Peapack-Gladstone Financial (PGC) AI Stock Analysis

• Market Cap: $597.75M
• Dividend Yield: 0.7%
• Average Volume (3M): 123.00K
• Price to Earnings (P/E): 13.1
• Beta (1Y): 0.91
• Revenue Growth: 9.16%
• EPS Growth: 6.95%
• Country: US
• Employees: 620
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): N/A
• Shares Outstanding: 17,570,625
• 10 Day Avg. Volume: 171,265
• 30 Day Avg. Volume: 123,000
• PEG Ratio: 0.98
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 1.11
• P/FCF Ratio: 12.32
• Enterprise Value/Market Cap: 1.42
• Enterprise Value/Revenue: 1.92
• Enterprise Value/Gross Profit: 3.31
• Enterprise Value/Ebitda: 13.42
• 1Y Price Target: $39.50
• Price Target Upside: 16.11% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: $36.00 ▲(5.82% Upside)
• Action: Downgraded Date: 03/12/26
• Date: Action: Downgraded 03/12/26

The score is primarily driven by mixed financial performance—solid revenue growth but notable margin/ROE and 2025 cash-flow weakening—partly offset by constructive technical trends and a reasonable P/E valuation. Corporate actions (debt redemption and leadership/governance moves) add a modest positive tilt.

Positive Factors

Wealth-management fee diversification

Significant AUM growth and recurring fee income (21% of revenue) indicate a durable, less interest-rate-sensitive revenue stream. Stable wealth fees help smooth earnings volatility tied to lending cycles and support long-term profitability and client stickiness.

Core lending and deposit franchise

Consistent loan and core deposit growth and a rising share of noninterest-bearing balances point to stronger client relationships and cheaper funding. That durable funding mix supports net interest margins and allows repeatable lending growth across business cycles.

Capital structure action

Redeeming subordinated notes reduces future interest expense and simplifies the liability profile, improving regulatory capital flexibility. This structural capital action lowers fixed funding costs and strengthens long-term balance-sheet resilience.

Negative Factors

Margin compression

A sharp multi-year decline in margins and subdued ROE reflect lasting pressure on profitability. If margins do not recover, the bank’s ability to generate returns above cost of capital and reinvest in growth or return capital to shareholders will be constrained.

Weakened cash generation

Material decline in operating and free cash flow reduces internal funding for balance-sheet expansion, technology, or shareholder returns. Persistent cash-flow weakness would limit strategic optionality and increase reliance on external financing.

Inconsistent leverage profile

Volatile leverage history indicates inconsistent capital management, which can raise funding and regulatory uncertainty. A shifting capital posture may complicate long-term planning and make the franchise more sensitive to market or policy shifts.

Peapack-Gladstone Financial Business Overview & Revenue Model

Company Description

Peapack-Gladstone Financial Corporation operates as the bank holding company for Peapack-Gladstone Bank that provides private banking and wealth management services in the United States. The company operates in two segments, Banking and Peapack Private. It offers checking and savings accounts, money market and interest-bearing checking accounts, certificates of deposit, and individual retirement accounts. The company also provides working capital lines of credit, term loans for fixed asset acquisitions, commercial mortgages, multi-family mortgages, and other forms of asset-based financing services; and residential mortgages, home equity lines of credit, and other second mortgage loans. In addition, it offers corporate and industrial (C&I) and equipment finance, commercial real estate, multifamily, residential, and consumer lending activities; treasury management services; C&I advisory services; escrow management; deposit generation; asset and investment management services; personal trust services, including services as executor, trustee, administrator, custodian, and guardian; and other financial planning, tax preparation, and advisory services. Further, the company provides telephone and Internet banking, merchant credit card, and customer support sales services. Its private banking clients include businesses, non-profits, and consumers; and wealth management clients comprise individuals, families, foundations, endowments, trusts, and estates. The company operates its private banking locations in Bedminster, Morristown, Princeton, and Teaneck, New Jersey; and wealth management branches in Somerset, Morris, Hunterdon, and Union counties, as well as operates automated teller machines at 20 locations. Peapack-Gladstone Financial Corporation was founded in 1921 and is headquartered in Bedminster, New Jersey.

