Latest news with #Cigna
Yahoo
3 days ago
- Business
- Yahoo
The Cigna Group (CI): A Bull Case Theory
We came across a bullish thesis on The Cigna Group (CI) on Antonio Linares' Substack. In this article, we will summarize the bulls' thesis on CI. The Cigna Group (CI)'s share was trading at $312.68 as of 22nd May. CI's trailing and forward P/E were 17.43 and 10.65 respectively according to Yahoo Finance. adriaticfoto/ Cigna's new deal with Eli Lilly and Novo Nordisk to offer capped prices for GLP-1 weight loss drugs may seem disruptive at first glance, particularly to players like Hims, but it reinforces the structural dynamics that benefit the company. As the fourth-largest pharmacy benefit manager (PBM) in the U.S., Cigna's concession reflects the intense competition between Lilly and Novo to scale their relatively undifferentiated GLP-1 offerings. While this specific deal may cap prices for GLP-1s, PBMs will likely offset this by inflating prices elsewhere, consistent with their broader business model that thrives on the complexity and pricing inefficiencies of the U.S. healthcare system. For Hims, which isn't fundamentally a GLP-1 business but rather a vertically integrated healthcare platform, the overall inflationary environment driven by PBMs enhances its value proposition—offering lower-cost, high-efficiency solutions below copay. Hims has guided for $750 million in 2025 weight loss revenue, largely from oral alternatives and generic liraglutide, both significantly cheaper than branded injectables like Wegovy. Hims's platform, which continues to evolve with personalized care and efficiency gains, is uniquely positioned to address a broad array of health needs in a way that is difficult for traditional PBM-centered models to replicate. The company's partnership with Novo and potential future deal with Lilly would further de-risk its growth. With a recent acquisition of a peptide manufacturing facility and a pipeline far beyond GLP-1s, Hims is building a scalable, cost-effective precision medicine platform. As the market remains fixated on GLP-1 narratives, Hims quietly compounds free cash flow and strategic value, offering investors an increasingly attractive long-term opportunity. We have previously covered The Cigna Group (CI) in January 2025 wherein we summarized a bull thesis by Tsachy Mishal on twitter. Mishal named Cigna (CI) a top pick, citing its stable model and low valuation. Since then, the company has completed a $3.7B asset sale and is on track to repurchase up to 12% of its shares. With political risk around PBMs easing and strong buyback execution, Cigna remains undervalued and well-positioned for continued upside. As of May 2025, the stock has risen by 13.23%. The Cigna Group (CI) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 72 hedge fund portfolios held CI at the end of the fourth quarter which was 66 in the previous quarter. While we acknowledge the risk and potential of CI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than CI but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
The Cigna Group (CI): A Bull Case Theory
We came across a bullish thesis on The Cigna Group (CI) on Antonio Linares' Substack. In this article, we will summarize the bulls' thesis on CI. The Cigna Group (CI)'s share was trading at $312.68 as of 22nd May. CI's trailing and forward P/E were 17.43 and 10.65 respectively according to Yahoo Finance. adriaticfoto/ Cigna's new deal with Eli Lilly and Novo Nordisk to offer capped prices for GLP-1 weight loss drugs may seem disruptive at first glance, particularly to players like Hims, but it reinforces the structural dynamics that benefit the company. As the fourth-largest pharmacy benefit manager (PBM) in the U.S., Cigna's concession reflects the intense competition between Lilly and Novo to scale their relatively undifferentiated GLP-1 offerings. While this specific deal may cap prices for GLP-1s, PBMs will likely offset this by inflating prices elsewhere, consistent with their broader business model that thrives on the complexity and pricing inefficiencies of the U.S. healthcare system. For Hims, which isn't fundamentally a GLP-1 business but rather a vertically integrated healthcare platform, the overall inflationary environment driven by PBMs enhances its value