10 Cheap S&P 500 Stocks to Invest in Now

8. The Cigna Group (NYSE:CI)

Forward P/E Ratio as of January 12: 9.16

Number of Hedge Fund Holders: 78

The Cigna Group (NYSE:CI) is one of the cheap S&P 500 stocks to invest in now. On January 6, Bernstein raised the firm’s price target on Cigna to $307 from $294 and kept a Market Perform rating on the shares. This decision was made as Bernstein anticipated a sector-wide turnaround for government Managed Care Organizations starting in 2026, though the firm cautioned that the path to recovery may be bumpy. The firm views current prices as attractive entry points across the board.

A day before this rating, Truist increased its price target for Cigna to $320 from $310, while maintaining a Buy rating on the shares. This sentiment was posted as the firm addressed the ongoing uncertainty surrounding the extension of Enhanced Advance Premium Tax Credits. While a resolution is not widely expected, the firm’s current projections already account for a significant reduction in Marketplace membership across the industry for 2026.

Despite these headwinds, Truist highlighted an opportunity for margin recovery within the Medicare Advantage sector, specifically in both the Individual and Group segments. This optimism is fueled by factors like a favorable MA rate update and the use of conservative utilization assumptions in current pricing models, which follow several years of high medical trends. The firm also noted that companies like The Cigna Group (NYSE:CI) are prioritizing profit margins over aggressive growth.

The Cigna Group (NYSE:CI), together with its subsidiaries, provides insurance and related products and services in the US.