CITIZENS HOLDING COMPANY (CIZN)

Financial Services · Banking · Price $1.00
Updated: Aug 24, 2026
CIZN Stock Rating

Is CITIZENS HOLDING COMPANY a Quality Business?

Analyzing business fundamentals using proven investment principles

39/100
Zyberno Score
Weak Business Quality

Weak fundamentals with mixed indicators requiring careful analysis

📚 How We Measure Business Quality

The Zyberno Score answers one question: "Is this a quality business worth owning?" We analyze 16 fundamental metrics across four key dimensions, using principles from Warren Buffett, Benjamin Graham, Peter Lynch, and Charlie Munger. Each category is worth 25 points for a total of 100.
This score measures business quality only — not whether the stock is cheap, what return you'll get, or when to buy. For that, see the Valuation Trilogy below.

?/25
Profitability
Does it generate strong returns?
Buffett's Focus: High returns on equity and invested capital indicate a durable competitive advantage or "moat." Great businesses earn more with less capital.
Return on Equity (ROE) ROENet income divided by shareholder equity. Measures how efficiently a company uses investor capital to generate profits.Excellent: >20% | Good: >15% 15.4%
Return on Invested Capital ROICOperating profit divided by total invested capital. Shows how well a company allocates capital to profitable investments.Excellent: >20% | Good: >15% 0.1%
Net Profit Margin Net MarginNet income as a percentage of revenue. Higher margins indicate pricing power and operational efficiency.Excellent: >20% | Good: >12% 48.8%
Operating Margin Operating MarginOperating income as a percentage of revenue. Measures core business profitability before interest and taxes.Excellent: >25% | Good: >15% 56.6%
?/25
Financial Strength
Can it survive tough times?
Graham's Principle: Low debt, strong liquidity, and adequate interest coverage protect against bankruptcy and provide stability during economic downturns.
Debt-to-Equity Ratio D/E RatioTotal debt divided by shareholder equity. Lower values indicate less reliance on borrowed money to fund operations.Excellent: <0.3x | Good: <0.5x 0.15x
Current Ratio Current RatioCurrent assets divided by current liabilities. Measures ability to pay short-term obligations within one year.Excellent: >2.0x | Good: >1.5x 0.01x
Interest Coverage Interest CoverageOperating income divided by interest expense. Shows how easily a company can pay interest on its debt.Excellent: >10x | Good: >5x 0.3x
Altman Z-Score Altman Z-ScoreBankruptcy prediction formula combining profitability, leverage, liquidity, and solvency ratios.Safe: >3.0 | Gray zone: 1.8-3.0 -0.87
?/25
Cash Flow Quality
Is the profit real?
Munger's Test: "Show me the cash." Accounting profits can be manipulated, but cash flow doesn't lie. Great businesses generate real, spendable cash.
Free Cash Flow Free Cash FlowOperating cash flow minus capital expenditures. The actual cash available after maintaining the business.Excellent: Positive and growing $8.54M
OCF vs Net Income Cash vs EarningsOperating cash flow divided by net income. Values above 1.0 mean cash earnings exceed accounting earnings - a sign of quality.Excellent: >1.2x | Good: >1.0x 0.10x
FCF Margin FCF MarginFree cash flow as a percentage of revenue. Shows how much real cash profit is generated per dollar of sales.Excellent: >15% | Good: >10% 81.0%
Cash Conversion Cycle Cash ConversionDays between paying suppliers and receiving cash from customers. Lower is better - means faster cash collection.Excellent: <30 days | Good: <60 days -999 days
?/25
Growth & Consistency
Is it getting better?
Lynch's Approach: Sustainable growth matters. We use log-linear regression to identify consistent long-term trends, not just year-over-year noise.
Revenue Growth (5yr) Revenue GrowthAnnualized revenue growth rate using log-linear regression over 5 years. Smooths out year-to-year volatility.Excellent: >15% | Good: >10% -2.4%
Net Income Growth (5yr) Profit GrowthAnnualized net income growth rate using log-linear regression. Shows whether profits are consistently expanding.Excellent: >15% | Good: >10% -31.1%
FCF Growth (5yr) Cash Flow GrowthAnnualized free cash flow growth rate. Growing FCF means the business generates more real cash over time.Excellent: >15% | Good: >10% 2.5%
Piotroski F-Score Piotroski F-Score9-point checklist measuring profitability, leverage, and efficiency improvements. Higher scores indicate stronger fundamentals.Excellent: 8-9 | Good: 6-7 4/9

💡 Quality Is Only Half the Picture

A high quality score means CIZN shows strong business fundamentals. But even the best business can be a poor investment at the wrong price. As Warren Buffett says: "Price is what you pay, value is what you get."

To complete your analysis, examine our Valuation Trilogy:

37.3%
Strong Discount
-50% (Overvalued) 0% (Fair Value) +50% (Undervalued)
CIZN is trading at 37.3% below its estimated intrinsic value
💎
Intrinsic Value
$93.90M
What is the business actually worth?
🛡
Margin of Safety
37.3%
How much discount are you getting?
🎯
Expected Annual Return
11.3%
What return might you earn?

