On August 4, THE CIGNA GROUP fell 3.07% in regular trading, trading at $273.385/share, with turnover of $85.90 million. The decline was triggered by Raymond James downgrading the stock from Strong Buy to Outperform, while cutting its price target from $350 to $320.
Raymond James noted that while Cigna's valuation remains attractive, slowing business growth combined with persistent headwinds in its pharmacy benefit management operations leaves the stock without clear near-term upside catalysts. The firm highlighted that although Cigna's Q2 earnings beat expectations with adjusted EPS of $7.78 versus the $7.60 consensus estimate and revenue of $71.56 billion topping the $70.34 billion forecast, management confirmed during the earnings call that GLP-1 prescription growth is moderating, pressuring the pharmacy business.
Multiple analysts maintain bullish stances, with Goldman Sachs raising its target to $352, Guggenheim to $361, and UBS maintaining a $400 target. However, the broader Health Care Services sector also showed weakness, with DaVita down 2.0% and CVS Health down 1.47%.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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