Form 4: CFO Joel Edwards Sells 7,000 CCB Shares via 10b5-1 Plan

Coastal Financial Corp's CFO, Joel G. Edwards, sold 7,000 shares of common stock over three days in September 2025, pursuant to a pre-arranged 10b5-1 trading plan.

Summary

• Joel G. Edwards, Chief Financial Officer of Coastal Financial Corp (CCB), reported the sale of 7,000 shares of common stock.
• The sales occurred on September 10, 2025 (2,000 shares at $110.96), September 11, 2025 (3,000 shares at $111.71), and September 12, 2025 (2,000 shares at $110.59).
• These transactions were executed under a Rule 10b5-1 trading plan, which was adopted on June 12, 2025.
• Following these sales, Mr. Edwards beneficially owns 36,187 shares of common stock.
• The remaining beneficial ownership includes 8,721 time-based Restricted Stock Units (RSUs) from the Coastal Financial Corporation 2018 Omnibus Incentive Plan.
• These RSUs are scheduled to vest in three tranches: 3,065 RSUs on January 25, 2026; 1,424 RSUs on February 5, 2026; and 4,232 RSUs on April 1, 2026, in accordance with his retirement and retention agreement.

Sentiment

Score: 5

Explanation: The sentiment is neutral. While insider selling can sometimes be viewed negatively, the execution under a pre-arranged 10b5-1 plan mitigates concerns of opportunistic trading. It represents a routine personal financial planning event for an executive.

Positives

• The stock sales were conducted under a pre-arranged Rule 10b5-1 trading plan, which indicates the transactions were scheduled in advance and not based on new, non-public information, mitigating concerns about opportunistic insider selling.
• Mr. Edwards retains a significant number of shares and Restricted Stock Units, aligning his interests with long-term shareholder value.

Negatives

• The Chief Financial Officer's direct beneficial ownership of common stock decreased by 7,000 shares, which could be perceived negatively by some investors as a reduction in insider stake.

Risks

• No specific risks were explicitly mentioned in the filing beyond the general market perception of insider selling, even when pre-planned.

Future Outlook

The Chief Financial Officer has 8,721 Restricted Stock Units scheduled to vest in tranches on January 25, 2026, February 5, 2026, and April 1, 2026, as part of his retirement and retention agreement.

Management Comments

• The sales reported were effected pursuant to a Rule 10b5-1 trading plan dated June 12, 2025, adopted by the reporting person.

Industry Context

Form 4 filings are routine disclosures for corporate insiders detailing changes in their beneficial ownership. The use of a Rule 10b5-1 trading plan is a common practice among executives to manage personal stock sales in a compliant manner, demonstrating adherence to insider trading regulations.

Comparison to Industry Standards

• NA

Corporate Governance

Stakeholder Impact

• Shareholders: May observe a reduction in direct insider ownership, but the 10b5-1 plan context suggests a planned, non-event-driven transaction.
• Employees: No direct impact indicated by this filing.
• Customers: No direct impact indicated by this filing.
• Suppliers: No direct impact indicated by this filing.
• Creditors: No direct impact indicated by this filing.

Next Steps

• Vesting of 3,065 Restricted Stock Units on January 25, 2026.
• Vesting of 1,424 Restricted Stock Units on February 5, 2026.
• Vesting of 4,232 Restricted Stock Units on April 1, 2026.

Key Dates

Recommendation

The filing details routine insider sales by the CFO under a pre-arranged 10b5-1 trading plan. This type of transaction is generally not indicative of new material information and is often for personal financial planning. While it reduces direct insider ownership, it does not suggest a fundamental change in the company's prospects. Therefore, a 'hold' recommendation is appropriate as this filing alone does not provide a strong basis for a 'buy' or 'sell' decision.

Keywords

Coastal Financial Corp, CCB, Joel G. Edwards, CFO, Insider Selling, Form 4, 10b5-1 Plan, Stock Sale, Restricted Stock Units, RSUs, Beneficial Ownership