WallStSmart

Cigna Corp (CI)vsCentene Corp (CNC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cigna Corp generates 57% more annual revenue ($282.38B vs $180.30B). CI leads profitability with a 2.3% profit margin vs -2.8%. CI appears more attractively valued with a PEG of 0.76. CI earns a higher WallStSmart Score of 67/100 (B-).

CI

Strong Buy

67

out of 100

Grade: B-

Growth: 6.7Profit: 5.5Value: 9.3Quality: 5.5
Piotroski: 5/9Altman Z: 2.50

CNC

Buy

56

out of 100

Grade: C

Growth: 6.7Profit: 3.0Value: 7.7Quality: 6.5
Piotroski: 6/9Altman Z: 2.83
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CIUndervalued (+58.5%)

Margin of Safety

+58.5%

Fair Value

$676.72

Current Price

$280.76

$395.96 discount

UndervaluedFair: $676.72Overvalued
CNCUndervalued (+84.8%)

Margin of Safety

+84.8%

Fair Value

$265.86

Current Price

$66.42

$199.44 discount

UndervaluedFair: $265.86Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CI4 strengths · Avg: 8.8/10
P/E RatioValuation
11.6x10/10

Attractively priced relative to earnings

Market CapQuality
$74.19B9/10

Large-cap with strong market position

PEG RatioValuation
0.768/10

Growing faster than its price suggests

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

CNC3 strengths · Avg: 8.7/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

PEG RatioValuation
0.818/10

Growing faster than its price suggests

Free Cash FlowQuality
$4.20B8/10

Generating 4.2B in free cash flow

Areas to Watch

CI3 concerns · Avg: 2.7/10
Profit MarginProfitability
2.3%3/10

2.3% margin — thin

Operating MarginProfitability
4.0%3/10

Operating margin of 4.0%

Free Cash FlowQuality
$-718.00M2/10

Negative free cash flow — burning cash

CNC4 concerns · Avg: 2.5/10
Revenue GrowthGrowth
4.6%4/10

4.6% revenue growth

Operating MarginProfitability
3.8%3/10

Operating margin of 3.8%

Return on EquityProfitability
-22.6%2/10

ROE of -22.6% — below average capital efficiency

Profit MarginProfitability
-2.8%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : CI

The strongest argument for CI centers on P/E Ratio, Market Cap, PEG Ratio. PEG of 0.76 suggests the stock is reasonably priced for its growth.

Bull Case : CNC

The strongest argument for CNC centers on Price/Book, PEG Ratio, Free Cash Flow. PEG of 0.81 suggests the stock is reasonably priced for its growth.

Bear Case : CI

The primary concerns for CI are Profit Margin, Operating Margin, Free Cash Flow. Thin 2.3% margins leave little buffer for downturns.

Bear Case : CNC

The primary concerns for CNC are Revenue Growth, Operating Margin, Return on Equity.

Key Dynamics to Monitor

CI profiles as a value stock while CNC is a turnaround play — different risk/reward profiles.

CNC carries more volatility with a beta of 1.11 — expect wider price swings.

CI is growing revenue faster at 6.7% — sustainability is the question.

CNC generates stronger free cash flow (4.2B), providing more financial flexibility.

Bottom Line

CI scores higher overall (67/100 vs 56/100). CNC offers better value entry with a 84.8% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Cigna Corp

HEALTHCARE · HEALTHCARE PLANS · USA

Cigna is an American multinational managed healthcare and insurance company based in Bloomfield, Connecticut. Its insurance subsidiaries are major providers of medical, dental, disability, life and accident insurance and related products and services, the majority of which are offered through employers and other groups (e.g. governmental and non-governmental organizations, unions and associations).

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Centene Corp

HEALTHCARE · HEALTHCARE PLANS · USA

Centene Corporation is a large publicly traded company and a multi-line managed care enterprise that serves as a major intermediary for both government-sponsored and privately insured health care programs. It is a healthcare insurer that focuses on managed care for uninsured, underinsured, and low-income individuals.

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