CZFS Citizens Financial Services Inc.

[lucas03]

Hi,
I haven't seen this stock mentioned here once. However it pops as a suggestion to my portfolio for half a year. 
Some stats:
CZFS Citizens Financial Services Inc. is part of Contender list.
Payout ratio ~40%
Dividend yield 3,13%
P/E 14,64
DGR3 ~33%, DGR5 ~22%, DGR10 ~22%
Pretty stable price (low volatility)
Financials are also ok imho.
What do you think about this stock, why it is not interesting for you? Is there a better one in this sector/industry?
I guess due to recent income statement price jumped to top of 52w.

[EricL]

$177M market cap and average volume traded is 553 shares per day.

No thanks.

[lucas03]

(09-10-2016, 09:49 PM)EricL Wrote: $177M market cap and average volume traded is 553 shares per day.

No thanks.

Thanks for reply. What is your/reasonable minimum traded volume? Would volume also be a factor for you if you had 30-40 years before you actually wanted to withdraw dividends/sell stock?

[EricL]

I'm just wary of investing in something that small with limited liquidity and limited information about the business. 

Look at today for example, there were 41 shares traded...total. That is $2132 worth of trades made in the stock. I have no idea in what increments you plan to invest, or how large of a position you generally hold, but seeing that little liquidity would keep me out of it.

In limited searching, I can't find any analyst coverage on it, and it appears the company has had declining EPS and cash flow the last few years. Unless you are doing some in-depth research and due diligence on your own, I don't know how to value shares or project any future growth, dividends or otherwise.

Now, none of that necessarily means it couldn't be a good investment, it's just not something I would personally be interested in.

[ChadR]

The low liquidity is also what keeps me away from them. If I built up a $10,000 position in them and for some reason needed to sell, it would take me a week and that's even if I could find buyers. Now if I needed to sell $10,000 worth of JNJ, it sells in less than a second.

[lucas03]

makes sense, thank you both. What is minimum liquidity you would invest in?

[EricL]

(09-14-2016, 11:08 AM)lucas03 Wrote: makes sense, thank you both. What is minimum liquidity you would invest in?

I don't have any sort of set minimum, because frankly, it's never come up on the type of stocks that I invest in.

If I had to throw out a number though, I'd say at least a 100k shares per day would be fair. That's at least a couple million dollars worth a day on a $20 stock.