WallStSmart

Cigna Corp (CI)vsCVS Health Corp (CVS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CVS Health Corp generates 45% more annual revenue ($399.83B vs $274.90B). CVS leads profitability with a 44.0% profit margin vs 2.2%. CVS appears more attractively valued with a PEG of 0.21. CVS earns a higher WallStSmart Score of 65/100 (C+).

CI

Buy

63

out of 100

Grade: C+

Growth: 5.3Profit: 5.5Value: 7.3Quality: 4.8
Piotroski: 2/9

CVS

Buy

65

out of 100

Grade: C+

Growth: 7.3Profit: 5.5Value: 4.7Quality: 6.5
Piotroski: 4/9Altman Z: 2.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CISignificantly Overvalued (-74.3%)

Margin of Safety

-74.3%

Fair Value

$150.82

Current Price

$262.84

$112.02 premium

UndervaluedFair: $150.82Overvalued
CVSSignificantly Overvalued (-18.4%)

Margin of Safety

-18.4%

Fair Value

$65.05

Current Price

$71.48

$6.43 premium

UndervaluedFair: $65.05Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CI5 strengths · Avg: 8.6/10
P/E RatioValuation
11.8x10/10

Attractively priced relative to earnings

Market CapQuality
$70.21B9/10

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

Free Cash FlowQuality
$5.83B8/10

Generating 5.8B in free cash flow

CVS6 strengths · Avg: 9.5/10
PEG RatioValuation
0.2110/10

Growing faster than its price suggests

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
44.0%10/10

Keeps 44 of every $100 in revenue as profit

EPS GrowthGrowth
76.6%10/10

Earnings expanding 76.6% YoY

Market CapQuality
$90.94B9/10

Large-cap with strong market position

Free Cash FlowQuality
$2.61B8/10

Generating 2.6B in free cash flow

Areas to Watch

CI4 concerns · Avg: 2.8/10
Profit MarginProfitability
2.2%3/10

2.2% margin — thin

Operating MarginProfitability
3.5%3/10

Operating margin of 3.5%

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-9.3%2/10

Earnings declined 9.3%

CVS4 concerns · Avg: 2.8/10
Return on EquityProfitability
2.3%3/10

ROE of 2.3% — below average capital efficiency

Operating MarginProfitability
1.6%3/10

Operating margin of 1.6%

Debt/EquityHealth
1.243/10

Elevated debt levels

P/E RatioValuation
51.4x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : CI

The strongest argument for CI centers on P/E Ratio, Market Cap, PEG Ratio. Revenue growth of 10.4% demonstrates continued momentum. PEG of 0.76 suggests the stock is reasonably priced for its growth.

Bull Case : CVS

The strongest argument for CVS centers on PEG Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 44.0% and operating margin at 1.6%. PEG of 0.21 suggests the stock is reasonably priced for its growth.

Bear Case : CI

The primary concerns for CI are Profit Margin, Operating Margin, Piotroski F-Score. Thin 2.2% margins leave little buffer for downturns.

Bear Case : CVS

The primary concerns for CVS are Return on Equity, Operating Margin, Debt/Equity. A P/E of 51.4x leaves little room for execution misses.

Key Dynamics to Monitor

CI profiles as a value stock while CVS is a mature play — different risk/reward profiles.

CVS carries more volatility with a beta of 0.46 — expect wider price swings.

CI is growing revenue faster at 10.4% — sustainability is the question.

CI generates stronger free cash flow (5.8B), providing more financial flexibility.

Bottom Line

CVS scores higher overall (65/100 vs 63/100), backed by strong 44.0% margins. Both earn "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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CVS Health Corp

HEALTHCARE · HEALTHCARE PLANS · USA

CVS Health (previously CVS Corporation and CVS Caremark Corporation) is an American healthcare company that owns CVS Pharmacy, a retail pharmacy chain; CVS Caremark, a pharmacy benefits manager; Aetna, a health insurance provider, among many other brands. The company's headquarters is in Woonsocket, Rhode Island.

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