📈 Price Action Check

Market trend context — not part of the Zyberno Score

12-1 Momentum
+35.3%
Momentum Percentile
58 / 100
% of 52-Week High
95.7%
Neutral Momentum

The price trend is unremarkable in either direction — momentum neither confirms nor contradicts the quality and valuation signals above. Full momentum analysis →

View Full CIZN Report Find More Quality Stocks

Conclusion: Is CIZN a Good Stock?

According to Zyberno's analysis, CITIZENS HOLDING COMPANY (CIZN) is a Weak Business, earning a Zyberno Score of 39/100.

What drives CIZN's score

Zyberno's analysis of CIZN's fundamentals identifies the following key drivers. An ROE of 15.4% exceeds the 15% quality threshold, suggesting CITIZENS HOLDING COMPANY efficiently converts equity into profit. ROIC of 0.1% raises questions about capital allocation efficiency. A net margin of 48.8% is exceptional — CITIZENS HOLDING COMPANY keeps 49 cents of profit from every dollar of revenue after all expenses. With a debt-to-equity ratio of 0.15x, CITIZENS HOLDING COMPANY carries minimal leverage — a sign of financial conservatism that reduces risk in economic downturns. An interest coverage ratio of 0.3x indicates limited margin above debt obligations — a potential concern. A free cash flow margin of 81.0% is impressive, demonstrating that CITIZENS HOLDING COMPANY converts a significant share of revenue into real cash available to shareholders. Revenue has contracted at approximately 2.4% annually over the past five years, a trend Zyberno's model treats as a concern. A Piotroski F-Score of 4/9 is mixed, with some positive and some negative financial health signals.

According to Zyberno's valuation model, at its current price of $1.00, CIZN appears to be significantly undervalued compared to an estimated intrinsic value per share of $16.76, offering a margin of safety of 37.3%. This combination of strong fundamentals and attractive pricing is what value investors look for. Based on current pricing and fundamentals, Zyberno's model estimates a 5-year annual return of 11.3%.

Zyberno's score and valuation reflect the direct output of the model — business quality from fundamentals, margin of safety from owner earnings, Brina Gap from the reverse DCF. The numbers are not adjusted toward the current price, analyst ratings, or market sentiment. The score measures the quality of the business. The valuation measures the price you pay for it.

Zyberno Verdict

According to Zyberno's model, CITIZENS HOLDING COMPANY (CIZN) is discounted but fundamentally weak — a Weak Business (39/100) trading below intrinsic value with a Margin of Safety of 37.3%, but business quality significantly limits conviction.

❓ Frequently Asked Questions

What does CIZN's Zyberno Score of 39/100 mean?

According to Zyberno's scoring model, a score of 39/100 places CITIZENS HOLDING COMPANY in the Weak Business category — weak fundamentals with mixed indicators requiring careful analysis. Zyberno's model scores 75–100 as excellent, 65–74 as good, 50–64 as average, 30–49 as below average, and below 30 as poor, based on the investment frameworks of Buffett, Graham, Lynch, and Munger. Note that a high quality score measures business fundamentals, not whether the stock is currently priced attractively — for that, see the margin of safety analysis.

What makes a stock "high quality"?

A high-quality stock typically exhibits: strong returns on equity and invested capital (indicating competitive advantages), healthy profit margins, low debt levels, ample liquidity, consistent cash flow generation, and sustainable growth. We analyze 16 key metrics across four categories - Profitability (ROE, ROIC, margins), Financial Strength (debt, liquidity, coverage), Cash Flow Quality (FCF, OCF vs earnings), and Growth & Consistency (revenue/profit trends, Piotroski score) - drawing from the investment philosophies of Buffett, Graham, Lynch, and Munger.

How is the quality score different from a stock rating?

Our quality score measures business fundamentals - how well the company operates, generates profits, and maintains financial health. Unlike analyst "buy/sell" ratings, we don't tell you whether to purchase the stock. A company can have excellent quality (great business) but poor investment potential (if overpriced), or vice versa. For valuation analysis, see our Margin of Safety page.

Why do you use Owner Earnings instead of regular earnings?

Owner Earnings, a concept popularized by Warren Buffett, represents the true cash available to shareholders after maintaining the business. Unlike accounting earnings, which can be manipulated through depreciation schedules and accruals, Owner Earnings = Operating Cash Flow minus Maintenance Capital Expenditures. This gives a clearer picture of what a business actually generates for its owners. Learn more about CIZN's Owner Earnings.

How often is the quality score updated?

Quality scores are recalculated whenever new financial data becomes available, typically after quarterly earnings reports. The underlying metrics (ROE, ROIC, debt ratios, etc.) come from company filings and are updated as soon as they're reported. For the most comprehensive and up-to-date data, visit the full CIZN stock report.

📊 Full CIZN Stock Report

Complete financial data, charts, all 250+ metrics, and detailed analysis for CITIZENS HOLDING COMPANY.

🎯 CIZN Earnings Surprise (SUE)

See whether CITIZENS HOLDING COMPANY is beating or missing its own earnings trend — Standardized Unexpected Earnings and post-earnings drift.

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DISCLAIMER: Zyberno's financial tools, stock screeners, investment calculators, and market indicators are for educational purposes only and do not constitute financial advice. Data may be delayed, incomplete, or inaccurate. All investments involve risk, including loss of principal. Past performance of stocks and other securities does not guarantee future results. Before making investment decisions, consult with a qualified financial professional.
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