On May 30, 2023, Senior EVP RICHARDS DAVID Z JR sold 500 shares of Citizens Financial Services Inc (CZFS, Financial), a Pennsylvania-based financial institution. This move comes amidst a year of insider trading activity for the company, with a total of 2 insider buys and 3 insider sells over the past year.
Who is RICHARDS DAVID Z JR?
RICHARDS DAVID Z JR is the Senior Executive Vice President of Citizens Financial Services Inc. He plays a crucial role in the company's management and strategic decision-making processes. Over the past year, RICHARDS DAVID Z JR has sold a total of 710 shares and purchased 0 shares in total.
About Citizens Financial Services Inc
Citizens Financial Services Inc is a financial holding company that operates primarily through its subsidiary, First Citizens Community Bank. The company provides a wide range of banking and financial services, including deposit accounts, loans, and wealth management services to individuals, businesses, and institutions. With a focus on community banking, Citizens Financial Services Inc aims to deliver personalized services and foster local economic growth.
Insider Trading Analysis
Insider trading can provide valuable insights into a company's prospects and management's confidence in the business. In the case of Citizens Financial Services Inc, the past year has seen 2 insider buys and 3 insider sells, including the recent sale by RICHARDS DAVID Z JR. This mixed trading activity may indicate a cautious outlook on the company's future performance.
It is essential to consider the stock price's relationship with insider trading activity. On the day of RICHARDS DAVID Z JR's recent sale, shares of Citizens Financial Services Inc were trading at $78.97 apiece, giving the stock a market cap of $305.969 million.
Valuation
The price-earnings ratio for Citizens Financial Services Inc is 10.47, which is higher than the industry median of 7.91 but lower than the company's historical median price-earnings ratio. This suggests that the stock may be slightly overvalued compared to its peers and its historical trading levels.
With a price of $78.97 and a GuruFocus Value of $66.51, Citizens Financial Services Inc has a price-to-GF-Value ratio of 1.19. This indicates that the stock is modestly overvalued based on its GF Value.
The GF Value is an intrinsic value estimate developed by GuruFocus, calculated based on the following three factors:
- Historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at.
- A GuruFocus adjustment factor based on the company's past returns and growth.
- Future estimates of business performance from Morningstar analysts.
In conclusion, the recent sale of 500 shares by Senior EVP RICHARDS DAVID Z JR may signal a cautious outlook on Citizens Financial Services Inc's future performance. The stock's valuation, as indicated by its price-earnings ratio and price-to-GF-Value ratio, suggests that it is modestly overvalued. Investors should keep an eye on insider trading activity and the company's financial performance to make informed decisions about the stock.
