Citizens & Northern (CZNC) AI Stock Analysis

• Market Cap: $301.37M
• Dividend Yield: 5.76%
• Average Volume (3M): 31.40K
• Price to Earnings (P/E): 11.2
• Beta (1Y): 0.73
• Revenue Growth: 8.59%
• EPS Growth: 14.56%
• Country: US
• Employees: 386
• Sector: Financial
• Sector Strength: 73
• Industry: Banks - Regional
• EPS (TTM): 0.40
• Shares Outstanding: 15,494,591
• 10 Day Avg. Volume: 26,679
• 30 Day Avg. Volume: 31,396
• PEG Ratio: 2.94
• Price to Book (P/B): 1.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 10.46
• Enterprise Value/Market Cap: 1.21
• Enterprise Value/Revenue: 0.60
• Enterprise Value/Gross Profit: 3.42
• Enterprise Value/Ebitda: 2.79
• 1Y Price Target: $21.00
• Price Target Upside: 9.43% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 79 Outperform
• Price Target: $22.50 ▲(17.25%Upside)

Citizens & Northern's strong financial performance and attractive valuation are the main drivers of its stock score. The company's solid profitability, effective cost management, and high dividend yield are significant strengths. Technical analysis presents a mixed view, suggesting potential short-term consolidation but not indicating any major weakness. Overall, the stock is well-positioned, though monitoring debt levels and cash flow variability is advised.

Citizens & Northern Business Overview & Revenue Model

Company Description

Citizens & Northern Corporation operates as the bank holding company for Citizens & Northern Bank that provides a range of banking and mortgage services to individual and corporate customers. The company offers lending products include commercial, mortgage, and consumer loans, as well as specialized instruments, such as commercial letters-of-credit; and deposit products, including various types of checking accounts, passbook and statement savings accounts, money market accounts, interest checking accounts, individual retirement accounts, and certificates of deposits. It also offers wealth management services, including administration of trusts and estates, retirement plans, and other employee benefit plans, and investment management services; and a range of personal and commercial insurance products; mutual funds, annuities, educational savings accounts, and other investment products through registered agents. In addition, the company reinsures credit and mortgage, life and accident, and health insurance products. As of December 31, 2021, it had 31 branch offices, including 23 in the Northern tier/Northcentral region of Pennsylvania, 2 in the Southern tier of New York State, 4 in Southeastern Pennsylvania, and 2 in Southcentral Pennsylvania, as well as a lending office in Elmira, New York. The company was founded in 1864 and is based in Wellsboro, Pennsylvania.

How the Company Makes Money

Citizens & Northern makes money through interest income, fees, and service charges. The primary revenue stream comes from interest earned on a variety of loans, including commercial, residential, and consumer loans, as well as investment securities. Additionally, the bank generates non-interest income through service charges on deposit accounts, fees from wealth management and trust services, and other financial products. The bank's strategic location in Pennsylvania and New York facilitates regional market penetration, while its partnerships with local businesses and communities help drive customer engagement and retention.

Citizens & Northern Financial Statement Overview

Summary

Citizens & Northern shows strong financial performance with a robust income statement, healthy balance sheet, and commendable cash flow management. Consistent revenue growth and strong profitability are evident, though increasing debt levels and variability in cash flow growth require careful monitoring.

Income Statement

Citizens & Northern showed strong income statement metrics with consistent revenue growth and stable profitability. The TTM (Trailing-Twelve-Months) Gross Profit Margin is healthy at approximately 67.7%, indicating efficient cost management. The Net Profit Margin stands at about 17.1%, reflecting solid bottom-line performance. Revenue growth has been steady over the past years, with a notable increase from 2022 to 2025. However, EBIT and EBITDA margins have seen slight fluctuations, indicating some volatility in operating efficiencies.

