Form 4: Capital Bancorp Executive Eric Suss Boosts Stake Through Planned Stock Acquisitions

Capital Bancorp Inc.'s EVP and CHRO, Eric M. Suss, has reported multiple acquisitions of common stock through a pre-arranged 10b5-1 plan, increasing his direct beneficial ownership to 59,323 shares.

Summary

• Eric M. Suss, Executive Vice President and Chief Human Resources Officer (EVP and CHRO) of Capital Bancorp Inc. (CBNK), reported changes in his beneficial ownership of company securities.
• Between August 21, 2024, and May 28, 2025, Mr. Suss acquired a total of 758 shares of Common Stock through a combination of a broker's dividend reinvestment program (Rule 16a-6 small acquisitions) and open market purchases.
• The acquisitions were executed at prices ranging from $24.51 to $32.85 per share.
• Following these transactions, Mr. Suss's direct beneficial ownership of Common Stock increased to 59,323 shares.
• The reported transactions were made pursuant to a Rule 10b5-1(c) contract, instruction, or written plan for the purchase of equity securities.
• Mr. Suss also holds various derivative securities, including stock options and Restricted Stock Units (RSUs).
• Stock options held include 4,125 shares with a strike price of $26.41 (vesting from 12/31/2022, expiring 12/31/2026), 4,295 shares at $23.54 (vesting from 01/01/2024, expiring 01/01/2028), 4,460 shares at $24.20 (vesting from 01/01/2025, expiring 01/01/2029), and 3,383 shares at $30.51 (vesting from 03/03/2026, expiring 03/03/2030).
• A previous grant of stock options for 0 shares at a strike price of $13.89 (vesting from 12/31/2021, expiring 12/31/2025) is also listed, indicating no current beneficial ownership.
• He holds 912 Restricted Stock Units, each representing the right to receive one share of common stock, which will vest in four equal annual installments beginning March 3, 2026.

Sentiment

Score: 7

Explanation: The sentiment is positive due to the executive's consistent acquisition of company stock, indicating confidence. The transactions being part of a 10b5-1 plan further reinforces a strategic, long-term view.

Positives

• The EVP and CHRO, Eric M. Suss, increased his direct beneficial ownership of Capital Bancorp Inc. common stock by acquiring 758 shares through planned transactions.
• The acquisitions were made under a Rule 10b5-1 plan, indicating pre-scheduled purchases rather than reactive trading, which can signal long-term confidence.
• The executive maintains significant equity exposure through both common stock holdings and various tranches of stock options and Restricted Stock Units, aligning his interests with shareholders.

Future Outlook

The document outlines future vesting schedules for existing stock options and Restricted Stock Units, with vesting periods extending through 2026 for RSUs and up to 2030 for some stock options. The reported stock acquisitions were part of a pre-arranged plan, indicating a continued, systematic increase in the executive's direct equity stake.

Industry Context

This Form 4 filing provides specific details on an executive's equity transactions within Capital Bancorp Inc., a financial institution. Such insider buying, particularly when pre-planned under a 10b5-1 program, is generally viewed as a positive signal of management's confidence in the company's future performance within the banking sector.

Stakeholder Impact

• Shareholders: Increased alignment of executive interests with shareholder value due to increased direct stock ownership and long-term equity incentives.
• Employees: May signal stability and confidence in the company's future from top management.

Next Steps

• Continued vesting of 4,125 stock options with a strike price of $26.41 until their expiration on December 31, 2026.
• Continued vesting of 4,295 stock options with a strike price of $23.54 until their expiration on January 1, 2028.
• Continued vesting of 4,460 stock options with a strike price of $24.20 until their expiration on January 1, 2029.
• Continued vesting of 3,383 stock options with a strike price of $30.51 until their expiration on March 3, 2030.
• Continued vesting of 912 Restricted Stock Units in four equal annual installments beginning March 3, 2026.

Key Dates

Recommendation

Keywords

Capital Bancorp, CBNK, Form 4, Insider Trading, Stock Acquisition, Equity Compensation, 10b5-1 Plan, Dividend Reinvestment, Stock Options, Restricted Stock Units, Executive Ownership