What is Citizens Holding Co Probability of Financial Distress (%)?
Probability of Financial Distress (%) measures the probability that a company will go bankrupt in the upcoming year given its current financial position. A higher ratio indicates a larger probability of bankruptcy for the company, while a lower ratio indicates a healthier fundamental. As of today, Citizens Holding Co's Probability of Financial Distress (%) is 0.10%.
Like the Altman Z-Score, the PFD measures a company's bankruptcy risk. However, the main drawback of the Z-score is it does not apply to banks and insurance companies. According to Investopedia, the concept of "working capital" does not apply to banks and insurance companies, as financial institutions do not have typical current assets or current liabilities like inventories or accounts payable.
Competitive Comparison of Citizens Holding Co's Probability of Financial Distress (%)
For the Banks - Regional subindustry, Citizens Holding Co's Probability of Financial Distress (%), along with its competitors' market caps and Probability of Financial Distress (%) data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Citizens Holding Co's Probability of Financial Distress (%) Distribution in the Banks Industry
For the Banks industry and Financial Services sector, Citizens Holding Co's Probability of Financial Distress (%) distribution charts can be found below:
* The bar in red indicates where Citizens Holding Co's Probability of Financial Distress (%) falls into.
Citizens Holding Co Probability of Financial Distress (%) Calculation
Probability of Financial Distress (%) (PFD) was developed by John Campbell, Jens Hilscher and Jan Szilagyi in their Search of Distress Risk. It measures the probability that a company will go bankrupt within the next 12 months given its current financial position.
The Probability of Financial Distress (%) was obtained by a logit probability model based on eight explanatory variables. The logit formula to compute the probability of financial distress (LPFD) is given below:
| LPFD | = | -20.12 * NIMTAAVG | + | 1.60 * TLMTA | - | 7.88 * EXRETAVG | + | 1.55 * SIGMA | - | 0.005 * RSIZE | - | 2.27 * CASHMTA | + | 0.070 * MB | - | 0.09 * PRICE | - | 8.87 |
| = | -6.93 |
The Probability of Financial Distress (%) (PFD) was then obtianed by:
| PFD | = | 1 | / | (1 + e^(-LPFD)) | * | 100% |
| = | 0.10% |
The eight explanatory variables are:
1. NIMTAAVG = Net Income to Market Total Assets
*Note that for companies reported quarterly, geometrically declining weighted quarterly Net Income data in latest four quarters are used.
2. TLMTA = Total liabilities to Market Total Assets
3. CASHMTA = Cash to Market Total Assets
For banks, CASHMTA is measured as:
4. EXRETAVG = Excess Return compared to the S&P 500
EXRETAVG is the weighted excess return compared to the S&P 500 in past 12 month. Geometrically declining weights are imposed on the monthly excess return to reflect lagged information. The weight is halved each quarter.
5. SIGMA = Standard Deviation of Daily Returns
For sigma, we use the annualized standard deviation of a company's returns over the past 92 days (or 63 trading days).
6. RSIZE = Relative Size
| RSIZE | = | log (Market Cap | / | Total Market Cap of S&P 500 companies) |
7. MB = Market to Adjusted Book Equity Ratio
8. PRICE
PRICE is measured as the log of the stock price, capped at log(15).
Citizens Holding Co (Citizens Holding Co) Business Description
Traded in Other Exchanges
N/A
Address
521 Main Street, Philadelphia, MS, USA, 39350
Citizens Holding Co is a bank holding company. Through its subsidiary, it engages in various commercial and personal banking activities, such as accepting demand deposits, savings, and time deposit accounts, making secured and unsecured loans, issuing letters of credit, originating mortgage loans, and providing personal and corporate trust services. The firm also provides certain services that are closely related to commercial banking, such as credit life insurance and title insurance for its loan customers. It also involves providing lending activities which include commercial, real estate, installment, and credit card loans. Most of its revenues are derived from lending activities.
Executives
| Vincent Craig Dungan |
director |
5401 WESTMINSTER DRIVE, MERIDIAN MS 39305-9559 |
| Herbert A King |
director |
101 LITTLEJOHN LANE, STARKVILLE MS 39759 |
| Phillip R Branch |
officer: Chief Financial Officer |
521 MAIN STREET, PHILADELPHIA MS 39350 |
| Jane D. Crosswhite |
director |
10140 ROAD 377, PHILADELPHIA MS 39350 |
| Stacy M Brantley |
director, other: CEO of The Citizens Bank |
521 MAIN STREET, PHILADELPHIA MS 39350 |
| Gregory E. Cronin |
director, officer: Gulf Cost President |
521 MAIN STREET, PHILADELPHIA MS 39350 |
| Jason Voyles |
director |
177 SAINT ANDREWS DRIVE, JACKSON MS 39211 |
| Gregory Lyle Mckee |
director, officer: President and CEO |
11360 HIGHWY 16 EAST, PHILADELPHIA PA 39350 |
| David Peebles Webb |
director |
613 INGLENOOK COURT, MADISON MS 39110 |
| David Anderson King |
director |
1006 EDGEWATER LANE, PHILADELPHIA MS 39350 |
| Robert Townsend Smith |
officer: Treasurer and CFO |
|
| Terrell Elton Winstead |
director |
10100 ROAD 2230, UNION MS 39365 |
| Daniel Adam Mars |
director |
518 POPLAR AVENUE, PHILADELPHIA MS 39350 |
| Amzie Thomas Williams |
director |
900 MAPLE AVENUE, PHILADELPHIA MS 39350 |
| Joe Steve Webb |
director |
534 POPLAR AVENUE, PHILADELPHIA MS 39350 |
Citizens Holding Co (Citizens Holding Co) Headlines
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