The Cigna Group (NYSE: $CI) is a global health services company addressing diverse challenges within the healthcare system. Its comprehensive portfolio encompasses solutions across pharmacy, medical, behavioral, dental, and supplemental products and services.
These offerings are primarily delivered through two platforms: Evernorth Health Services and Cigna Healthcare. Evernorth Health Services incorporates a variety of coordinated and point solution health services, along with capabilities from partners throughout the healthcare system.
This includes services in pharmacy benefits, home delivery pharmacy, specialty pharmacy, distribution, and care delivery and management solutions, catering to health plans, employers, government organizations, and healthcare providers. Additionally, Evernorth Health Services features the MDLIVE virtual care platform.
On the other hand, Cigna Healthcare comprises the United States Commercial, United States Government, and International Health operating segments, delivering medical and coordinated solutions to clients and customers.
The Cigna Group Stock Price Today
As of today, the stock price for The Cigna Group (NYSE: $CI) is $262.33, representing a decrease of -0.54 or -0.2054% from the previous closing value of $262.87. The stock opened at $264.47 and experienced a high of $290.78, with a low of $259.44 throughout the day. CL stock’s average volume is 1,319,20, and it holds a market cap of $84.231 billion.
Over the past 52 weeks, the stock has ranged from a high of $340.11 to a low of $240.50. The earnings per share (EPS) stands at $17.73, and the price-to-earnings (PE) ratio is 16.242. Additionally, the dividend yield is 1.71%, with an ex-dividend date set for December 05, 2023.
The Cigna Group (NYSE:CI) Looks Like A Good Stock, And It’s Going Ex-Dividend Soon
The Cigna Group (NYSE: CI) is nearing its ex-dividend date in the next four days. The ex-dividend date precedes the record date, which is the day shareholders must be on the company’s books to qualify for the dividend.
Understanding the ex-dividend date is crucial because any stock trade must be settled on or before the record date. Investors purchasing Cigna Group’s shares on or after December 5th will not be eligible for the dividend, which is scheduled to be paid on December 21st.
The upcoming dividend payment from the company will be US$1.23 per share. In the past 12 months, Cigna Group has paid a total of US$4.92 per share. Based on the current share price of $262.87, last year’s total dividend payments translate to a trailing yield of 1.9%.
For those considering this investment for its dividend, it’s essential to evaluate the reliability and sustainability of Cigna Group’s dividend. Investors should check whether the company has a history of growing its dividends or if there’s a possibility of a dividend cut.
Typically, dividends are paid out of company income, making it crucial to assess if a company pays out more than it earns, which increases the risk of a dividend cut. Cigna Group’s payout ratio, however, is modest, standing at just 27% of profit. While profit is a factor, evaluating cash flow is essential for determining dividend sustainability.
Fortunately, Cigna Group paid out only 13% of its free cash flow last year, indicating a solid foundation for sustaining the dividend. The fact that both profit and cash flow cover the dividend suggests its sustainability, provided earnings remain relatively stable.
Cigna and Humana Shares Tumble After Report of Possible Merger
Cigna Group (CI) and Humana Inc. (HUM) experienced a significant decline in their stock prices during intraday trading on Wednesday following reports of a potential merger between the two major health insurance companies.
According to The Wall Street Journal’s midday report on Wednesday, the companies were in discussions about a stock-and-cash deal that would unite them, creating a formidable health insurance entity.
Notably, previous mergers in the healthcare industry have faced challenges from antitrust regulations. Humana, in particular, has firsthand experience with such hurdles, as its acquisition by Aetna in 2015 was halted by the U.S. government in 2017, citing concerns about competition.
The news of the potential merger had a notable impact on the stock prices, with Cigna shares dropping by over 8%, and Humana shares experiencing a nearly 5.5% decline on Wednesday.
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