Cigna Corp (CI)

Financial leverage ratio

Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Total assets US$ in thousands 152,761,000 149,645,000 150,054,000 147,976,000 143,885,000 144,209,000 152,630,000 152,610,000 154,889,000 154,251,000 154,207,000 152,081,000 155,451,000 160,044,000 159,628,000 154,711,000 155,774,000 154,847,000 154,401,000 154,348,000
Total stockholders’ equity US$ in thousands 46,223,000 45,691,000 45,445,000 44,502,000 44,675,000 45,041,000 45,892,000 46,087,000 47,112,000 47,415,000 48,709,000 48,149,000 50,321,000 48,032,000 47,366,000 45,079,000 45,338,000 44,696,000 43,815,000 42,408,000
Financial leverage ratio 3.30 3.28 3.30 3.33 3.22 3.20 3.33 3.31 3.29 3.25 3.17 3.16 3.09 3.33 3.37 3.43 3.44 3.46 3.52 3.64

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $152,761,000K ÷ $46,223,000K
= 3.30

The financial leverage ratio measures the extent to which a company relies on debt to finance its operations. A higher leverage ratio indicates a higher level of debt relative to equity, which can magnify both returns and risks for shareholders.

In the case of Cigna Group (The), the financial leverage ratio has shown fluctuations over the past eight quarters, ranging from 3.20 to 3.33. This suggests that the company has maintained a relatively stable level of leverage over this period, with an average ratio of approximately 3.29.

A ratio above 3 indicates that Cigna Group (The) has a higher proportion of debt in its capital structure compared to equity. Investors should consider that while a higher leverage ratio can potentially result in higher returns, it also exposes the company to higher financial risk, particularly in times of economic downturns or rising interest rates.

Overall, a thorough assessment of Cigna Group (The)'s financial leverage ratio suggests that the company has been managing its debt levels within a certain range, balancing the benefits and risks associated with leverage in its operations.


Peer comparison

Dec 31, 2023


See also:

Cigna Corp Financial Leverage (Quarterly Data)