Cigna (CI) is better positioned to achieve its long-term earnings-per-share growth goals, RBC Capital Markets said in a note emailed Thursday after attending the company's investor day.

RBC said that Cigna's management reaffirmed the company's long-term adjusted EPS growth compound annual growth rate, or CAGR, of 10% to 14%, comprising 6% to 9% long-term average annual adjusted earnings growth plus 4% to 5% long-term average annual contribution from capital deployment.

Cigna's management is also expecting 2030 adjusted EPS of at least $45 and highlighted that "this growth assumes the lower-end of growth for each segment," the note said.

The investment firm said that it expects the company's Specialty and Care Services segment to be a "key fundamental driver over the next few years given significant specialty drug growth and [Cigna's] differentiated capabilities."

Meanwhile, investors are eyeing the company's Pharmacy Benefit Services business due to Cigna's move to the Signature rebate-free model, RBC said.

However, Cigna's management expressed confidence in the company's ability to maintain margins and remain competitive with alternative solutions, citing strong customer demand, the note said.

RBC maintained its Outperform rating and $337 price target on Cigna.

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