Form 4: PGC CFO Cavallaro Boosts Holdings with New Equity Grants

Peapack Gladstone Financial Corp's SEVP & CFO, Frank A. Cavallaro, reported the acquisition of common stock through RSU vesting and significant new equity grants.

Summary

• Frank A. Cavallaro, SEVP & Chief Financial Officer of Peapack Gladstone Financial Corp (PGC), reported multiple equity transactions on March 20, 2026.
• Acquired 1,615 shares of common stock from the vesting of Restricted Stock Units (RSUs) originally granted on March 20, 2023.
• Acquired 1,666 shares of common stock from the vesting of RSUs originally granted on March 20, 2025.
• Received a new grant of 7,408 RSUs on March 20, 2026, which will vest in three equal annual installments beginning March 20, 2027.
• Received a new grant of 11,113 performance-based RSUs on March 20, 2026, which will vest on the third anniversary of the grant if specific performance conditions are met.
• 1,463 phantom stock shares, originally granted on March 20, 2024, vested and converted.
• Following these transactions, Cavallaro directly beneficially owns 11,824 shares of common stock.
• Cavallaro also beneficially owns 29,353 Restricted Stock Units and 8,047 Phantom Stock units.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a moderately positive signal, as it reflects ongoing executive compensation and an increase in the CFO's direct share ownership, aligning his interests with shareholders. The new grants also indicate continued commitment to the company.

Positives

• SEVP & CFO Frank A. Cavallaro increased his direct beneficial ownership of common stock by 3,281 shares through the vesting of Restricted Stock Units.
• Significant new equity grants totaling 18,521 Restricted Stock Units (7,408 time-based and 11,113 performance-based) demonstrate continued alignment of management's interests with shareholders.
• The vesting of previously granted equity awards indicates the achievement of past time-based or performance conditions.

Risks

• Vesting of performance-based Restricted Stock Units (RSUs) and Phantom Stock units is contingent upon meeting specific performance conditions, which may not be achieved, potentially impacting the executive's total compensation.

Future Outlook

Frank A. Cavallaro has future equity vesting events scheduled, with new Restricted Stock Units (RSUs) granted on March 20, 2026, set to vest in installments starting March 20, 2027, and performance-based RSUs vesting on their third anniversary if conditions are met. This indicates a long-term incentive structure for the CFO.

Industry Context

StockSavvy.ai notes that equity grants and vesting for senior executives like a CFO are standard practice in the financial services industry, aligning executive incentives with long-term shareholder value. The mix of time-based and performance-based awards is a common strategy to balance retention with performance motivation.

Stakeholder Impact

• Shareholders: Increased alignment of executive interests with shareholders due to higher direct ownership and new equity grants.
• Employees: May signal stability in executive leadership and ongoing compensation practices.

Next Steps

• Future vesting of 7,408 RSUs in three equal annual installments beginning March 20, 2027.
• Future vesting of 11,113 performance-based RSUs on the third anniversary of the March 20, 2026 grant, subject to performance conditions.
• Future vesting of remaining 3,333 RSUs from the March 20, 2025 grant.
• Future vesting of remaining 7,499 performance-based RSUs from the March 20, 2025 grant.
• Future vesting of remaining 1,463 phantom stock shares from the March 20, 2024 grant.
• Future vesting of remaining 6,584 performance-based phantom stock shares from the March 20, 2024 grant.

Key Dates

Recommendation

This Form 4 filing details routine executive compensation activities, including the vesting of previously granted equity and new grants. While it shows increased alignment of the CFO's interests with shareholders, it does not provide new fundamental information about the company's operational or financial performance that would warrant a change in investment recommendation. Therefore, a 'hold' recommendation is appropriate, maintaining current positions while awaiting more substantive company updates.

Keywords

Peapack Gladstone Financial Corp, PGC, Form 4, Insider Trading, Executive Compensation, Restricted Stock Units, Phantom Stock, Equity Grants, Frank A. Cavallaro, CFO, Beneficial Ownership