Market Pulse59Neutral

Cigna Corporation(CI) Intrinsic Value & DCF Analysis (2026)

Sector: Healthcare

Current Price

$284.04

Last updated: May 08, 2026

Price vs Intrinsic Value

$284.04
Price
$708.90
Intrinsic Value
Undervalued by 150%MOS: $567.12

Fundamental Score

48/100
Bearish

Weighted across 6 signals

Narrative Score

64/100
Improving

-1 vs previous

Trend Score

0/100
Unavailable

Trend data unavailable

The intrinsic value of Cigna Corporation (CI) is estimated at $708.90 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $284.04, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 6.22% long-term growth rate and an 8.50% discount rate (calculated: 6.78%), reflecting expected future free cash flow and cost of capital.

The intrinsic value of Cigna Corporation (CI) is estimated at $708.90 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $284.04, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 6.22% long-term growth rate and an 8.50% discount rate (calculated: 6.78%), reflecting expected future free cash flow and cost of capital.

Valuation Details

$708.90
▲ 149.58% upside
20% margin of safety: $567.12
Years: 10Growth Rate: 6.22%
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Capital Efficiency

Average Quarterly ROIC
2.86%
Cost of Capital (estimated)11%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.

Fundamental Details

48/100
BearishWeighted across 6 signals
DCF Discount
149.6% discount to price
100
FCF Yield
13.3% trailing FCF yield
100
ROIC vs WACC
ROIC 2.9% vs WACC 11.0% (0.3x)
13
Net Debt / FCF
2.3x net debt to FCF
21
Buybacks
Share count shrinking
80
FCF CAGR (5Y)
-1.4% 5Y FCF CAGR (adjusted)
0
Strengths: DCF Discount, FCF Yield. Concerns: ROIC vs WACC, Net Debt / FCF.

Narrative Details

64/100
Improving
-1 vs previousVs 6-Month Baseline:Low (8th pct)Weighted across 6 recent drivers
Trend: Deteriorating downConfidence: 89%Updated: 15h ago
Sources: 59 (48 News · 11 Analyst)
Drivers(last 30 days)
24 news sentiment+1.1
6 earnings beat+0.6
17 regulatory scrutiny-0.2
Guidance raise-0.1
Analyst upgrades+0.0
10 analyst reiterations0.0

Trend Details

0/100
NeutralRules-based daily model
Trend score unavailable for this ticker right now.

Investment Coach

Updating... 1d ago
BUYConfidence: 55%
Thesis
Cigna Corporation is significantly undervalued with an estimated fair value 162% above its current price, supported by a healthy free cash flow yield of 13.3%. Despite trailing returns relative to its cost of capital, the company's strong buyback activity and supportive narrative score suggest potential for upside.
Key Risk
The company's return on invested capital remains well below its weighted average cost of capital, indicating ongoing profitability challenges.
Signals To Watch
  • Monitor whether valuation discount remains above 10%.
  • Track ROIC vs WACC spread for sustained improvement.
  • Follow narrative trend for meaningful shifts in the score direction.
Ask the Coach - Available with
Historical Growth Rates
Free Cash Flow- - -Trend CAGR: 6.22%5 Year CAGR: 3.61%

Free Cash Flow (in millions)

TTM20252024202320222021202020192018201720162015201420132012201120102009200820072006
$9,964$10,813$11,769$13,386$9,951$8,345$11,444$10,535$4,298$4,557$4,487$3,227$2,467$1,246$2,758$1,913$2,043$1,052$1,913$1,604$778

How Intrinziq Estimates Fair Value

Intrinziq estimates Cigna Corporation's intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.

Cigna CorporationHealthcare

The Cigna Group provides insurance and related products and services in the United States. Its Evernorth segment provides a range of coordinated and point solution health services, including pharmacy, benefits management, care delivery and management, and intelligence solutions to health plans, employers, government organizations, and health care providers. The company's Cigna Healthcare segment offers medical, pharmacy, behavioral health, dental, vision, health advocacy programs, and other products and services for insured and self-insured customers; Medicare Advantage, Medicare Supplement, and Medicare Part D plans for seniors, as well as individual health insurance plans to on and off the public exchanges; and health care coverage in its international markets, as well as health care benefits for mobile individuals and employees of multinational organizations. The company also offers permanent insurance contracts sold to corporations to provide coverage on the lives of certain employees for financing employer-paid future benefit obligations. It distributes its products and services through insurance brokers and consultants; directly to employers, unions and other groups, or individuals; and private and public exchanges. The company was founded in 1792 and is headquartered in Bloomfield, Connecticut.