<div id="readability-page-1"><div><ul> <li>Recently, BofA Securities highlighted The Cigna Group’s exposure to commercial health insurance and its scaled pharmaceutical platform, while Levi &amp; Korsinsky began investigating potential federal securities law violations following Cigna’s disclosure of a higher Healthcare medical cost ratio that could pressure future profitability.</li> <li>This combination of optimism around pharmacy-driven earnings growth and scrutiny of rising medical costs underscores the tension between Cigna’s long-term potential and near-term regulatory and profitability risks.</li> <li>We’ll now examine how the securities investigation tied to rising medical costs could reshape Cigna’s investment narrative for long-term investors.</li> </ul><p>Uncover the next big thing with financially sound penny stocks that balance risk and reward.</p><h2>Cigna Group Investment Narrative Recap</h2><p>To own Cigna today, you need to believe its Evernorth pharmacy platform and commercial insurance scale can offset mounting cost and regulatory pressures. The jump in Cigna Healthcare’s medical cost ratio and the resulting securities investigation directly touch the biggest near term risk: profitability compression in a business already under affordability scrutiny. While the stock’s sharp drop reflects immediate concern, BofA’s constructive view on the pharmacy platform suggests the core long term earnings engine has not been fundamentally altered by this single quarter.</p> <p>The most relevant recent development is Cigna’s Q3 2025 earnings release, which paired higher Healthcare medical costs with continued contribution from Evernorth and updated 2026 EPS guidance. That mix of resilient pharmacy driven earnings power and pressured insurance margins is central to the current investment story, because it tests whether Cigna’s higher margin health services can consistently offset volatility in medical costs. How management responds through pricing, benefit design and cost controls could influence how investors view both risk and upside over the next few years.</p> <p>Yet behind Cigna’s long term pharmacy opportunity, the rising medical cost ratio and related legal scrutiny are risks investors should be aware of...</p> <p>Read the full narrative on Cigna Group (it's free!)</p><p>Cigna Group's narrative projects $299.7 billion revenue and $7.8 billion earnings by 2028. This requires 4.6% yearly revenue growth and about a $2.8 billion earnings increase from $5.0 billion today.</p><p>Uncover how Cigna Group's forecasts yield a $326.26 fair value, a 19% upside to its current price.</p><h2>Exploring Other Perspectives</h2><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/a8d65f83-7380-4bee-b00e-d154535df4a5/chart/quote-price?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/a8d65f83-7380-4bee-b00e-d154535df4a5/chart/quote-price"/><figcaption>CI 1-Year Stock Price Chart</figcaption></figure> <p>Simply Wall St Community members currently see Cigna’s fair value anywhere between about US$280 and over US$1,061, across 11 separate views. Against that wide range, the recent spike in Cigna Healthcare’s medical cost ratio highlights how sensitive the story is to affordability pressures and margin risk, encouraging you to weigh several different earnings paths before forming a view.</p><p>Explore 11 other fair value estimates on Cigna Group - why the stock might be worth just $280.00!</p><h2>Build Your Own Cigna Group Narrative</h2><p>Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.</p><ul><li>A great starting point for your Cigna Group research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.</li><li>Our free Cigna Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Cigna Group's overall financial health at a glance.</li></ul><h2>Ready For A Different Approach?</h2><p>Right now could be the best entry point. These picks are fresh from our daily scans. Don't delay:</p><ul><li>We've found 13 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.</li><li>AI is about to change healthcare. These 29 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early.</li><li>These 15 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch.</li></ul> <p><em> This article by Simply Wall St is general in nature. <strong>We provide commentary based on historical data     and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.</strong> It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your     financial situation. We aim to bring you long-term focused analysis driven by fundamental data.     Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.     Simply Wall St has no position in any stocks mentioned.</em></p><div><p>Mobile Infrastructure for Defense and Disaster</p><p>The next wave in robotics isn't humanoid. Its fully autonomous towers delivering 5G, ISR, and radar in under 30 minutes, anywhere.</p><p>Get the investor briefing before the next round of contracts</p><p><span>Sponsored On Behalf of CiTech</span></p></div></div></div>

<p>Cigna Group faces scrutiny over rising medical costs and a securities investigation, impacting profitability and shareholder sentiment. BofA Securities remains optimistic about Cigna's pharmacy-driven earnings growth, despite affordability pressures. The Q3 2025 earnings release shows resilient pharmacy earnings but pressured insurance margins. Investors should consider management's response to cost controls and pricing strategies. Cigna projects $299.7 billion revenue and $7.8 billion earnings by 2028, with a fair value estimate of $326.26, offering a 19% upside. The stock's sensitivity to medical cost volatility is a key concern.</p>

What Cigna Group (CI)'s Rising Medical Costs And Securities Probe Mean For Shareholders