>
Switch to:

Cigna PE Ratio

: 9.00 (As of Today)
View and export this data going back to 1982. Start your Free Trial

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). As of today (2021-09-24), Cigna's share price is $203.73. Cigna's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2021 was $22.63. Therefore, Cigna's PE Ratio for today is 9.00.

Good Sign:

Cigna Corp stock PE Ratio (=8.96) is close to 10-year low of 8.09


The historical rank and industry rank for Cigna's PE Ratio or its related term are showing as below:

NYSE:CI' s PE Ratio Range Over the Past 10 Years
Min: 7.55   Med: 14.85   Max: 25.82
Current: 8.99

7.55
25.82

During the past 13 years, the highest PE Ratio of Cigna was 25.82. The lowest was 7.55. And the median was 14.85.


NYSE:CI's PE Ratio is ranked higher than
80% of the 15 Companies
in the Healthcare Plans industry.

( Industry Median: 20.42 vs. NYSE:CI: 8.99 )

Cigna's Earnings per Share (Diluted) for the three months ended in Jun. 2021 was $4.25. Its Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2021 was $22.63.

As of today (2021-09-24), Cigna's share price is $203.73. Cigna's EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2021 was $22.63. Therefore, Cigna's PE Ratio without NRI for today is 9.00.

During the past 13 years, Cigna's highest PE Ratio without NRI was 25.82. The lowest was 7.55. And the median was 14.85.

Cigna's EPS without NRI for the three months ended in Jun. 2021 was $4.25. Its EPS without NRI for the trailing twelve months (TTM) ended in Jun. 2021 was $22.63.

During the past 12 months, Cigna's average EPS without NRI Growth Rate was 61.00% per year. During the past 3 years, the average EPS without NRI Growth Rate was 37.80% per year. During the past 5 years, the average EPS without NRI Growth Rate was 23.20% per year. During the past 10 years, the average EPS without NRI Growth Rate was 14.80% per year.

During the past 13 years, Cigna's highest 3-Year average EPS without NRI Growth Rate was 295.30% per year. The lowest was -76.00% per year. And the median was 6.60% per year.

Cigna's EPS (Basic) for the three months ended in Jun. 2021 was $4.30. Its EPS (Basic) for the trailing twelve months (TTM) ended in Jun. 2021 was $22.84.


Cigna PE Ratio Historical Data

The historical data trend for Cigna's PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Cigna Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
PE Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 18.55 23.16 18.02 15.22 9.07

Cigna Quarterly Data
Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21
PE Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 13.35 11.87 9.07 10.46 10.48

Competitive Comparison

For the Healthcare Plans industry, Cigna's PE Ratio, along with its competitors' market caps and PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Cigna PE Ratio Distribution

For the Healthcare Plans industry and Healthcare sector, Cigna's PE Ratio distribution charts can be found below:

* The bar in red indicates where Cigna's PE Ratio falls into.



Cigna PE Ratio Calculation

The PE Ratio, or Price-to-Earnings ratio, or P/E Ratio, is a financial ratio used to compare a company's market price to its Earnings per Share (Diluted). It is the most widely used ratio in the valuation of stocks.

Cigna's PE Ratio for today is calculated as

PE Ratio=Share Price/Earnings per Share (Diluted) (TTM)
=203.73/22.63
=9.00

Cigna's Share Price of today is $203.73.
Cigna's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2021 adds up the quarterly data reported by the company within the most recent 12 months, which was $22.63.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:


There are at least three kinds of PE Ratios used by different investors. They are Trailing Twelve Month PE Ratio or PE Ratio (TTM), Forward PE Ratio, or PE Ratio without NRI. A new PE Ratio based on inflation-adjusted normalized PE Ratio is called Shiller PE Ratio, after Yale professor Robert Shiller.

In the calculation of PE Ratio, the earnings per share used are the earnings per share over the past 12 months. For Forward PE Ratio, the earnings are the expected earnings for the next twelve months. In the case of PE Ratio without NRI, the reported earnings less the non-recurring items are used.

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. Since it looks at the average over the last 10 years, Shiller PE Ratio is also called PE10.


