Citizens (CIA) AI Stock Analysis

• Market Cap: $203.62M
• Dividend Yield: N/A
• Average Volume (3M): 109.53K
• Price to Earnings (P/E): 13.8
• Beta (1Y): 0.98
• Revenue Growth: 1.80%
• EPS Growth: -39.04%
• Country: US
• Employees: 247
• Sector: Financial
• Sector Strength: 86
• Industry: Insurance - Life
• EPS (TTM): 0.29
• Shares Outstanding: 49,907,356
• 10 Day Avg. Volume: 76,307
• 30 Day Avg. Volume: 109,532
• PEG Ratio: 0.39
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 0.85
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

CIA's stock reflects a blend of stable financial performance with some areas of concern, particularly in profitability and cash flow. The technical analysis suggests a neutral to slightly bearish outlook, while the valuation appears moderate. The absence of dividend yield and earnings call or corporate event data limits further insights.

Citizens Business Overview & Revenue Model

Company Description

Citizens, Inc. (CIA) is a diversified financial services company primarily engaged in the business of offering life insurance products. It operates through various subsidiaries that focus on providing insurance and related financial services across different geographical regions, including the United States and Latin America. The company's core products include a range of life insurance policies, including whole life, endowment, and final expense insurance, designed to cater to the needs of individuals seeking long-term financial security and estate planning solutions.

How the Company Makes Money

Citizens, Inc. generates revenue through the sale of its life insurance products. The company earns premiums from policyholders in exchange for providing life insurance coverage. These premiums are the primary source of revenue and are collected on a regular basis, usually monthly or annually, depending on the policy terms. Additionally, Citizens, Inc. may earn investment income from managing the reserves generated from these premiums. The company invests these reserves in various financial instruments to generate returns. While the company does not disclose specific partnerships, its earnings are influenced by factors such as market conditions, interest rates, and customer demographics in the regions where it operates.

Citizens Financial Statement Overview

Summary

Citizens exhibits a stable revenue trend with a strong equity base and no debt, indicating financial strength. However, profitability metrics have declined, and cash flow generation has weakened, highlighting areas for improvement in maintaining profitability and enhancing cash flow efficiency.

Income Statement

The revenue has shown a relatively stable trend with a slight growth in the recent year by 1.79%. The gross profit margin remains at 100% due to the nature of the insurance industry, where total revenue equals gross profit. However, the net profit margin has fluctuated, showing a decline in the most recent year to 6.09% from 10.15% in the previous year. The EBIT and EBITDA margins are not meaningful in the most recent year due to zero EBIT and EBITDA.

Balance Sheet

The company exhibits a strong equity position with a high equity ratio of 94.73% in the most recent year. The absence of total debt in the latest fiscal year indicates a conservative capital structure. The debt-to-equity ratio is 0, which reflects no leverage risk. Return on equity is positive at 7.09%, signaling profitability but has decreased from the previous year. The company's balance sheet is robust but shows a decrease in total assets and stockholders' equity.

Cash Flow

The free cash flow growth rate dropped significantly by 72.94% compared to the previous year, reflecting a decrease in cash generation. The operating cash flow to net income ratio is 0.40, indicating that operating cash flow covers net income. The free cash flow to net income ratio is 0.39, pointing to decent cash conversion, but overall cash flow generation has decreased.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
245.00M	240.68M	232.52M	250.55M	238.86M
	Gross Profit
245.00M	240.68M	232.52M	250.55M	238.86M
	EBIT
0.00	193.55M	-7.07M	4.44M	-75.84M
	EBITDA
0.00	27.29M	27.91M	-5.55M	0.00
	Net Income Common Stockholders
14.91M	24.44M	-7.50M	-50.16M	-10.99M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
20.60M	27.00M	1.20B	1.50B	1.52B
	Total Assets
222.09M	1.67B	1.57B	1.85B	1.84B
	Total Debt
0.00	9.07M	10.12M	10.83M	11.97M
	Net Debt
-4.27M	-27.00M	-12.86M	-16.47M	-22.16M
	Total Liabilities
1.47B	1.50B	1.57B	1.53B	1.54B
	Stockholders Equity
210.35M	172.13M	1.04M	320.57M	300.94M
Cash Flow		Free Cash Flow
5.85M	21.61M	56.82M	39.45M	48.61M
	Operating Cash Flow
5.95M	22.06M	56.92M	40.45M	48.83M
	Investing Cash Flow
4.82M	-14.50M	-60.74M	-41.08M	-61.81M
	Financing Cash Flow
-10.40M	-3.54M	-499.00K	-6.21M	904.00K

Citizens Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CIA, the sentiment is Negative. The current price of 4.05 is below the 20-day moving average (MA) of 4.21, below the 50-day MA of 4.50, and below the 200-day MA of 4.17, indicating a bearish trend. The MACD of -0.10 indicates Positive momentum. The RSI at 43.48 is Neutral, neither overbought nor oversold. The STOCH value of 19.91 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CIA.

Citizens Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GNW	66 Neutral	$2.89B	14.00	2.73%	―	0.98%	156.14%
Sector *	64 Neutral	$12.52B	9.82	7.95%	16985.69%	12.70%	-4.60%
CIA	59 Neutral	$203.62M	13.81	7.80%	―	1.80%	-39.04%
CNO	59 Neutral	$3.83B	13.35	12.47%	1.68%	-0.43%	-16.22%
BHF	49 Neutral	$3.42B	11.14	7.84%	―	14.74%	―
AAME	48 Neutral	$31.84M	―	-4.13%	1.27%	0.77%	-720.07%
ABL	48 Neutral	$784.05M	―	-8.15%	―	103.34%	-866.41%

Citizens Corporate Events

Citizens Board Accepts CEO Resignation Effective April 15

On April 2, 2025, Gerald W. Shields, the former CEO and only non-independent director of Citizens, Inc., submitted his resignation from the Board of Directors. The Board accepted his resignation on April 9, 2025, and set the effective date for April 15, 2025. Shields’ resignation was not due to any disagreement with the company’s operations, policies, or practices.

Spark’s Take on CIA Stock

According to Spark, TipRanks’ AI Analyst, CIA is a Neutral.

Citizens Insurance exhibits financial strength with no debt and a robust equity position, which is a significant positive factor. However, the declining profitability and cash flow metrics need attention. The technical indicators suggest a neutral to bearish outlook, which could pressure the stock in the short term. The valuation appears fair, but the absence of dividends might limit its appeal to some investors. Overall, while the company is financially stable, the stock’s short-term prospects are tempered by current technical signals and profitability concerns.

To see Spark’s full report on CIA stock, click here.