BLOOMFIELD, Conn., Dec. 10, 2025 /PRNewswire/ -- The Cigna Group Foundation, the philanthropic arm of The Cigna Group (NYSE: CI), today announced the 2025 grant recipients for its veteran mental health initiative. As part of a three-year, $9 million commitment, this latest round of funding will support 24 local nonprofit organizations in helping veterans feel stable where they live, physically, emotionally and financially. Continue Reading Employees of The Cigna Group in St. Louis, MO, volunteered with Vete ...

Core Points - The Cigna Group announced that Ann Dennison, EVP and CFO, and Adam Kautzner, President of Express Scripts and Evernorth Care Management, will present at the UBS Global Healthcare Conference on November 12, 2025 [1] - The presentation is scheduled to begin at approximately 11:00 a.m. ET, and a live webcast will be available on The Cigna Group's Investor Relations website [2] - The Cigna Group is a global health company with a commitment to improving health outcomes and has approximately 180 million customer relationships worldwide [3] Company Overview - The Cigna Group operates under various brands, including Evernorth Health Services and Cigna Healthcare, and maintains sales capabilities in over 30 markets [3] - The company focuses on innovation and partnerships to enhance health solutions for individuals and communities [3]

Core Insights - Cigna Group reported Q3 2025 adjusted EPS of $7.83, exceeding estimates by 1.7% and showing a 4% year-over-year increase [1][9] - Adjusted revenues reached $69.6 billion, a 9% year-over-year rise, surpassing consensus estimates by 3.6% [1][9] Financial Performance - The Evernorth Health Services segment contributed significantly with revenues of $60.4 billion, up 15% year-over-year, driven by new business and client expansion [2][5] - Cigna's medical customer base decreased to 18.1 million, a 5.2% decline year-over-year, attributed to divestitures to HCSC [3][9] - Total benefits and expenses rose 10% year-over-year to $67.2 billion, influenced by higher pharmacy and service costs [4] - Adjusted income from operations was $2.1 billion, down 1% year-over-year due to lower contributions from Cigna Healthcare [4] Segment Analysis - Evernorth Health Services saw adjusted operating income increase by 1% year-over-year to $1.9 billion, aided by organic growth in specialty businesses [6] - Cigna Healthcare's revenues fell 18% year-over-year to $10.9 billion, missing estimates due to the impact of the HCSC transaction [6][9] - The medical care ratio (MCR) deteriorated to 84.8%, a 200 basis point decline year-over-year, due to increased medical costs [7] Financial Position - As of September 30, 2025, Cigna had cash and cash equivalents of $6 billion, a 20.2% decrease from the end of 2024 [8] - Total assets increased to $157.9 billion from $155.9 billion at the end of 2024 [8] - Long-term debt rose to $30.9 billion, a 6.9% increase from December 31, 2024 [10] Capital Deployment - Cigna repurchased shares worth approximately $2.6 billion in the first nine months of 2025 [11] 2025 Outlook - Adjusted EPS is projected to be at least $29.60, indicating a growth of at least 8.3% from 2024 [12] - MCR is expected to remain in the range of 83.2-84.2% [12] - Adjusted operating income for Evernorth Health Services is anticipated to be a minimum of $7.2 billion [12]

Core Viewpoint - The Cigna Group (NYSE:CI) is considered a cheap stock by analysts, with Wolfe Research lowering its price target from $345 to $325 while maintaining an Outperform rating, indicating potential for investment growth [1][2]. Group 1: Price Target and Valuation - Wolfe Research has revised its price target for The Cigna Group from $345 to $325, reflecting a slight moderation in its forecasts [1]. - The stock is currently valued at approximately 9 times its revised 2026 EPS forecast, suggesting it is undervalued [1]. Group 2: Business Performance and Outlook - The Cigna Group is expected to benefit from margin recovery efforts in its Stop Loss business, indicating a positive outlook for this segment [2]. - The Evernorth division is anticipated to continue delivering solid performance, contributing to the overall strength of The Cigna Group [2]. - The company is viewed as defensively positioned amid current uncertainties in government regulations within the healthcare industry [2]. Group 3: Company Overview - The Cigna Group is a multinational managed healthcare and insurance company, offering products and services under Cigna Healthcare, Evernorth Health Services, and other subsidiaries [3].

