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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 7/10

vs
industry
vs
history
Cash to Debt 0.53
CI's Cash to Debt is ranked higher than
70% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 0.53 vs. CI: 0.53 )
CI' s 10-Year Cash to Debt Range
Min: 0.36   Max: 1.75
Current: 0.53

0.36
1.75
Equity to Asset 0.19
CI's Equity to Asset is ranked lower than
55% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 0.39 vs. CI: 0.19 )
CI' s 10-Year Equity to Asset Range
Min: 0.04   Max: 0.19
Current: 0.19

0.04
0.19
Interest Coverage 8.24
CI's Interest Coverage is ranked higher than
64% of the 25 Companies
in the Global Health Care Plans industry.

( Industry Median: 10.20 vs. CI: 8.24 )
CI' s 10-Year Interest Coverage Range
Min: 8.24   Max: 11.43
Current: 8.24

8.24
11.43
F-Score: 5
Z-Score: 1.35
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 7/10

vs
industry
vs
history
Operating margin (%) 6.72
CI's Operating margin (%) is ranked higher than
85% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 4.65 vs. CI: 6.72 )
CI' s 10-Year Operating margin (%) Range
Min: 1.32   Max: 13.07
Current: 6.72

1.32
13.07
Net-margin (%) 4.56
CI's Net-margin (%) is ranked higher than
91% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 2.89 vs. CI: 4.56 )
CI' s 10-Year Net-margin (%) Range
Min: -2.31   Max: 9.74
Current: 4.56

-2.31
9.74
ROE (%) 13.97
CI's ROE (%) is ranked higher than
88% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 10.83 vs. CI: 13.97 )
CI' s 10-Year ROE (%) Range
Min: -11.36   Max: 30.32
Current: 13.97

-11.36
30.32
ROA (%) 2.72
CI's ROA (%) is ranked higher than
61% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 3.84 vs. CI: 2.72 )
CI' s 10-Year ROA (%) Range
Min: -0.5   Max: 3.62
Current: 2.72

-0.5
3.62
ROC (Joel Greenblatt) (%) 148.63
CI's ROC (Joel Greenblatt) (%) is ranked higher than
75% of the 32 Companies
in the Global Health Care Plans industry.

( Industry Median: 134.04 vs. CI: 148.63 )
CI' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: 29.05   Max: 305.66
Current: 148.63

29.05
305.66
Revenue Growth (%) 13.70
CI's Revenue Growth (%) is ranked higher than
75% of the 28 Companies
in the Global Health Care Plans industry.

( Industry Median: 12.90 vs. CI: 13.70 )
CI' s 10-Year Revenue Growth (%) Range
Min: -5.5   Max: 19
Current: 13.7

-5.5
19
EBITDA Growth (%) 8.60
CI's EBITDA Growth (%) is ranked higher than
77% of the 26 Companies
in the Global Health Care Plans industry.

( Industry Median: 7.80 vs. CI: 8.60 )
CI' s 10-Year EBITDA Growth (%) Range
Min: 0   Max: 129.7
Current: 8.6

0
129.7
EPS Growth (%) 3.40
CI's EPS Growth (%) is ranked higher than
62% of the 24 Companies
in the Global Health Care Plans industry.

( Industry Median: 7.00 vs. CI: 3.40 )
CI' s 10-Year EPS Growth (%) Range
Min: -32   Max: 79.5
Current: 3.4

-32
79.5
» CI's 10-Y Financials

Financials


Revenue & Net Income
Equity & Asset
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

Q1 2013

CI Guru Trades in Q1 2013

Dodge & Cox 5,513,237 sh (+314.36%)
Steven Cohen 28,038 sh (+167.97%)
Jeremy Grantham 83,500 sh (+133.24%)
John Keeley 6,150 sh (+48.19%)
James Barrow 2,942,585 sh (+1.67%)
David Einhorn 8,186,000 sh (unchged)
Bill Frels 4,500 sh (unchged)
Ray Dalio Sold Out
Vanguard Health Care Fund 7,536,000 sh (-2.26%)
Larry Robbins 3,871,884 sh (-7.17%)
Paul Tudor Jones 10,000 sh (-12.28%)
David Dreman 56,831 sh (-17.29%)
Pioneer Investments 454,072 sh (-49.39%)
Lee Ainslie 1,407,478 sh (-62.17%)
Jim Simons 11,800 sh (-94.69%)
» More
Q2 2013

