Shares of Cigna (CI) ended Monday’s trading day to the upside, by almost 12 percent. The stock is TheStreet’s Move of the Day. Shares were lifted after a report in the Wall Street Journal said Anthem (ANTM) offered to buy the Bloomfield, Conn.-based company for $175 per share. While both health insurance giants have been in talks for months, the Journal reports, this is the second offer over the past 10 days, which Cigna rejected. According to unnamed sources in the Journal, David Cordani, the CEO of Cigna is looking to remain at the top of the new Anthem-Cigna firm, which has interrupted the progress of the deal. This comes just a few weeks after the Journal reported that Humana (HUM) had been in talks with Cigna and Aetna (AET) over a possible merger. At $156.86, Cigna shares trade at about 21 times greater than its pre-share earnings last year, according to data from Bloomberg. The analysts at Wedbush Securities hold a NEUTRAL rating, with a price target of $140. Leerink Partners holds an OUTPERFORM rating, along with a price target of $145. The analysts at BMO Capital Markets maintain an OUTPERFORM rating and a price target of $154. Of the analysts who cover the stock, 58.8 percent hold a BUY rating, 35.3 percent maintain a HOLD rating, while just 5.9 percent have a SELL rating, Bloomberg data revealed. The stock has returned over 49 percent since the start of the year, with a market capitalization of $39.4 billion. TheStreet’s Scott Gamm reports from New York.
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