Cigna Corporation (CI)

FairStock Score: 65/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Graham taught me to demand a margin of safety, and Buffett taught me to favor durable cash generation. Cigna is understandable: it sells health insurance and administers pharmacy benefits through Evernorth and Cigna Healthcare. The filed figures show real scale: fiscal 2025 revenue was $274.9B, net income $6.0B, and diluted EPS $22.18. In fiscal Q2 2026, revenue was $71.7B, net income $1.7B, and diluted EPS $6.29; against fiscal Q2 2025, revenue was $67.2B, net income $1.5B, and diluted EPS $5.71, so the latest quarter improved. Still, FairStock’s Lynch category labels it a SLOW GROWER — Shrinking, with profit falling 6.8% a year over five years while revenue grew 11.4%. That gap is the central question. The balance sheet is not a fortress. Debt-to-equity is 0.74, Altman Z-Score 1.28, and Piotroski F-Score 4/9, all FairStock calculations. Returns are mixed: ROE 16.76% but ROCE 4.46%. Cash generation is the standout: trailing free cash flow $9.1B and an FCF yield of 12.2%. At the close on 2026-10-13, price $282.53 gives a P/E of 11.69, P/B of 1.75, PEG of 1.40, EV/EBITDA of 7.84, and Graham Number $296.50 — a margin of safety of only 4.71%. FairStock Score is 66/100. I see a cheapish, cash-rich but uneven business. The price looks fair, not compelling, and the moat is not wide enough to excuse weak profit trends.

In plain English: Cigna sells health insurance and runs pharmacy benefit services. The business produces a lot of cash and revenue is growing, but profits have been uneven and it carries meaningful debt. Based on the numbers, the price looks about fair rather than clearly cheap or expensive.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer