Cigna raises 2026 outlook for adj income from operations to at least $30.45 per share
Company expects Evernorth 2026 adj income from operations, pre-tax, at least $6,900 mln
Cigna Healthcare 2026 medical care ratio projected at 83.7% to 84.7%
Overview
US health insurer's Q2 adjusted revenue beat analyst expectations, rising 7% yr/yr
Adjusted income from operations rose 6% yr/yr, driven by Cigna Healthcare growth
Company raised 2026 outlook for adjusted income from operations per share
Result drivers
Healthcare segment growth - Cigna said Q2 adjusted income from operations rose due to higher contributions from Cigna Healthcare, including improved margin in U.S. Employer business
Premium rate increases - Co said higher Cigna Healthcare revenue was primarily due to premium rate increases to cover expected medical cost increases
Specialty volume growth - Co said Specialty and Care Services revenue and profit rose on strong specialty volume growth and higher generic and biosimilar adoption
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 21 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the managed healthcare peer group is "buy"
Wall Street's median 12-month price target for Cigna Group is $340.00, about 14.7% above its July 29 closing price of $296.47
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago
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