NEW YORK (TheStreet) -- Shares of Cigna (CI) - Get Report are up 1.65% to $124.13 as Stifel Nicolaus initiated coverage of the stock this morning with a "buy" rating and a price target of $169.

Stifel's price target represents a 38.42% upside from the Bloomfield, CT-based health services company's close on Tuesday of $122.09.

Anthem (ANTM), a health benefit company based in Indianapolis, recently proposed a $48 billion acquisition of Cigna.

The Justice Department has concerns that the deal could violate antitrust laws, but proposed divestment efforts by the companies have been unsuccessful. Cigna and Anthem expect to hear back on their proposed merger in mid-July, the Wall Street Journal reported.

If the deal were to go through, the new company would be the largest U.S. health provider with over 54 million members.

Separately, TheStreet Ratings rated this stock as a "buy" with a ratings score of B.

The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, good cash flow from operations and notable return on equity. TheStreet Ratings feels its strengths outweigh the fact that the company has had sub par growth in net income.

You can view the full analysis from the report here: CI

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. 

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