Citizens Financial Services (CZFS) AI Stock Analysis

• Market Cap: $276.29M
• Dividend Yield: 3.4%
• Average Volume (3M): 10.94K
• Price to Earnings (P/E): 9.9
• Beta (1Y): 1.57
• Revenue Growth: 22.34%
• EPS Growth: 51.03%
• Country: US
• Employees: 383
• Sector: Financial
• Sector Strength: 80
• Industry: Banks - Regional
• EPS (TTM): 5.85
• Shares Outstanding: 4,759,471
• 10 Day Avg. Volume: 12,366
• 30 Day Avg. Volume: 10,935
• PEG Ratio: 0.19
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.78
• Price to Cash Flow (P/CF): 6.50
• P/FCF Ratio: 2.80
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Citizens Financial Services has a strong financial foundation with excellent revenue growth and cash flow management. The technical analysis suggests a stable stock price with potential for growth, while valuation metrics indicate the stock is fairly valued with a good dividend yield. Recent corporate communication efforts further bolster investor confidence, enhancing the overall outlook.

Citizens Financial Services Business Overview & Revenue Model

Company Description

Citizens Financial Services, Inc. operates as the bank holding company for First Citizens Community Bank that provides various banking products and services for individual, business, governmental, and institutional customers. The company accepts various deposit products, such as checking, savings, and time deposit accounts. Its loan products include residential, commercial, and agricultural real estate loans; commercial and industrial loans; state and political subdivision loans; and consumer loans, as well as various other specialized financial services. The company also provides professional trust administration, investment management services, estate planning and administration, custody of securities, and individual retirement accounts. In addition, it offers brokerage and financial planning services, as well as assistance in various oil and gas leasing matters; and mutual funds, annuities, and health and life insurance products. As of December 31, 2021, the company operates thirty full-service banking branches in Potter, Tioga, Bradford, Clinton, Lebanon, Lancaster, Berks, Schuylkill, Centre, and Chester counties, Pennsylvania; Allegany County, New York; and Wilmington and Dover, Delaware, as well as a limited branch office in Union County, Pennsylvania. Citizens Financial Services, Inc. was founded in 1932 and is headquartered in Mansfield, Pennsylvania.

How the Company Makes Money

Citizens Financial Services generates revenue primarily through its subsidiary, First Citizens Community Bank, by offering a variety of financial products and services. Key revenue streams include interest income from loans and mortgages, fee-based income from account services, and income from investment and wealth management services. The company also earns money from service charges on deposit accounts, transaction fees, and other banking-related services. Additionally, Citizens Financial Services leverages partnerships with financial technology providers to enhance its service offerings and expand its customer base, contributing further to its revenue growth.

Citizens Financial Services Financial Statement Overview

Summary

Citizens Financial Services presents a strong financial profile with solid revenue growth, improved profitability margins, and robust cash flow generation. The balance sheet shows a healthy financial position with no debt and increasing equity. The company's effective cash conversion and management underpin its financial strength, making it well-positioned in the banking sector.

Income Statement

Citizens Financial Services has demonstrated strong revenue growth, with total revenue increasing significantly from $58.3 million in 2019 to $154.3 million in 2024. The gross profit margin remains healthy at 100% due to the nature of banking operations. Net profit margin improved over the years, peaking at 18.0% in 2024. The EBIT margin also increased consistently, reaching 98.3% by 2024. These metrics indicate robust profitability and operational efficiency in the banking sector, supported by strong revenue and profit growth.

Balance Sheet

The company's financial position is stable, with a strong equity base, as seen in the increasing stockholders' equity from $154.8 million in 2019 to $299.7 million in 2024. The debt-to-equity ratio improved significantly, reaching 0.0 in 2024, indicating no debt, which reduces financial risk. Return on equity, calculated at 9.3% in 2024, reflects a modest return on shareholder investment. The equity ratio improved to 9.9% in 2024, indicating a solid equity buffer. Overall, the balance sheet showcases a solid position with low leverage and healthy equity growth.

Cash Flow

The cash flow statement reveals effective cash management, with operating cash flow showing an increasing trend, reaching $33.2 million in 2024. Free cash flow also improved significantly, indicating strong cash generation capabilities. The free cash flow to net income ratio is robust, reflecting effective conversion of profits to cash. The operating cash flow to net income ratio of 1.19 in 2024 suggests efficient cash conversion. These metrics highlight the company's strong cash flow generation and management, which supports operational and financial stability.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
154.32M	86.34M	81.87M	78.42M	73.61M
	Gross Profit
154.32M	86.34M	81.87M	78.42M	73.61M
	EBIT
151.72M	42.66M	47.59M	35.32M	30.37M
	EBITDA
0.00	23.04M	36.53M	36.43M	31.50M
	Net Income Common Stockholders
27.82M	17.81M	29.06M	29.12M	25.10M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
468.11M	470.42M	471.77M	596.26M	377.65M
	Total Assets
3.03B	2.98B	2.33B	2.14B	1.89B
	Total Debt
280.38M	322.04M	257.28M	73.98M	88.84M
	Net Debt
234.36M	265.15M	225.01M	-109.88M	6.37M
	Total Liabilities
2.73B	2.70B	2.13B	1.93B	1.70B
	Stockholders Equity
299.73M	279.67M	200.15M	212.49M	194.26M
Cash Flow		Free Cash Flow
33.18M	23.92M	31.61M	37.59M	10.88M
	Operating Cash Flow
33.18M	26.54M	33.24M	38.69M	11.82M
	Investing Cash Flow
-69.07M	59.47M	-362.45M	-158.23M	-110.73M
	Financing Cash Flow
25.27M	-59.40M	182.59M	223.66M	149.10M

Citizens Financial Services Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 58.97
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CZFS, the sentiment is Negative. The current price of 58.97 is above the 20-day moving average (MA) of 57.80, below the 50-day MA of 59.69, and above the 200-day MA of 56.64, indicating a neutral trend. The MACD of -0.35 indicates Negative momentum. The RSI at 46.62 is Neutral, neither overbought nor oversold. The STOCH value of 22.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CZFS.

Citizens Financial Services Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CZFS	75 Outperform	$276.29M	9.92	9.60%	3.40%	22.34%	51.03%
ACNB	75 Outperform	$436.05M	11.09	10.97%	3.09%	14.82%	0.62%
FNB	74 Outperform	$4.83B	10.60	7.53%	3.58%	15.34%	-3.89%
NWBI	71 Outperform	$1.54B	15.36	6.36%	6.64%	7.67%	-25.85%
CZNC	67 Neutral	$308.70M	11.83	9.58%	5.61%	3.55%	6.97%
Sector *	63 Neutral	$14.39B	9.81	8.95%	4.37%	16.38%	-11.64%
FULT	62 Neutral	$3.24B	11.33	9.69%	3.87%	21.10%	-4.20%

Citizens Financial Services Corporate Events

Citizens Financial Engages Investors on Robust Performance

Citizens Financial Services, Inc. plans to engage with investors using materials related to their financial performance and outlook. The company has been proactive in addressing potential risks and uncertainties, including economic impacts, interest rate changes, and regulatory challenges. Their robust performance in the past years, including recognitions and rankings, underscores their resilience and strategic capabilities in the community banking sector.

Citizens Financial Enters Change in Control Agreements

Citizens Financial Services, Inc. has entered into change in control agreements with two senior executives, providing them with specific benefits in the event of their termination under certain conditions related to a change in control of the company. The agreements ensure financial security for these executives, potentially impacting the company’s operations and stakeholder relations during transitions of control.