM)

After market: 338.68 -0.03 (-0.01%)

338.71

-0.55 (-0.16%)

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THE CIGNA GROUP (NYSE:CI) appears to be flying under the radar despite its strong fundamentals.

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Don't overlook THE CIGNA GROUP (NYSE:CI)—a stock with solid growth prospects and a reasonable valuation.

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