Form 4: Arrow Financial Director Acquires Restricted Stock

Kristine D. Duffy, a Director at Arrow Financial Corp, acquired 818 shares of common stock as restricted stock, vesting over three years.

Summary

• Kristine D. Duffy, a Director of Arrow Financial Corp (AROW), acquired 818 shares of common stock.
• The transaction occurred on January 28, 2026, at a price of $32.43 per share.
• These shares are restricted stock, vesting in three equal installments on January 28, 2027, January 28, 2028, and January 28, 2029.
• Following this transaction, Ms. Duffy directly beneficially owns 5,956 shares of common stock.
• An additional 1,021 shares are indirectly held by her spouse, for which Ms. Duffy disclaims beneficial ownership.
• The filing also notes the acquisition of 9 shares under the Company's Dividend Reinvestment Plan (DRIP) since October 8, 2025, which were not previously required to be reported on a Form 4.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a moderately positive signal, as insider acquisition, even if compensation-related, generally indicates confidence in the company's future prospects and aligns director interests with shareholders.

Positives

• An insider, Kristine D. Duffy, acquired 818 shares of common stock, indicating continued alignment with shareholder interests.
• The acquisition is in the form of restricted stock, which typically serves as a long-term incentive for directors.

Future Outlook

The filing details the vesting schedule for the restricted stock, indicating future ownership changes on January 28, 2027, January 28, 2028, and January 28, 2029.

Industry Context

StockSavvy.ai notes that restricted stock grants to directors are a standard practice in the financial services industry, aligning director incentives with long-term shareholder value. This type of compensation is common for publicly traded banks and financial institutions like Arrow Financial Corp, aiming to retain experienced leadership and encourage sustained performance.

Comparison to Industry Standards

• This restricted stock grant is consistent with typical director compensation structures observed across the U.S. banking sector.
• Similar grants are often seen at regional banks such as Community Bank System (CBU) or Tompkins Financial Corporation (TMP), where equity-based awards are used to incentivize long-term commitment and performance.
• The vesting schedule over three years is also a common practice, ensuring a sustained link between director tenure and company performance.

Stakeholder Impact

• Shareholders: The acquisition of restricted stock by a director aligns management's interests with shareholders, potentially fostering long-term value creation.

Next Steps

• The restricted stock will vest in three equal installments on January 28, 2027, January 28, 2028, and January 28, 2029.

Key Dates

Keywords

Arrow Financial Corp, AROW, Insider Transaction, Form 4, Restricted Stock, Director Compensation, Equity Acquisition, Beneficial Ownership