Health
Cigna Shares Jump as CEO Dims Prospects for Humana Deal
- Excess cash flow will go to buying back shares, Cordani says
- Humana shares drop following Cigna CEO remarks to analysts
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Cigna Group shares jumped Thursday after Chief Executive Officer David Cordani signaled the company is focused on returning cash to shareholders through buybacks rather than a possible deal with Humana Inc.
Cordani said the company planned to use extra free cash flow to repurchase shares in comments seemingly aimed to tamp down speculation about a big acquisition on the horizon. Cigna shares jumped as much as 9.4%, the most intraday since December, at the New York market open Thursday. Humana’s stock lost as much as 3.9%.