Cigna shares are trading higher following reports suggesting the company has abandoned a planned acquisition of Humana. The company also announced a $10 billion buyback increase.
Portfolio Pulse from Benzinga Newsdesk
Cigna's stock price has risen after reports that the company has dropped its plans to acquire Humana. Additionally, Cigna announced an increase in its share buyback program by $10 billion, which is likely to be viewed positively by investors as it could indicate confidence by management in the company's financial health and future prospects.
December 11, 2023 | 1:28 pm
News sentiment analysis
Sort by:
Ascending
POSITIVE IMPACT
Cigna's decision to not proceed with the Humana acquisition and the announcement of a $10 billion buyback increase are likely to be seen as positive developments by investors, potentially leading to a short-term increase in stock price.
The cancellation of the acquisition could relieve Cigna of potential integration risks and financial burdens associated with such a large transaction. The significant buyback program suggests that the company is confident in its financial stability and is committed to returning value to shareholders, which typically supports a positive short-term reaction in the stock market.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100