Cigna (CI) Stock Forecast & Price Target

Cigna Group is positioned to benefit significantly from the projected growth of the biosimilars market, which is expected to reach $100 billion by 2030, solidifying its standing in the pharmacy benefit management sector. The company anticipates generating substantial double-digit savings on GLP-1 net costs for its employer clients, which enhances its value proposition. Furthermore, the expansion of its Evernorth division is expected to provide resilience against economic downturns, helping to mitigate earnings headwinds.

Cigna Group faces significant financial challenges due to multiple risks, including potential inaccuracies in healthcare cost management and ongoing regulatory scrutiny regarding its pharmacy benefit management (PBM) operations. Additionally, the company may experience adverse impacts from a slowdown in biosimilar adoption and limited specialty drug penetration, which could impede the growth of its Evernorth segment. Furthermore, anticipated client losses and outmigration, particularly in the face of changing employer benefit structures such as ICHRA/CHOICE, pose threats to maintaining a stable membership base and could be exacerbated by rising unemployment affecting commercial member counts.