Cigna Corp. (CI.US) shares fell nearly 0.50% ahead of the opening bell despite the healthcare and insurance company posted better than expected financial results for the fourth quarter as medical costs declined sharply due to the dwindling number of COVID-19-related hospitalizations.
-
Earnings of $4.96 per share, topped Zacks projections of $4.84 per share. Last year the company earned $4.77 per share. These figures are adjusted for non-recurring items.
-
Revenue rose 0.1% to $45.75 billion and slightly topped Zacks estimates of $45.58 billion.
-
Total customer relationships increased 2.2% to 189.7 million. Number of pharmacy customers fell 1.6% to 105.6 million, medical customers rose 5.4% to 18.0 million and Medicare Part D customers slumped 9.7% to 2.9 million.
-
Quarterly medical care ratio, or company's spending on claims as a percentage of premiums, decreased to 84.0% from 87.0%, and came in below analysts' expectations of 84.28%, according to Refinitiv data.
-
For the current fiscal year Cigna expects EPS of $24.60, slightly below market consensus of $24.84.
-
Company expects a medical care ratio in the region between 81.5% to 82.5% in 2023, compared to analysts' projections of 81.9%.
-
Number of clients is expected to increase at least 1.2 million this year.
Cigna Corp. (CI.US) stock lows market with lower limit of the 1:1 structure after publication of Q4 financial results. Nevertheless buyers struggle to break above 23.6% Fibonacci retracement of the upward wave started in March 2020. As long as price sits below, bears seem to have the upper hand. Break below the long term upward trendline could lead to acceleration of the downward move. Source: xStation5
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appThe content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
