Morgan Stanley Comments On CIGNA Financial Model

According to Morgan Stanley, CIGNA (NYSE: CI) story is evolving away from traditional multi-line structure.

Morgan Stanley said that even against a challenging backdrop over the last few years, CI has made progress in expanding its breadth, strengthening its capital position, and repositioning the business. “We like CI's strategy to drive targeted, deliberate growth in certain healthcare segments and expand internationally. Stepping back, we currently favor plans with greater scale and sustained cost advantages (i.e., UNH, WLP, CVH) as we look toward the evolving system post-reform.”

CIGNA closed yesterday at $47.72.