Balance Sheet

The balance sheet is robust with a reasonable Debt-to-Equity Ratio of 0.69 as of the latest TTM, suggesting prudent financial leverage. The Return on Equity is strong at about 9.6%, showcasing effective use of equity financing. The Equity Ratio is approximately 10.8%, highlighting a stable capital structure. However, the total debt has increased over the years, which could pose potential risks if not managed carefully.

Cash Flow

Cash flows are well-managed, with a positive Free Cash Flow to Net Income Ratio of around 1.01, indicating strong cash generation relative to earnings. The Operating Cash Flow to Net Income Ratio at approximately 1.07 further supports the company's solid cash flow position. However, the Free Cash Flow Growth Rate has been uneven, reflecting some variability in cash flow generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	157.28M	155.47M	136.24M	115.48M	108.95M	100.44M
Gross Profit	106.40M	104.31M	102.95M	98.70M	98.73M	86.93M
EBITDA	35.34M	34.05M	32.63M	34.74M	39.82M	25.19M
Net Income	26.95M	25.96M	24.15M	26.62M	30.55M	19.22M
Balance Sheet
Total Assets	2.61B	2.61B	2.52B	2.45B	2.33B	2.24B
Cash, Cash Equivalents and Short-Term Investments	523.20M	348.61M	472.63M	553.08M	622.63M	451.19M
Total Debt	194.77M	207.67M	211.76M	181.78M	77.56M	91.18M
Total Liabilities	2.33B	2.34B	2.25B	2.20B	2.03B	1.94B
Stockholders Equity	281.83M	275.28M	262.38M	249.32M	301.40M	299.76M
Cash Flow
Free Cash Flow	27.18M	31.13M	31.28M	31.31M	32.98M	21.65M
Operating Cash Flow	28.89M	33.03M	33.55M	34.60M	34.84M	24.78M
Investing Cash Flow	-6.48M	-20.94M	-53.20M	-234.69M	-103.89M	96.58M
Financing Cash Flow	47.38M	58.70M	24.73M	151.94M	68.88M	-56.47M

Citizens & Northern Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 19.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CZNC, the sentiment is Positive. The current price of 19.19 is below the 20-day moving average (MA) of 19.70, above the 50-day MA of 19.15, and below the 200-day MA of 19.54, indicating a neutral trend. The MACD of 0.08 indicates Positive momentum. The RSI at 49.98 is Neutral, neither overbought nor oversold. The STOCH value of 19.21 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CZNC.

Citizens & Northern Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CZNC	79 Outperform	$301.37M	11.18	9.74%	5.76%	8.59%	14.56%
NECB	75 Outperform	$309.92M	6.60	14.25%	3.85%	4.02%	-0.62%
BCML	74 Outperform	$303.02M	12.63	7.50%	2.21%	1.75%	2.76%
CIVB	73 Outperform	$379.56M	7.99	10.02%	3.27%	6.20%	18.80%
PBFS	73 Outperform	$319.03M	17.44	6.04%	―	16.29%	-12.22%
FSBW	73 Outperform	$310.36M	9.58	11.35%	2.72%	5.13%	-6.84%
Sector *	67 Neutral	$17.09B	11.28	9.28%	3.81%	11.08%	-4.02%

Citizens & Northern Corporate Events

Citizens & Northern Announces Merger with Susquehanna

On April 23, 2025, Citizens & Northern Corporation (C&N) announced a merger agreement with Susquehanna Community Financial, Inc. (SQCF), where SQCF will merge into C&N, and Susquehanna Community Bank will merge into Citizens & Northern Bank. The merger, expected to close in the fourth quarter of 2025, will result in a combined entity with approximately $3.2 billion in assets, enhancing C&N’s market presence in Pennsylvania. The merger is anticipated to be accretive to earnings per share by 17% in 2026, with SQCF shareholders receiving 0.80 shares of C&N common stock for each SQCF share. The merger aims to expand C&N’s market reach, diversify its loan portfolio, and improve service offerings.