How the Company Makes Money

PGC primarily makes money through (1) net interest income and (2) noninterest income (fee-based revenue). Net interest income is earned from the spread between interest income on earning assets—most importantly loans (e.g., commercial and industrial lending, commercial real estate lending, and other lending categories) and, to a lesser extent, securities—and interest expense paid on funding sources such as customer deposits and other borrowings. Changes in market rates, deposit mix and pricing, loan growth and credit quality, and the composition of the securities portfolio can materially affect this spread and overall net interest income. Noninterest income is generated largely from wealth management and related fiduciary activities. This includes fees from investment management/advisory services, trust and fiduciary administration, and other wealth-related services where revenue is typically tied to assets under management/administration, service complexity, and/or transaction activity. The company also earns additional bank fees such as deposit service charges, treasury/cash management fees, and other service-related charges associated with providing banking services to commercial and retail clients. Expenses (such as compensation, technology, occupancy, and credit-loss provisioning) reduce earnings, while credit performance of the loan portfolio and the overall interest-rate environment are significant factors influencing profitability. Specific material partnerships contributing to earnings: null.

Peapack-Gladstone Financial Financial Statement Overview

Summary

Revenue growth has been solid over multiple years and the company remains profitable, but profitability and returns have cooled meaningfully from 2022 highs (net margin down to ~8% in 2024–2025; ROE ~5–6%). Cash flow also weakened in 2025 with lower operating and free cash flow, tempering overall financial quality despite currently moderate leverage.

Income Statement

Revenue has grown steadily from 2020 to 2025 (annual report), with a particularly strong step-up in 2022–2023 and continued growth into 2025. However, profitability has cooled materially since the 2022 peak: net profit margin declined from ~27% (2022) to ~8% (2024–2025), and operating profitability similarly compressed. The business remains profitable, but the margin trajectory is the key weakness versus prior years.

Balance Sheet

Leverage looks moderate in the most recent period (debt-to-equity ~0.40 in 2025) and equity has increased over time, supporting balance-sheet resilience. That said, leverage has been volatile (near ~1.0 in 2022–2023), which points to a less consistent capital profile. Returns on equity are positive but modest recently (~5–6% in 2024–2025) versus stronger levels in 2021–2022.

Cash Flow

Cash generation remains positive, but it has weakened: operating cash flow fell from 71.1M (2024) to 39.7M (2025) and free cash flow declined meaningfully in 2025 (down ~27.7%). A strength is that free cash flow has generally tracked net income well (free cash flow to net income ~0.89–1.00 in 2024–2025), but the recent downshift in cash flow is a notable risk if it persists.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	441.36M	402.91M	373.75M	274.72M	228.78M
Gross Profit	256.23M	216.61M	211.74M	232.57M	200.30M
EBITDA	63.26M	49.58M	72.29M	107.39M	82.45M
Net Income	37.33M	32.99M	48.85M	74.25M	56.62M
Balance Sheet
Total Assets	7.53B	7.01B	6.48B	6.35B	6.08B
Cash, Cash Equivalents and Short-Term Investments	782.91M	441.51M	738.29M	744.72M	943.56M
Total Debt	260.07M	178.48M	553.39M	530.92M	148.63M
Total Liabilities	6.87B	6.41B	5.89B	5.82B	5.53B
Stockholders Equity	658.21M	605.85M	583.68M	532.98M	546.39M
Cash Flow
Free Cash Flow	28.58M	63.01M	66.80M	115.38M	71.53M
Operating Cash Flow	43.13M	71.10M	70.08M	118.90M	75.46M
Investing Cash Flow	-735.76M	-303.43M	-147.48M	-356.07M	-753.80M
Financing Cash Flow	489.08M	436.02M	75.00M	280.44M	171.82M

Peapack-Gladstone Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 34.02
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PGC, the sentiment is Positive. The current price of 34.02 is above the 20-day moving average (MA) of 33.96, above the 50-day MA of 32.10, and above the 200-day MA of 28.68, indicating a bullish trend. The MACD of 0.38 indicates Positive momentum. The RSI at 54.58 is Neutral, neither overbought nor oversold. The STOCH value of 49.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PGC.

Peapack-Gladstone Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CBNK	73 Outperform	$476.63M	7.72	14.72%	1.53%	24.90%	28.06%
UNTY	71 Outperform	$502.52M	8.36	17.76%	1.08%	11.38%	36.10%
PFIS	69 Neutral	$524.82M	10.16	10.83%	4.97%	39.98%	413.87%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
PGC	66 Neutral	$597.75M	13.10	5.85%	0.70%	9.16%	6.95%
FISI	66 Neutral	$598.25M	8.37	-4.98%	3.89%	-28.00%	-174.60%
BHB	62 Neutral	$528.72M	14.04	7.42%	3.92%	4.26%	-16.52%

Peapack-Gladstone Financial Corporate Events

Peapack-Gladstone to Redeem $100 Million Subordinated Notes

Peapack-Gladstone Financial Corporation has notified UMB Bank, as trustee, that it will redeem all $100,000,000 in aggregate principal amount of its 3.50% fixed-to-floating rate subordinated notes due December 22, 2030. The redemption price will equal 100% of principal plus accrued and unpaid interest up to, but excluding, the anticipated redemption date of around March 2, 2026.

