Morgan Stanley Remains Confident In CIGNA Following Management Visit
In a report published Wednesday, Morgan Stanley analyst Andrew Schenker reiterated an Overweight rating and $99.00 price target on CIGNA (NYSE: CI).
In the report, Morgan Stanley noted, “Expect continued improvement in Medicare. Cigna may not see the full benefit of some of the triage activities it implemented to improve the Medicare business in 2H13 until 2H14. The measures included identifying underperforming facilities, renegotiating reimbursement rates, and modifying networks where necessary. Recall, the company has not incorporated any improvement in Medicare in its FY14 outlook. In addition, Cigna anticipates an improvement in Medicare margins in FY15 as it continues to enhance networks and products.”
CIGNA closed on Tuesday at $89.12.
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.