CI Guru Trades in Q2 2013

Ken Heebner 120,000 sh (New)
Ray Dalio 31,081 sh (New)
Richard Pzena 743,388 sh (New)
Jeremy Grantham 135,936 sh (+62.8%)
John Keeley 8,350 sh (+35.77%)
Bill Frels 4,875 sh (+8.33%)
Paul Tudor Jones 10,500 sh (+5%)
Pioneer Investments 455,905 sh (+0.4%)
David Dreman 56,862 sh (+0.05%)
Lee Ainslie Sold Out
Jim Simons Sold Out
Steven Cohen Sold Out
Dodge & Cox 5,509,737 sh (-0.06%)
Vanguard Health Care Fund 6,975,500 sh (-7.44%)
Larry Robbins 3,296,749 sh (-14.85%)
James Barrow 2,326,041 sh (-20.95%)
David Einhorn 4,974,174 sh (-39.24%)
» More
Q3 2013

CI Guru Trades in Q3 2013

Steven Cohen 101,909 sh (New)
Richard Pzena 3,278,145 sh (+340.97%)
Ray Dalio 55,781 sh (+79.47%)
James Barrow 2,632,627 sh (+13.18%)
Dodge & Cox 5,629,670 sh (+2.18%)
Bill Frels 4,890 sh (+0.31%)
John Keeley 8,150 sh (-2.4%)
Ken Heebner 115,000 sh (-4.17%)
David Einhorn 4,644,415 sh (-6.63%)
Vanguard Health Care Fund 6,267,800 sh (-10.15%)
Jeremy Grantham 115,252 sh (-15.22%)
Larry Robbins 2,779,610 sh (-15.69%)
Paul Tudor Jones 6,200 sh (-40.95%)
Pioneer Investments 77,400 sh (-83.02%)
David Dreman 1,429 sh (-97.49%)
» More
Q4 2013

CI Guru Trades in Q4 2013

Caxton Associates 100,000 sh (New)
Lee Ainslie 917,549 sh (New)
Jim Simons 147,100 sh (New)
David Dreman 2,883 sh (+101.75%)
Pioneer Investments 142,400 sh (+83.98%)
Paul Tudor Jones 10,692 sh (+72.45%)
Jeremy Grantham 154,352 sh (+33.93%)
Richard Pzena 4,145,441 sh (+26.46%)
James Barrow 2,638,491 sh (+0.22%)
Bill Frels 4,890 sh (unchged)
Ronald Muhlenkamp 60 sh (unchged)
John Keeley 8,150 sh (unchged)
Ray Dalio Sold Out
Ken Heebner Sold Out
Larry Robbins 2,694,510 sh (-3.06%)
Vanguard Health Care Fund 6,064,200 sh (-3.25%)
Dodge & Cox 5,297,220 sh (-5.91%)
David Einhorn 4,211,230 sh (-9.33%)
Steven Cohen 4,204 sh (-95.87%)
» More
» Details

