Stock Analysis on Net

Cigna Group (NYSE:CI)

Enterprise Value to EBITDA (EV/EBITDA)

Microsoft Excel

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)

Cigna Group, EBITDA calculation

US$ in millions

Microsoft Excel
12 months ended: Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Shareholders’ net income 5,164 6,668 5,365 8,458 5,104
Add: Net income attributable to noncontrolling interest 208 78 50 31 16
Add: Income tax expense 141 1,607 1,367 2,379 1,450
Earnings before tax (EBT) 5,513 8,353 6,782 10,868 6,570
Add: Interest expense on long-term and short-term debt 1,400 1,300 1,300 1,400 1,600
Earnings before interest and tax (EBIT) 6,913 9,653 8,082 12,268 8,170
Add: Depreciation and amortization 3,035 2,937 2,923 2,802 3,651
Earnings before interest, tax, depreciation and amortization (EBITDA) 9,948 12,590 11,005 15,070 11,821

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Item Description The company
EBITDA To calculate EBITDA analysts start with net earnings. To that earnings number, interest, taxes, depreciation, and amortization are added. EBITDA as a pre-interest number is a flow to all providers of capital. Cigna Group EBITDA increased from 2021 to 2022 but then decreased significantly from 2022 to 2023.

Enterprise Value to EBITDA Ratio, Current

Cigna Group, current EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Selected Financial Data (US$ in millions)
Enterprise value (EV) 128,428
Earnings before interest, tax, depreciation and amortization (EBITDA) 9,948
Valuation Ratio
EV/EBITDA 12.91
Benchmarks
EV/EBITDA, Competitors1
Abbott Laboratories 19.40
CVS Health Corp. 8.26
Danaher Corp. 26.22
Elevance Health Inc. 10.47
Humana Inc. 6.96
Intuitive Surgical Inc. 57.06
Medtronic PLC 15.18
UnitedHealth Group Inc. 13.47
EV/EBITDA, Sector
Health Care Equipment & Services 14.52
EV/EBITDA, Industry
Health Care 19.08

Based on: 10-K (reporting date: 2023-12-31).

1 Click competitor name to see calculations.

If the company EV/EBITDA is lower then the EV/EBITDA of benchmark then company is relatively undervalued.
Otherwise, if the company EV/EBITDA is higher then the EV/EBITDA of benchmark then company is relatively overvalued.


Enterprise Value to EBITDA Ratio, Historical

Cigna Group, historical EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Enterprise value (EV)1 120,476 111,806 99,719 95,068 99,543
Earnings before interest, tax, depreciation and amortization (EBITDA)2 9,948 12,590 11,005 15,070 11,821
Valuation Ratio
EV/EBITDA3 12.11 8.88 9.06 6.31 8.42
Benchmarks
EV/EBITDA, Competitors4
Abbott Laboratories 19.49 15.85 17.42 25.99 21.70
CVS Health Corp. 8.03 12.42 10.41 8.56 9.43
Danaher Corp. 26.41 18.42 21.05 26.68 25.23
Elevance Health Inc. 10.24 10.26 10.05 7.57 9.05
Humana Inc. 7.33 11.59 11.22 6.91 9.30
Intuitive Surgical Inc. 53.82 41.52 44.54 59.12 37.53
Medtronic PLC 15.28 14.99 24.41 17.92 16.01
UnitedHealth Group Inc. 13.60 15.11 17.39 13.39 13.82
EV/EBITDA, Sector
Health Care Equipment & Services 14.40 14.33 15.77 13.69 13.61
EV/EBITDA, Industry
Health Care 18.75 13.67 13.83 16.25 14.26

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

1 See details »

2 See details »

3 2023 Calculation
EV/EBITDA = EV ÷ EBITDA
= 120,476 ÷ 9,948 = 12.11

4 Click competitor name to see calculations.

Valuation ratio Description The company
EV/EBITDA Enterprise value to earnings before interest, tax, depreciation and amortization is a valuation indicator for the overall company rather than common stock. Cigna Group EV/EBITDA ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level.