Core Insights - The Cigna Group Foundation released its Improving Youth Mental Health 2025 Impact Report, showcasing the impact of its youth mental health initiatives across 10 states with over $3 million in grants to 23 nonprofit organizations [1] - The Foundation's efforts have reached over 34,000 youth, families, and professionals in underserved communities, emphasizing its commitment to improving mental health access and outcomes [1][4] - The Foundation's broader investment of $27 million over three years aims to enhance community-based care focusing on early intervention and culturally responsive programming [4] Grant Program Achievements - Grantees reported achievement rates as high as 94% for specific youth mental health programming goals, indicating measurable improvements in access to care, emotional resilience, social connectedness, and school success [3] - The program supported various activities, including 8,576 youth mental health education sessions, 4,392 behavioral health therapy sessions, and 6,759 social-emotional learning activities [8] Community Engagement - Employees from The Cigna Group participated in volunteer activities, such as creating mental wellness packs for children at the Boys & Girls Clubs of Greater St. Louis [2][5] - The Boys and Girls Clubs of America implemented trauma-informed practices in over 81% of clubs and developed a teen mental health guide, distributing nearly 1,000 youth mental health packs [5] Future Initiatives - The Cigna Group Foundation plans to open a new application period for organizations supporting youth mental health in early 2026 [6]

Financial Results Announcement - The Cigna Group will release its third quarter 2025 financial results on October 30, 2025, by 6:30 a.m. ET [1] - A conference call to discuss these results will take place at 8:30 a.m. ET on the same day [1][2] - Participants are encouraged to join the call by 8:15 a.m. ET, and a replay will be available from 12:30 p.m. ET on October 30 until 10:59 p.m. ET on November 13, 2025 [2] Company Overview - The Cigna Group is a global health company focused on improving health outcomes and community vitality [4] - The company operates under various brands, including Cigna Healthcare and Evernorth Health Services, and has a presence in over 30 markets with approximately 180 million customer relationships worldwide [4]

Industry Overview - The U.S. health insurance industry, known as Health Maintenance Organization (HMO), is expected to benefit from an expanding suite of commercial plans that offer higher margins and reduced regulatory risk [1] - Companies in this sector primarily manage subscribers' basic and supplemental health services, assuming risks and assigning premiums to health and medical insurance policies [2] Trends Impacting the Industry - Rising medical costs are a significant concern, driven by deferred care, increased utilization, chronic conditions, and expensive specialty drugs, which have pressured profit margins and led to earnings guidance cuts from major insurers [3][4] - Regulatory challenges are increasing, with proposals to cut federal Medicaid funding and reduce ACA subsidies, prompting insurers to focus on boosting their commercial plans portfolio [4] - A nationwide shortage of healthcare professionals, particularly nurses, is impacting hospitals' operational efficiency and the quality of care provided, which can affect customer retention for HMOs [5] Strategic Initiatives - HMOs are increasingly pursuing mergers and acquisitions (M&A) to enhance capabilities, enter new markets, and strengthen their competitive position, especially with favorable financing conditions expected from interest rate cuts in 2025 [6] Market Performance - The Zacks Medical-HMO industry has underperformed, declining 36.8% over the past year compared to the S&P 500's growth of 17.7% [11] - The industry's current valuation, based on the forward 12-month price-to-earnings (P/E) ratio, stands at 21.5X, which is lower than the S&P 500's 23.36X [15] Company Highlights - Cigna Group is well-positioned for growth, driven by its Evernorth and Cigna Healthcare platforms, with a consensus estimate for 2025 earnings at $29.69 per share, reflecting an 8.6% increase from the previous year [18][19] - Humana Inc. has shown steady growth, supported by rising premiums and an expanding membership base, with a 2025 earnings estimate of $16.99 per share, indicating a 4.8% rise from 2024 [23][24]