Insider Trades

Latest Guru Trades with CI

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
Lee Ainslie 2013-12-31 New Buy1%$73.17 - $88.18 $ 75.64-8%917549
Ray Dalio 2013-12-31 Sold Out 0.04%$73.17 - $88.18 $ 75.64-8%0
David Dreman 2013-12-31 Add 101.75%0.01%$73.17 - $88.18 $ 75.64-8%2883
Vanguard Health Care Fund 2013-09-30 Reduce -10.15%0.19%$72.12 - $84.27 $ 75.64-3%6267800
David Dreman 2013-09-30 Reduce -97.49%0.13%$72.12 - $84.27 $ 75.64-3%1429
Ray Dalio 2013-09-30 Add 79.47%0.02%$72.12 - $84.27 $ 75.64-3%55781
Lee Ainslie 2013-06-30 Sold Out 1.1%$62.91 - $72.56 $ 75.6412%0
Vanguard Health Care Fund 2013-06-30 Reduce -7.44%0.14%$62.91 - $72.56 $ 75.6412%6975500
James Barrow 2013-06-30 Reduce -20.95%0.07%$62.91 - $72.56 $ 75.6412%2326041
Ray Dalio 2013-06-30 New Buy0.02%$62.91 - $72.56 $ 75.6412%31081
John Keeley 2013-06-30 Add 35.77%$62.91 - $72.56 $ 75.6412%8350
Lee Ainslie 2013-03-31 Reduce -62.17%1.8%$53.46 - $62.63 $ 75.6428%1407478
Dodge & Cox 2013-03-31 Add 314.36%0.32%$53.46 - $62.63 $ 75.6428%5513237
Ray Dalio 2013-03-31 Sold Out 0.01%$53.46 - $62.63 $ 75.6428%0
John Keeley 2013-03-31 Add 48.19%$53.46 - $62.63 $ 75.6428%6150
Premium More recent guru trades are included for Premium Members only!!
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Guru Investment Theses on Cigna Corp

David Einhorn Comments on Cigna - Oct 24, 2012

At the recent Value Investing Congress, David updated our view of Green Mountain Coffee Roasters (GMCR), elaborated on our General Motors (GM) and Cigna (CI) theses, and disclosed our short position in Chipotle Mexican Grill (CMG).

Regarding CI, we discussed that it trades at a discount to the HMOs, which as a group trade at low multiples. We then illustrated that CI is a higher-quality business that generates superior and more stable returns on equity than its peer group. With a substantial emphasis on Administrative Services Only business, CI deserves a higher multiple closer to the business process outsourcing companies (such as ADP) than to the HMOs. CI also has a significant and growing Medicare Advantage business and a fast growing international business. Finally, we noted that since the vast majority of its customers are large and mid-sized enterprises, CI has much less exposure to the known risks of Obamacare including health care exchanges. In fact, Obamacare may provide a growth opportunity for the company because it may finally afford CI the opportunity to compete meaningfully in the in the individual segment of the market.
From Greenlight Capital's third quarter letter.


Check out David Einhorn latest stock trades

David Einhorn on Cigna (CI) - Jul 24, 2012

CI is a managed care company with three primary divisions: Cigna HealthCare, Cigna Group Disability and Life, and Cigna International. Cigna HealthCare, which comprises about 70% of CI's profits, offers medium and large companies traditional risk-based insurance, in addition to administering plans for those that prefer to self-insure. Cigna HealthCare recently bought HealthSpring to enter the fast-growing Medicare Advantage market. Cigna Group Disability and Life is a low-growth, stable business. Cigna International, which provides insurance policies for individuals, as well as insurance and administrative services for multinational companies and governments, is growing at more than 20% per year. We believe that CI deserves a higher multiple because the plan administration business is a service business that doesn't take risk, and the other divisions do not warrant discounted values. Our purchase price of $45.42 per share valued CI at less than 8x estimated 2012 EPS and approximately 6x our forecast of post Obamacare 2014 EPS. CI shares closed the quarter at $44.00 each.
Check out David Einhorn latest stock trades

Top Ranked Articles about Cigna Corp

52-Week High Companies: Cigna, Seadrill, Harley-Davidson, Life Technologies and Vodafone Group
Weekly 52-week high companies: Cigna Corp (CI), Seadrill Ltd (SDRL), Harley-Davidson Inc. (HOG), Life Technologies Corp. (LIFE), and Vodafone Group PLC (VOD). Read more...

Ratios

vs
industry
vs
history
P/E(ttm) 14.80
CI's P/E(ttm) is ranked higher than
59% of the 29 Companies
in the Global Health Care Plans industry.

( Industry Median: 15.30 vs. CI: 14.80 )
CI' s 10-Year P/E(ttm) Range
Min: 3.24   Max: 21.62
Current: 14.8

3.24
21.62
P/B 2.00
CI's P/B is ranked lower than
67% of the 30 Companies
in the Global Health Care Plans industry.