Following the planned redemption of these subordinated notes, the company expects to remain well capitalized, indicating that the transaction should not materially weaken its regulatory capital position. This move may simplify Peapack-Gladstone’s capital structure and reduce future interest expense, with limited adverse impact anticipated for its overall financial stability and stakeholders.

The most recent analyst rating on (PGC) stock is a Buy with a $39.00 price target. To see the full list of analyst forecasts on Peapack-Gladstone Financial stock, see the PGC Stock Forecast page.

Peapack-Gladstone Grants Performance RSUs to Key Executives

On February 6 and February 10, 2026, Peapack-Gladstone Financial Corporation entered into special executive retention performance restricted stock unit award agreements with President and CEO Douglas Kennedy and Senior Executive Vice President and President of Private Wealth Management John Babcock. The awards are designed to retain these key executives through December 31, 2028, and to tie their compensation to multi-year performance targets.

Under the company’s 2025 Long-Term Incentive Plan, Kennedy received 50,000 performance-based RSUs and Babcock received 32,000, with units earned over three annual performance periods ending in 2026, 2027, and 2028 and cliff vesting on December 31, 2028. Kennedy’s awards are tied entirely to the company’s 30-day average stock price, while Babcock’s are linked to stock price, wealth management assets under management, and wealth management net direct margin.

The structure allows executives to earn between 25% and 250% of target awards depending on performance, strengthening alignment between leadership incentives, shareholder value creation, and the growth and profitability of the wealth management business. The agreements include detailed provisions for treatment of RSUs in cases of death, disability, involuntary termination, or change in control, underscoring their role in both retention and leadership stability during potential corporate transitions.

The most recent analyst rating on (PGC) stock is a Buy with a $40.00 price target. To see the full list of analyst forecasts on Peapack-Gladstone Financial stock, see the PGC Stock Forecast page.

Peapack-Gladstone Financial Posts Strong Q4 and 2025 Results

On January 29, 2026, Peapack-Gladstone Financial Corporation reported that fourth-quarter 2025 net income rose 26% sequentially to $12.2 million, or $0.69 per diluted share, while full-year 2025 net income increased 13% to $37.3 million, or $2.10 per share, versus 2024. Over the twelve months ended December 31, 2025, the bank delivered robust balance-sheet and revenue growth: deposits climbed 8% to $6.6 billion, driven by an $828 million increase in core relationship balances and a 28% jump in noninterest-bearing deposits; total loans expanded 13% to $6.3 billion, with new originations at a 6.60% weighted average coupon generating spreads of more than 400 basis points over funding costs. Net interest income grew 12% quarter over quarter to $56.5 million and the net interest margin widened to 3.08% in Q4 2025, marking eight consecutive quarters of net interest income growth as management continues to transform the deposit base. The wealth management division’s AUM/AUA increased to $13.1 billion, with $1.0 billion of new inflows in 2025 and fee income of $16.1 million in Q4 representing 21% of total revenue, reinforcing the strategy of stable fee generation alongside lending growth. Capital levels remained comfortably above well-capitalized thresholds, with tangible book value per share up 10% year over year and key regulatory ratios bolstered by earnings, underscoring the company’s strengthened financial position and its bid to differentiate itself as a premier regional private banking and wealth management franchise.

The most recent analyst rating on (PGC) stock is a Hold with a $31.00 price target. To see the full list of analyst forecasts on Peapack-Gladstone Financial stock, see the PGC Stock Forecast page.

Peapack-Gladstone Financial Announces Board Changes and Appointments

On December 18, 2025, Peapack-Gladstone Financial Corporation announced that long-serving directors Patrick J. Mullen, Philip W. Smith III and Beth Welsh would retire from the boards of both the company and its banking subsidiary effective December 31, 2025, with the company emphasizing there were no disagreements with management or policies underlying their departures. As part of a broader board restructuring unveiled in a December 23, 2025 release, the company appointed Diane D’Erasmo, former Vice Chairman Emeritus of HSBC Bank USA, and Ellen C. Walsh, a retired senior partner at PricewaterhouseCoopers, to join the boards effective January 1, 2026, a move positioned as reinforcing its commitment to strong governance and strategic leadership by bringing in fresh perspectives and deep expertise in wealth management, corporate finance and governance to support its long-term growth objectives and client-centric strategy.

The most recent analyst rating on (PGC) stock is a Buy with a $32.00 price target. To see the full list of analyst forecasts on Peapack-Gladstone Financial stock, see the PGC Stock Forecast page.