Critical Contrast: United American Healthcare (OTCMKTS:UAHC) & Cigna Group (NYSE:CI)

United American Healthcare (OTCMKTS:UAHC) and Cigna Group (NYSE:CI) are both medical companies, but which is the better investment? We will contrast the two companies based on the strength of their analyst recommendations, risk, institutional ownership, profitability, earnings, dividends and valuation.

Insider & Institutional Ownership

87.0% of Cigna Group shares are owned by institutional investors. 14.3% of United American Healthcare shares are owned by company insiders. Comparatively, 0.7% of Cigna Group shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Risk and Volatility

United American Healthcare has a beta of -1.49, suggesting that its stock price is 249% less volatile than the S&P 500. Comparatively, Cigna Group has a beta of 0.48, suggesting that its stock price is 52% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and target prices for United American Healthcare and Cigna Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
United American Healthcare	0	0	0	0	0.00
Cigna Group	0	2	15	2	3.00

Cigna Group has a consensus price target of $374.82, indicating a potential upside of 24.37%. Given Cigna Group’s stronger consensus rating and higher possible upside, analysts plainly believe Cigna Group is more favorable than United American Healthcare.

Profitability

This table compares United American Healthcare and Cigna Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
United American Healthcare	N/A	N/A	N/A
Cigna Group	1.92%	18.80%	5.02%

Dividends

United American Healthcare pays an annual dividend of $0.08 per share and has a dividend yield of 381.0%. Cigna Group pays an annual dividend of $6.04 per share and has a dividend yield of 2.0%. Cigna Group pays out 33.0% of its earnings in the form of a dividend. Cigna Group has raised its dividend for 5 consecutive years.

Valuation & Earnings

This table compares United American Healthcare and Cigna Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
United American Healthcare	N/A	N/A	$240,000.00	N/A	N/A
Cigna Group	$247.12 billion	0.33	$3.43 billion	$18.32	16.45

Cigna Group has higher revenue and earnings than United American Healthcare.

Summary

Cigna Group beats United American Healthcare on 12 of the 15 factors compared between the two stocks.

About United American Healthcare

United American Healthcare Corporation, through its subsidiaries, provides contract manufacturing services to the medical device industry. It also focuses on the production of natural rubber. The company was incorporated in 1983 and is based in Chicago, Illinois.

About Cigna Group

The Cigna Group, together with its subsidiaries, provides insurance and related products and services in the United States. Its Evernorth Health Services segment provides a range of coordinated and point solution health services, including pharmacy benefits, home delivery pharmacy, specialty pharmacy, distribution, and care delivery and management solutions to health plans, employers, government organizations, and health care providers. The company's Cigna Healthcare segment offers medical, pharmacy, behavioral health, dental, and other products and services for insured and self-insured customers; Medicare Advantage, Medicare Supplement, and Medicare Part D plans for seniors, as well as individual health insurance plans; and health care coverage in its international markets, as well as health care benefits for mobile individuals and employees of multinational organizations. In addition, it offers permanent insurance contracts sold to corporations to provide coverage on the lives of certain employees for financing employer-paid future benefit obligations. The company distributes its products and services through insurance brokers and consultants; directly to employers, unions and other groups, or individuals; and private and public exchanges. The company was formerly known as Cigna Corporation and changed its name to The Cigna Group in February 2023. The Cigna Group was founded in 1792 and is headquartered in Bloomfield, Connecticut.