( Industry Median: 1.80 vs. CI: 2.00 )
CI' s 10-Year P/B Range
Min: 0.52   Max: 3.96
Current: 2

0.52
3.96
P/S 0.70
CI's P/S is ranked lower than
76% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 0.42 vs. CI: 0.70 )
CI' s 10-Year P/S Range
Min: 0.13   Max: 1.05
Current: 0.7

0.13
1.05
PFCF 114.70
CI's PFCF is ranked lower than
83% of the 29 Companies
in the Global Health Care Plans industry.

( Industry Median: 14.23 vs. CI: 114.70 )
CI' s 10-Year PFCF Range
Min: 1.8   Max: 149.61
Current: 114.7

1.8
149.61
EV-to-EBIT 12.20
CI's EV-to-EBIT is ranked lower than
65% of the 31 Companies
in the Global Health Care Plans industry.

( Industry Median: 10.40 vs. CI: 12.20 )
CI' s 10-Year EV-to-EBIT Range
Min: 3.3   Max: 33.6
Current: 12.2

3.3
33.6
PEG 1.90
CI's PEG is ranked lower than
60% of the 20 Companies
in the Global Health Care Plans industry.

( Industry Median: 1.80 vs. CI: 1.90 )
CI' s 10-Year PEG Range
Min: 0.26   Max: 5.06
Current: 1.9

0.26
5.06
Shiller P/E 17.10
CI's Shiller P/E is ranked higher than
59% of the 22 Companies
in the Global Health Care Plans industry.

( Industry Median: 18.00 vs. CI: 17.10 )
CI' s 10-Year Shiller P/E Range
Min: 2.65   Max: 22.68
Current: 17.1

2.65
22.68

Dividend & Buy Back

vs
industry
vs
history
Dividend Yield 0.10
CI's Dividend Yield is ranked lower than
88% of the 16 Companies
in the Global Health Care Plans industry.

( Industry Median: 1.46 vs. CI: 0.10 )
CI' s 10-Year Dividend Yield Range
Min: 0.06   Max: 3.21
Current: 0.1

0.06
3.21
Dividend Payout 0.01
CI's Dividend Payout is ranked higher than
94% of the 16 Companies
in the Global Health Care Plans industry.

( Industry Median: 0.19 vs. CI: 0.01 )
CI' s 10-Year Dividend Payout Range
Min: 0.01   Max: 1.06
Current: 0.01

0.01
1.06
Yield on cost (5-Year) 0.10
CI's Yield on cost (5-Year) is ranked lower than
84% of the 19 Companies
in the Global Health Care Plans industry.

( Industry Median: 2.18 vs. CI: 0.10 )
CI' s 10-Year Yield on cost (5-Year) Range
Min: 0.06   Max: 3.21
Current: 0.1

0.06
3.21
Share Buyback Rate -1.40
CI's Share Buyback Rate is ranked higher than
67% of the 27 Companies
in the Global Health Care Plans industry.

( Industry Median: -0.50 vs. CI: -1.40 )
CI' s 10-Year Share Buyback Rate Range
Min: 11.9   Max: -1.7
Current: -1.4

Valuation & Return

vs
industry
vs
history
Price/Tangible Book 9.80
CI's Price/Tangible Book is ranked lower than
70% of the 20 Companies
in the Global Health Care Plans industry.

( Industry Median: 2.90 vs. CI: 9.80 )
CI' s 10-Year Price/Tangible Book Range
Min: 0.99   Max: 11.32
Current: 9.8

0.99
11.32
Price/DCF (Projected) 1.10
CI's Price/DCF (Projected) is ranked higher than
54% of the 24 Companies
in the Global Health Care Plans industry.

