Cigna Group (CI) vs CVS Health Corporation (CVS)

Cigna Group and CVS Health Corporation are both Healthcare Plans companies. CVS Health Corporation is the larger, with a market value of $118.4B against $79.0B — 1.5× the size. Cigna Group trades at the lower P/E: 12.5× against 24.1×. Cigna Group grew revenue faster over the last twelve months: 7.77% against 7.36%. Cigna Group has the higher net margin (2.27% vs 1.18%) and the higher return on invested capital (9.09% vs 4.07%). Both pay a dividend; CVS Health Corporation yields more (3.60% vs 2.05%). Across the 23 metrics below, Cigna Group leads on 20 and CVS Health Corporation on 3.

Valuation

Metric CI CVS Healthcare Plans median
P/E 12.51 24.11 24.97
P/S 0.28 0.28 0.42
P/B 1.85 1.48 2.57
Price to free cash flow 8.72 10.05 11.77
EV/EBITDA 8.29 8.93 11.47
EV/Sales 0.37 0.40 0.39
Earnings yield 8.00% 4.15% 3.10%
Free cash flow yield 11.46% 9.95% 7.64%

Profitability

Metric CI CVS Healthcare Plans median
Gross margin 88.51% 44.49% 19.37%
Operating margin 3.53% 2.00% 1.93%
Net margin 2.27% 1.18% 1.04%
Free cash flow margin 3.23% 2.83% 3.18%
Return on equity 15.40% 6.21% 8.99%
Return on assets 4.16% 1.91% 2.98%
Return on invested capital 9.09% 4.07% 2.04%

Growth

Metric CI CVS Healthcare Plans median
Revenue growth (TTM) 7.77% 7.36% 7.57%
EPS growth (last fiscal year) 83.00% (62.02%) (8.27%)
Revenue growth, 5-year CAGR 11.38% 8.39% 11.88%
Net income growth, 5-year CAGR (6.77%) (24.44%) 0.00%

Health

Metric CI CVS Healthcare Plans median
Debt to equity 0.74 0.77 0.70
Current ratio 0.74 0.87 1.32
Net debt to EBITDA 1.99 3.60 0.05

Dividend

Metric CI CVS Healthcare Plans median
Dividend yield 2.05% 3.60% 2.05%
Payout ratio 0.26 0.88 0.33

Size

Metric CI CVS Healthcare Plans median
Market cap 78.96b 118.41b 22.96b

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