Citizens Price To Book vs. Return On Equity

CIA Stock  USD 4.44  0.02  0.45%   
Based on Citizens' profitability indicators, Citizens' profitability may be sliding down. It has an above-average chance of reporting lower numbers next quarter. Profitability indicators assess Citizens' ability to earn profits and add value for shareholders. As of December 5, 2024, Price To Sales Ratio is expected to decline to 0.53. In addition to that, Days Sales Outstanding is expected to decline to 6.24. At present, Citizens' Operating Income is projected to increase significantly based on the last few years of reporting. The current year's Net Income is expected to grow to about 25.7 M, whereas Accumulated Other Comprehensive Income is projected to grow to (112.2 M).
For Citizens profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Citizens to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Citizens utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Citizens's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Citizens over time as well as its relative position and ranking within its peers.
  

Citizens' Revenue Breakdown by Earning Segment

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For information on how to trade Citizens Stock refer to our How to Trade Citizens Stock guide.
Is Life & Health Insurance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Citizens. If investors know Citizens will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Citizens listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
0.43
Revenue Per Share
5.002
Quarterly Revenue Growth
0.039
Return On Assets
0.0076
Return On Equity
0.1223
The market value of Citizens is measured differently than its book value, which is the value of Citizens that is recorded on the company's balance sheet. Investors also form their own opinion of Citizens' value that differs from its market value or its book value, called intrinsic value, which is Citizens' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Citizens' market value can be influenced by many factors that don't directly affect Citizens' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Citizens' value and its price as these two are different measures arrived at by different means. Investors typically determine if Citizens is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Citizens' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Citizens Return On Equity vs. Price To Book Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Citizens's current stock value. Our valuation model uses many indicators to compare Citizens value to that of its competitors to determine the firm's financial worth.
Citizens is rated below average in price to book category among its peers. It is number one stock in return on equity category among its peers reporting about  0.11  of Return On Equity per Price To Book. The ratio of Price To Book to Return On Equity for Citizens is roughly  8.77 . At present, Citizens' Return On Equity is projected to slightly decrease based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Citizens' earnings, one of the primary drivers of an investment's value.

Citizens Return On Equity vs. Price To Book

Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.

Citizens

P/B

 = 

MV Per Share

BV Per Share

 = 
1.07 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

Citizens

Return On Equity

 = 

Net Income

Total Equity

 = 
0.12
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.

Citizens Return On Equity Comparison

Citizens is currently under evaluation in return on equity category among its peers.

Citizens Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Citizens, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Citizens will eventually generate negative long term returns. The profitability progress is the general direction of Citizens' change in net profit over the period of time. It can combine multiple indicators of Citizens, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-118.2 M-112.2 M
Operating Income193.5 M203.2 M
Net Income24.4 M25.7 M
Income Tax Expense1.7 M1.7 M
Income Before Tax26.2 M27.5 M
Total Other Income Expense Net-167.4 M-159 M
Net Loss-6 M-5.7 M
Net Income From Continuing Ops24.4 M25.7 M
Change To Netincome12 M12.6 M
Net Income Per Share 0.49  0.52 
Income Quality 0.90  1.05 
Net Income Per E B T 0.93  0.90 

Citizens Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Citizens. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Citizens position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Citizens' important profitability drivers and their relationship over time.

Use Citizens in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Citizens position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Citizens will appreciate offsetting losses from the drop in the long position's value.

Citizens Pair Trading

Citizens Pair Trading Analysis

The ability to find closely correlated positions to Citizens could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Citizens when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Citizens - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Citizens to buy it.
The correlation of Citizens is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Citizens moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Citizens moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Citizens can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Citizens position

In addition to having Citizens in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Cash Cows Thematic Idea Now

Cash Cows
Cash Cows Theme
Entities with stable and reliable earnings or profits, which allows them to pay consistent dividends to their shareholders. The Cash Cows theme has 25 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Cash Cows Theme or any other thematic opportunities.
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When determining whether Citizens offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Citizens' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Citizens Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Citizens Stock:
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For information on how to trade Citizens Stock refer to our How to Trade Citizens Stock guide.
You can also try the Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
To fully project Citizens' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Citizens at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Citizens' income statement, its balance sheet, and the statement of cash flows.
Potential Citizens investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Citizens investors may work on each financial statement separately, they are all related. The changes in Citizens's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Citizens's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.