Cigna  (NYSE:CI) PE Ratio Explanation

The PE Ratio can be viewed as the number of years it takes for the company to earn back the price you pay for the stock. For example, if a company earns $2 a share per year, and the stock is traded at $30, the PE Ratio is 15. Therefore it takes 15 years for the company to earn back the $30 you paid for its stock, assuming the earnings stays constant over the next 15 years.

In real business, earnings never stay constant. If a company can grow its earnings, it takes fewer years for the company to earn back the price you pay for the stock. If a company's earnings decline it takes more years. As a shareholder, you want the company to earn back the price you pay as soon as possible. Therefore, lower P/E stocks are more attractive than higher P/E stocks so long as the PE Ratio is positive. Also for stocks with the same PE Ratio, the one with faster growth business is more attractive.

If a company loses money, the PE Ratio becomes meaningless.

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the PE Ratio divided by the growth ratio. He thinks a company with a PE Ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a PE Ratio of 20, instead of a company growing 10% a year with a PE Ratio of 10.

Because the PE Ratio measures how long it takes to earn back the price you pay, the PE Ratio can be applied to the stocks across different industries. That is why it is the one of the most important and widely used indicators for the valuation of stocks.

Similar to the PE Ratio without NRI or PS Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PE Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

Investors need to be aware that the PE Ratio can be misleading a lot of times, especially when the underlying business is cyclical and unpredictable. As Peter Lynch pointed out, cyclical businesses have higher profit margins at the peaks of the business cycles. Their earnings are high and PE Ratios are artificially low. It is usually a bad idea to buy a cyclical business when the PE Ratio is low. A better ratio to identify the time to buy a cyclical businesses is the PS Ratio .

PE Ratio can also be affected by non-recurring-items such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio.


Cigna PE Ratio Related Terms

Thank you for viewing the detailed overview of Cigna's PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Cigna Business Description

Cigna logo
Industry
Healthcare » Healthcare Plans NAICS : 524114 SIC : 6324
Address
900 Cottage Grove Road, Bloomfield, CT, USA, 06002
Cigna primarily provides pharmacy benefit management and health insurance services. Its PBM services were greatly expanded by its 2018 merger with Express Scripts and are mostly sold to health insurance plans and employers. Its largest PBM contract is the Department of Defense. In health insurance and other benefits, Cigna mostly serves employers through self-funding arrangements, but it also operates in government programs, such as Medicare Advantage. The company operates mostly in the U.S. with 15 million medical members covered at the end of 2020, but its services extend internationally, covering another 2 million people.
Executives
Delaney William J Iii director 1390 ENCLAVE PARKWAY HOUSTON TX 77077
Eder Noelle K officer: EVP, CIO 1680 CAPITAL ONE DRIVE MCLEAN VA 22102
Palmer Eric P officer: EVP, Chief Financial Officer 1601 CHESTNUT STREET SHAREHOLDER SERVICES TL05Y PHILADELPHIA PA 19192
Zarcone Donna F director C/O HARLEY DAVIDSON 3700 W. JUNEAU AVE MILWAUKEE WI 53208
Granger Elder director 5176 S. LEWISTON WAY CENTENNIAL CO 80015
Mcclellan Mark B. director THE BROOKINGS INSITUTION 1775 MASSACHUSETTS AVE., NW WASHINGTON DC 20036
Partridge John director 123 MISSION STREET SAN FRANCISCO CA 94104
Martinez Roman Iv director 90 OARJ AVE 4TH FLOOR GREENPOINT BANK NEW YORK NY 10016
Mazzarella Kathleen M director C/O GRAYBAR ELECTRIC CO., INC 34 N. MERAMEC AVENUE CLAYTON MO 63105
Wiseman Eric C director 319 MEADOWBROOK TERRACE GREENSBORO NC 27408
Foss Eric J director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: FOSS ERIC J a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Roper William L director 21250 HAWTHORNE BLVD SUITE 800 TORRANCE CA 90503
Ross Kimberly A. director C/O AVON PRODUCTS,INC. 1345 AVENUE OF THE AMERICAS` NEW YORK NY 10105-0196
Harris Isaiah Jr director, other: Chairman of the Board BELLSOUTH 2247 NORTHLAKE PARKWAY, SUITE 1026 TUCKER GA 30084
Jones Nicole S officer: EVP, General Counsel 1601 CHESTNUT STREET SHAREHOLDER SERVICES TL18Y PHILADELPHIA PA 19192

Cigna Headlines

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)