( Industry Median: 0.80 vs. CI: 1.10 )
CI' s 10-Year Price/DCF (Projected) Range
Min: 0.28   Max: 1.38
Current: 1.1

0.28
1.38
Price/Median PS Value 1.20
CI's Price/Median PS Value is ranked lower than
61% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 1.00 vs. CI: 1.20 )
CI' s 10-Year Price/Median PS Value Range
Min: 0.44   Max: 1.96
Current: 1.2

0.44
1.96
Price/Peter Lynch Fair Value 0.70
CI's Price/Peter Lynch Fair Value is ranked higher than
88% of the 17 Companies
in the Global Health Care Plans industry.

( Industry Median: 0.90 vs. CI: 0.70 )
CI' s 10-Year Price/Peter Lynch Fair Value Range
Min: 0.35   Max: 2.8
Current: 0.7

0.35
2.8
Price/Graham Number 2.50
CI's Price/Graham Number is ranked lower than
61% of the 18 Companies
in the Global Health Care Plans industry.

( Industry Median: 1.80 vs. CI: 2.50 )
CI' s 10-Year Price/Graham Number Range
Min: 0.6   Max: 2.86
Current: 2.5

0.6
2.86
Earnings Yield (Greenblatt) 8.20
CI's Earnings Yield (Greenblatt) is ranked lower than
55% of the 33 Companies
in the Global Health Care Plans industry.

( Industry Median: 9.40 vs. CI: 8.20 )
CI' s 10-Year Earnings Yield (Greenblatt) Range
Min: 3   Max: 29.9
Current: 8.2

3
29.9
Forward Rate of Return (Yacktman) 23.14
CI's Forward Rate of Return (Yacktman) is ranked higher than
92% of the 24 Companies
in the Global Health Care Plans industry.

( Industry Median: 17.82 vs. CI: 23.14 )
CI' s 10-Year Forward Rate of Return (Yacktman) Range
Min: -3.1   Max: 58.3
Current: 23.14

-3.1
58.3

Business Description

Industry: Health Care Plans » Health Care Plans
Compare:UNH, ESRX, WLP, HUM, AET » details
Traded in other countries:CGN.Germany
Cigna Corp was incorporated in the State of Delaware in 1981. It is a health services organization with insurance subsidiaries that are providers of medical, dental, disability, life and accident insurance and related products and services. In the U.S., the majority of these products and services are offered through employers and other groups and, in selected international markets. It offers supplemental health, life and accident insurance products and international health care coverage and services to businesses, governmental and non-governmental organizations and individuals. The Company's segments are Global Health Care, Group Disability and Life, Global Supplemental Benefits, Run-off Reinsurance and Other Operations including Corporate-owned Life Insurance. The Global Health Care aggregates two operating segments namely Commercial that includes the international health care business and Government. The Company's Global Health Care segment offers insured and self-funded medical, dental, behavioral health, vision, and prescription drug benefit plans, health advocacy programs and other products and services that might be integrated to provide individuals with complete health care benefit programs. The Company's Group Disability and Life segment provides the insurance products and their related services such as group life insurance, long-term and short-term disability insurance, workers' compensation and disability case management, and accident and specialty insurance. The Global Supplemental Benefits segment is comprised of the international supplemental health, life and accident businesses as well as the Medicare supplement business acquired in 2012. This segment offers supplemental health, life and accident insurance products in the U.S. and selected international markets. With local licenses and partnerships in approximately 20 countries and jurisdictions, it is able to offer products and services to local citizens and in other international markets. These products and services are provided by subsidiaries of the Company, including foreign operating entities. Until 2000, The Company offered reinsurance coverage for part or all of the risks written by other insurance companies under life and annuity policies (both group and individual) and accident policies. The products and services related to these operations were offered by subsidiaries of Cigna Corporation. In 2000, the Company sold its U.S. individual life, group life and accidental death reinsurance businesses As of December 31, 2012, the Company's remaining exposures resulted primarily from its annuity reinsurance business, including its reinsurance of GMDB and GMIB contracts. Other Operations of the Company consists of: non-leveraged and leveraged corporate-owned life insurance; deferred gains recognized from the 1998 sale of the individual life insurance and annuity business and the 2004 sale of the retirement benefits business and run-off settlement annuity business.

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