Cigna Corp (CI)
Financial leverage ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 155,881,000 | 157,639,000 | 150,851,000 | 148,447,000 | 147,926,000 | 149,645,000 | 150,054,000 | 147,976,000 | 143,932,000 | 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 |
| Total stockholders’ equity | US$ in thousands | 41,033,000 | 42,095,000 | 41,332,000 | 41,181,000 | 46,223,000 | 45,691,000 | 45,445,000 | 44,502,000 | 44,872,000 | 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 |
| Financial leverage ratio | 3.80 | 3.74 | 3.65 | 3.60 | 3.20 | 3.28 | 3.30 | 3.33 | 3.21 | 3.20 | 3.33 | 3.31 | 3.29 | 3.25 | 3.17 | 3.16 | 3.09 | 3.33 | 3.37 | 3.43 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $155,881,000K ÷ $41,033,000K
= 3.80
The financial leverage ratio of Cigna Corp has been relatively stable over the past few years, ranging between 3.09 and 3.80. The ratio increased from 3.09 as of December 31, 2020, to a peak of 3.80 as of December 31, 2024. This increase indicates that the company's reliance on debt to finance its operations and growth has been gradually rising during this period.
However, it is important to note that a higher financial leverage ratio signifies higher financial risk, as the company has more debt in comparison to its equity. A ratio above 3 indicates that Cigna Corp's debt level is three times its equity, which suggests that the company may be more vulnerable to economic downturns or interest rate fluctuations.
The fluctuations in the financial leverage ratio over the years may be a result of changes in the company's capital structure, borrowing decisions, or overall financial performance. It would be essential for stakeholders to closely monitor this ratio to assess the company's ability to meet its debt obligations and sustain its financial health in the long run.
Peer comparison
Dec 31, 2024