Summary of The Cigna Group Conference Call Company Overview - The Cigna Group participated in the Morgan Stanley Healthcare Conference, represented by CEO Brian Evanko and EVP/CFO Ann Dennison [2][3] Key Industry Insights - The healthcare industry is currently experiencing disruption, but The Cigna Group continues to perform well, reaffirming its full-year EPS outlook [3][5] - The specialty drug market is identified as a significant growth area, with an addressable market exceeding $400 billion, expected to grow at high single-digit rates annually [4][5][12] Core Business Segments - The company operates three strong growth platforms: health benefits (Cigna Healthcare), Evernorth (service company), and pharmacy benefits services (Express Scripts) [4] - Cigna has a strong position in the prescription drug market, particularly with its Accredo specialty pharmacy, which captures about 60% of the drug-oriented specialty market [5][12] Recent Strategic Moves - Cigna announced a $3.5 billion investment in Shields Health Solutions, enhancing its capabilities in the medical benefit component of the specialty drug market [4][10] - Shields Health Solutions serves approximately 80 health systems, helping them optimize their specialty pharmacies [9][10] Financial Performance - Cigna reported a compounded EPS growth of 13% over the past decade and anticipates continued strong performance into 2025 [3][5] - The investment in Shields is expected to be financially attractive, contributing to long-term EPS growth [10][48] Specialty Pharmacy and Biosimilars - Cigna's specialty pharmacy business, Accredo, serves over 1 million patients and filled about 8 million prescriptions last year [13] - The company sees significant opportunities in biosimilars and generic specialty drugs, projecting a $100 billion market by 2030 [17][18] Market Trends and Challenges - The company is observing higher utilization trends, particularly in specialty injectables and behavioral health, which are contributing to cost pressures [38] - Cigna is managing pricing conservatively, expecting to price 2026 at a higher level than 2025 [43] Regulatory Environment - Cigna is actively engaging with lawmakers regarding PBM reforms and believes its model can adapt to regulatory changes while maintaining value for clients [32][33] Technological Advancements - The Cigna Group is investing in AI to improve operational efficiency, enhance customer experience, and explore new business models [51][52] Conclusion - The Cigna Group remains optimistic about its growth prospects, driven by strategic investments, a strong position in the specialty drug market, and ongoing innovations in healthcare delivery and technology [3][4][51]

Core Viewpoint - The Cigna Group is actively participating in the Morgan Stanley 23rd Annual Global Healthcare Conference, showcasing its commitment to the healthcare sector and its ongoing growth strategy [1][2]. Group 1: Company Presentation - Brian Evanko, President and COO, and Ann Dennison, EVP and CFO, will present at the conference on September 10, 2025, starting at approximately 8:30 a.m. ET [1][2]. - A live webcast of the presentation will be available on The Cigna Group's Investor Relations website, allowing stakeholders to listen in [2]. Group 2: Company Overview - The Cigna Group is a global health company focused on improving health outcomes through innovative solutions and partnerships [3]. - The company operates in over 30 markets and jurisdictions, maintaining approximately 180 million customer relationships worldwide [3].

Core Insights - The Cigna Group is expected to report second-quarter 2025 results on July 31, 2025, with earnings estimated at $7.14 per share and revenues of $62.69 billion, reflecting a year-over-year increase of 6.3% in earnings and 3.7% in revenues [1][2][7] Financial Performance Estimates - The full-year 2025 revenue estimate for Cigna is $258.19 billion, indicating a 4.5% year-over-year growth, while the EPS consensus for 2025 is $29.68, signaling an 8.6% increase year-over-year [3] - Cigna has beaten earnings estimates in three of the last four quarters, with an average surprise of negative 0.3% [3] Earnings Prediction Model - The current model does not predict an earnings beat for Cigna, with an Earnings ESP of -0.54% and a Zacks Rank of 3 (Hold) [4] Revenue Breakdown - Evernorth revenues are projected to grow by 9.9%, while Cigna Healthcare revenues are expected to decline by 18.3% [7] - Pharmacy revenues are estimated to improve by 9%, and fees and other revenues are expected to grow by 11% year-over-year [8] - The overall Evernorth Health Services segment is projected to generate $54.4 billion in revenues, reflecting a 9.9% growth from the prior year [8] Customer and Investment Income Trends - The total medical customers for Cigna are estimated at 17.9 million, down from 19 million a year ago [10] - The consensus estimate for net investment income suggests a significant decline of 31.5% year-over-year [10] Margin and Cost Pressures - The medical care ratio is expected to rise to 83.15%, indicating margin pressure due to elevated medical costs and other expenses [11]