Stock Analysis on Net

Cigna Group (NYSE:CI)

Enterprise Value to FCFF (EV/FCFF)

Microsoft Excel

Free Cash Flow to The Firm (FCFF)

Cigna Group, FCFF 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
Net income attributable to noncontrolling interests 208 78 50 31 16
Net noncash charges 2,953 1,290 2,648 (1,737) 3,163
Net changes in assets and liabilities, net of non-operating effects 3,488 620 (872) 3,598 1,202
Net cash provided by operating activities 11,813 8,656 7,191 10,350 9,485
Interest paid, net of tax1 1,295 993 1,000 1,124 1,281
Property and equipment purchases, net (1,573) (1,295) (1,154) (1,094) (1,050)
Free cash flow to the firm (FCFF) 11,535 8,354 7,037 10,380 9,716

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
FCFF Free cash flow to the firm is the cash flow available to the Cigna Group suppliers of capital after all operating expenses have been paid and necessary investments in working and fixed capital have been made. Cigna Group FCFF increased from 2021 to 2022 and from 2022 to 2023.

Interest Paid, Net of Tax

Cigna Group, interest paid, net of tax calculation

US$ in millions

Microsoft Excel
12 months ended: Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Effective Income Tax Rate (EITR)
EITR1 2.60% 19.20% 20.20% 21.90% 22.10%
Interest Paid, Net of Tax
Interest paid, before tax 1,330 1,229 1,253 1,439 1,645
Less: Interest paid, tax2 35 236 253 315 364
Interest paid, net of tax 1,295 993 1,000 1,124 1,281

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 2023 Calculation
Interest paid, tax = Interest paid × EITR
= 1,330 × 2.60% = 35


Enterprise Value to FCFF Ratio, Current

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

Microsoft Excel
Selected Financial Data (US$ in millions)
Enterprise value (EV) 128,428
Free cash flow to the firm (FCFF) 11,535
Valuation Ratio
EV/FCFF 11.13
Benchmarks
EV/FCFF, Competitors1
Abbott Laboratories 36.34
CVS Health Corp. 12.31
Danaher Corp. 36.08
Elevance Health Inc. 14.51
Humana Inc. 9.45
Intuitive Surgical Inc. 181.21
Medtronic PLC 26.36
UnitedHealth Group Inc. 17.42
EV/FCFF, Sector
Health Care Equipment & Services 19.82
EV/FCFF, Industry
Health Care 24.21

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

1 Click competitor name to see calculations.

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


Enterprise Value to FCFF Ratio, Historical

Cigna Group, historical EV/FCFF 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
Free cash flow to the firm (FCFF)2 11,535 8,354 7,037 10,380 9,716
Valuation Ratio
EV/FCFF3 10.44 13.38 14.17 9.16 10.24
Benchmarks
EV/FCFF, Competitors4
Abbott Laboratories 36.51 23.24 23.47 36.94 33.05
CVS Health Corp. 11.96 10.00 10.30 9.42 12.30
Danaher Corp. 36.34 25.74 28.25 30.66 37.11
Elevance Health Inc. 14.19 13.32 12.74 6.04 12.73
Humana Inc. 9.95 14.88 42.03 7.92 8.46
Intuitive Surgical Inc. 170.92 85.45 56.01 76.70 54.58
Medtronic PLC 26.54 20.32 33.84 21.43 22.07
UnitedHealth Group Inc. 17.59 19.30 22.21 15.82 17.51
EV/FCFF, Sector
Health Care Equipment & Services 19.66 18.05 20.42 15.95 17.63
EV/FCFF, Industry
Health Care 23.80 17.71 17.21 17.77 18.34

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/FCFF = EV ÷ FCFF
= 120,476 ÷ 11,535 = 10.44

4 Click competitor name to see calculations.

Valuation ratio Description The company
EV/FCFF Enterprise value to free cash flow to the firm is whole company valuation indicator. Cigna Group EV/FCFF ratio decreased from 2021 to 2022 and from 2022 to 2023.