Bob Herman Jun 26
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Investors itching to see a Cigna-Humana deal

Matt Rourke / AP

Now that the federal government has quashed the two health insurance mega-mergers — Aetna's $37 billion acquisition of Humana and Anthem's $54 billion deal for Cigna — Wall Street analysts are anticipating that Cigna and Humana will pursue their own merger.

Why it matters: If they combined, the result would be a giant insurer of employer and Medicare plans with $84 billion of annual revenue. Cigna has said it is broadly on the hunt, and Humana has shown it is willing to be acquired. The big question mark is antitrust scrutiny, which investors believe the two insurers can shake off because they have less overlap than their previously failed deals.