A group of rich people who invest a lot of money are betting that the value of Cigna Group's stock will go down. This is important because usually when they do this, something big and impactful happens to the company. There were many different ways these investors bet on this happening, some more aggressive than others. Read from source...

- The title is misleading, as it implies that there is a recent trend in options trading for Cigna Group, when in fact the data is from January 2, 2024. This could confuse readers who are looking for current information or insights on the company's performance and prospects.
- The article uses vague terms like "deep-pocketed investors" without providing any specific names or details about their identities, motives, or strategies. This makes it hard to assess the credibility of the source and the validity of the claim that something big is about to happen with Cigna Group.
- The article relies on options scanner data from Benzinga as a primary source of information, without acknowledging the limitations, errors, or potential biases that may affect such data. For example, the data may not capture all the transactions, it may be subject to delays or inaccuracies, and it may be influenced by factors other than the investors' expectations about Cigna Group's performance, such as market conditions, liquidity, or technical issues.
- The article does not provide any context or analysis of the options activity for Cigna Group, such as how it compares to previous periods, what drives the changes in sentiment among different investors, or how it relates to the company's fundamentals, earnings, or outlook. This leaves readers without a clear understanding of why the options activity is significant or relevant, and what implications it may have for the company and its shareholders.

- Sell Cigna Group shares short at the current market price of $270.85 per share. The expected return on investment is around 10% in the next month, with a high probability of success given the bearish sentiment among large institutional investors. This trade can be hedged by buying a protective put option at a strike price below $260 per share, to limit the downside risk in case of an unexpected rally or volatility spike.
- Buy a bull call spread on Cigna Group with a strike price of $300 and $350 per share, paying a premium of $25 per contract. This strategy involves selling the $350 call option and buying the $300 call option, to capture the difference in premium as a potential profit if the stock reaches or exceeds $300 by January 31, 2024, while limiting the risk to the initial investment. The breakeven point for this trade is $325 per share, and the maximum gain is $250 per contract. This trade can be seen as a more conservative alternative to the short sale, with a lower reward-to-risk ratio.