proposition—offering lower-cost, high-efficiency solutions below copay. Hims has guided for $750 million in 2025 weight loss revenue, largely from oral alternatives and generic liraglutide, both significantly cheaper than branded injectables like Wegovy. Hims's platform, which continues to evolve with personalized care and efficiency gains, is uniquely positioned to address a broad array of health needs in a way that is difficult for traditional PBM-centered models to replicate. The company's partnership with Novo and potential future deal with Lilly would further de-risk its growth. With a recent acquisition of a peptide manufacturing facility and a pipeline far beyond GLP-1s, Hims is building a scalable, cost-effective precision medicine platform. As the market remains fixated on GLP-1 narratives, Hims quietly compounds free cash flow and strategic value, offering investors an increasingly attractive long-term opportunity. We have previously covered The Cigna Group (CI) in January 2025 wherein we summarized a bull thesis by Tsachy Mishal on twitter. Mishal named Cigna (CI) a top pick, citing its stable model and low valuation. Since then, the company has completed a $3.7B asset sale and is on track to repurchase up to 12% of its shares. With political risk around PBMs easing and strong buyback execution, Cigna remains undervalued and well-positioned for continued upside. As of May 2025, the stock has risen by 13.23%. The Cigna Group (CI) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 72 hedge fund portfolios held CI at the end of the fourth quarter which was 66 in the previous quarter. While we acknowledge the risk and potential of CI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than CI but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey.
Reuters
4 days ago
- Business
- Reuters
Express Scripts sues to block Arkansas law barring PBM ownership of pharmacies
CHICAGO, May 29 (Reuters) - Express Scripts and several of its affiliated pharmacies filed a lawsuit on Thursday asking an Arkansas federal judge to overturn a state law set to go into effect next year that would ban pharmacy benefit managers from owning pharmacies. The lawsuit, filed in the U.S. District Court for the Eastern District of Arkansas, says the law puts an unconstitutional restriction on interstate commerce by burdening out-of-state companies like Express Scripts, which is based in St. Louis. Express, one of the nation's largest pharmacy benefit managers, seeks a declaration that the law is unconstitutional and an order barring its enforcement. Sam Dubke, a spokesperson for Arkansas Governor Sara Huckabee Sanders, who signed the law in April, said in a statement, "these big drug middlemen are only attacking Arkansas in the courts because they're worried other states will join Governor Sanders in fighting for patient access and affordable prescriptions." The lawsuit names the members of the Arkansas State Board of Pharmacy, which regulates the state's pharmacies. In a statement, Express Scripts, which is a unit of the Cigna Group (CI.N), opens new tab, said the law will likely force it to close some retail pharmacies and bar it from mailing prescriptions to thousands of Arkansas residents through its mail-order pharmacy business. 'While Arkansas politicians claim this law was designed to lower drug prices and increase access to medications, it will do just the opposite,' said Andrea Nelson, Cigna's chief legal officer. Pharmacy benefit managers serve as intermediaries, negotiating prescription drug prices with drugmakers on behalf of employers and health plans. They also often manage pharmacy networks and operate mail-order pharmacies. Arkansas' law, which is set to go into effect in January, bars PBMs from receiving permits to dispense prescription medication and revokes PBMs' existing permits, according to the legislation. The law is meant to cut down on anticompetitive behavior by the PBMs, which set the prices for the drugs they dispense through their pharmacies, according to the governor's office. Their business practices have drawn increasing scrutiny in recent years from U.S. lawmakers looking to lower drug prices, and from the Federal Trade Commission, which accused the three largest PBMs of driving up the cost of insulin drugs.
