Citizens Financial Services Remains Compelling Even In Light Of Share Price Underperformance
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Daniel JonesInvesting Group LeaderFollow5ShareSavePlay(10min)CommentsSummaryCitizens Financial Services (CZFS) remains a compelling value, with robust balance sheet and income growth despite recent underperformance versus the S&P 500. CZFS boasts attractive valuation metrics, trading at a 7.2x P/E and below book value, signaling a low risk profile relative to peers. Net interest margin expanded from 3.09% to 3.60% in Q3, driving net profits to $10 million, well above last year’s $7.5 million. While credit quality metrics warrant monitoring, strong asset quality and superior returns on assets and equity justify maintaining a 'buy' rating. Guido Mieth/DigitalVision via Getty Images The last few months have not gone exactly as I thought they would when it comes to Citizens Financial Services (CZFS). This particular play was one that I first wrote aboutThis article was written byDaniel Jones36.07K FollowersFollowDaniel is an avid and active professional investor. He runs Crude Value Insights, a value-oriented newsletter aimed at analyzing the cash flows and assessing the value of companies in the oil and gas space. His primary focus is on finding businesses that are trading at a significant discount to their intrinsic value by employing a combination of Benjamin Graham's investment philosophy and a contrarian approach to the market and the securities therein. Learn more.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.