Fox News
5 days ago
- Business
- Fox News
A new law in this state bans automated insurance claim denials
As some health insurance companies have come under fire for allegedly using computer systems to shoot down claims, an Arizona law will soon make the practice illegal in the Grand Canyon State. Republican Arizona House Majority Whip Rep. Julie Willoughby sponsored the legislation, and it was recently signed into law by Democratic Gov. Katie Hobbs. House Bill 2175 requires a physician licensed in the state to conduct an "individual review" and use "independent medical judgment" to determine whether the claim should actually be denied. It also required a similar review of "a direct denial of a prior authorization of a service" that a provider asked for and "involves medical necessity." "This law ensures that a doctor, not a computer, is making medical decisions," Willoughby said in a statement. "If care is denied, it should be by someone with the training and ethical duty to put patients first. That decision must come from a licensed physician, not an anonymous program." The law will go into effect in July 2026, so insurers will have time to be ready for the changes, if any. "Arizona families deserve real oversight when it comes to life-changing medical decisions," Willoughby said. "This law puts patients ahead of profits and restores a layer of accountability that's long overdue." The bill passed both chambers with nearly unanimous support. Several healthcare companies, like Cigna and United Healthcare, have faced accusations of using computer systems to deny claims in past years, according to ProPublica and FOX Business. Fox News Digital reached out to Hobbs' office for comment. Similar legislation was signed into law in California last year, which was dubbed the "Physicians Make Decisions Act." The lawmaker in the Golden State was specifically concerned about the rise of artificial intelligence. "Artificial intelligence has immense potential to enhance health care delivery, but it should never replace the expertise and judgment of physicians," Democratic state Sen. Josh Becker said in a December statement. "An algorithm cannot fully understand a patient's unique medical history or needs, and its misuse can lead to devastating consequences."
Time Business News
6 days ago
- Health
- Time Business News
Best Insurance Plans for Mental Health Coverage 2025
In 2025, prioritizing mental health is more important than ever. As awareness grows and stigma decreases, access to reliable insurance plans that include robust mental health coverage has become a vital part of comprehensive healthcare. Whether you're looking for therapy, medication, or inpatient treatment, the right insurance can make these services more affordable and accessible. This guide outlines some of the best options available in 2025. Insurance Plans for Mental Health Coverage UnitedHealthcare (UHC) stands out for its wide provider network and commitment to behavioral health. UHC offers various programs like 24/7 virtual mental health visits, an extensive network of in-person therapists, and an Employee Assistance Program (EAP). Their coverage includes therapy, substance use treatment, and crisis care, making it one of the most well-rounded choices available today. Learn more about UHC mental health benefits and how they can support your well-being throughout the year. Cigna Healthcare is another strong contender, offering a seamless digital experience and access to both traditional and alternative mental health therapies. With options like personalized coaching and virtual sessions, Cigna appeals especially to younger populations who value convenience and digital-first experiences. Anthem Blue Cross Blue Shield includes behavioral health as part of their essential benefits under ACA-compliant plans. Their telehealth expansion in 2025 further supports remote therapy and mental health consultation, making care more reachable than ever. Other notable mentions include Oscar Health and Kaiser Permanente, both of which continue to grow their mental health support services, with Kaiser focusing on integrated care and Oscar leveraging tech-driven member engagement. To address growing demand, many plans now offer more flexible policies, with expanded coverage for preventive therapy sessions, youth mental health programs, and even stress-management tools. Mental health parity laws have also strengthened, requiring insurers to treat mental health on par with physical health, which has pushed more providers to refine their offerings. Many employers are now offering expanded mental wellness benefits as part of group plans to improve productivity and satisfaction across their workforce. This shift toward proactive care means that therapy is now seen as a vital wellness tool, not just a crisis response. Conclusion Choosing the best mental health insurance plan in 2025 involves more than comparing premiums—it's about understanding the level of support, network accessibility, and how well a plan fits your unique needs. Providers like UnitedHealthcare, Cigna, and Anthem are leading the charge in offering flexible, comprehensive coverage that prioritizes your mental well-being. With more tools, more providers, and better access than ever before, now is the time to invest in your mental health through the right insurance partner. TIME BUSINESS NEWS
