Peapack-Gladstone Financial Corporation (PGC) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Peapack-Gladstone Financial Corporation (PGC) Financial Services Profile

Peapack-Gladstone Financial Corporation stands out in the regional banking sector by providing comprehensive private banking and wealth management services, catering to a diverse clientele including individuals, families, and businesses across New Jersey.

What Is the Investment Thesis for PGC?

Peapack-Gladstone Financial Corporation presents a solid investment thesis driven by its diversified revenue streams and strong market position in the regional banking sector. With a market capitalization of $813M and a P/E ratio of 18.3, the company demonstrates profitability, evidenced by a profit margin of 9.6% and a gross margin of 59.9%. The ongoing expansion of its private banking and wealth management services is expected to drive revenue growth, particularly as the demand for personalized financial solutions continues to rise. Additionally, the company's focus on asset-based financing and commercial lending positions it well to capitalize on economic recovery trends. The dividend yield of 0.47% reflects a commitment to returning value to shareholders, while the low beta of 0.63 indicates relative stability compared to the broader market. However, potential risks, including regulatory challenges and economic fluctuations, must be monitored closely as they could impact future performance.

Based on FMP financials and quantitative analysis

PGC Key Highlights

• Market capitalization of $813M indicates a stable presence in the regional banking sector.
• P/E ratio of 18.3 reflects a reasonable valuation compared to industry peers.
• Profit margin of 9.6% showcases effective cost management and operational efficiency.
• Gross margin of 59.9% exceeds industry averages, highlighting strong revenue generation capabilities.
• Dividend yield of 0.47% demonstrates a commitment to shareholder returns.

Who Are PGC's Competitors?

PGC is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are PGC's Key Strengths?

• Established reputation in the regional banking sector.
• Diverse range of financial products and services.
• Strong customer relationships and local market knowledge.
• Solid financial performance with healthy profit margins.

What Are PGC's Weaknesses?

• Limited geographic presence compared to larger banks.
• Dependence on the New Jersey market for revenue.
• Potential vulnerability to economic downturns affecting local businesses.
• Relatively smaller scale may limit competitive advantages.

What Could Drive PGC Stock Higher?

• Launch of new digital banking platform to enhance customer experience.
• Expansion of wealth management services targeting high-net-worth individuals.
• Strengthening of commercial lending portfolio in response to rising demand.
• Potential geographic expansion into neighboring states to capture new markets.
• Continuous investment in technology to improve operational efficiency.

What Are the Key Risks for PGC?

• Financial-distress signal — its Altman Z-Score of -0.78 sits in the distress zone (elevated bankruptcy risk).
• Regulatory changes that may impact operational costs and compliance requirements.
• Economic fluctuations affecting loan demand and credit quality.
• Increased competition from larger banks and fintech companies.
• Dependence on the New Jersey market, making it vulnerable to local economic downturns.

What Are the Growth Opportunities for PGC?

• Expansion of Wealth Management Services: Peapack-Gladstone Financial Corporation aims to enhance its wealth management offerings, targeting high-net-worth individuals and families. This segment is expected to grow significantly, with the global wealth management market projected to reach $4.9 trillion by 2027. By leveraging its existing client relationships and expanding its service capabilities, Peapack-Gladstone can capture a larger share of this lucrative market.
• Increase in Commercial Lending: The demand for commercial loans is on the rise as businesses seek financing for growth and expansion. Peapack-Gladstone is well-positioned to capitalize on this trend by offering tailored lending solutions. The U.S. commercial lending market is estimated to grow at a CAGR of 5.5% over the next five years, providing ample opportunities for Peapack-Gladstone to increase its loan portfolio and revenue.
• Digital Banking Initiatives: As consumer preferences shift towards digital banking solutions, Peapack-Gladstone is investing in technology to enhance its online and mobile banking platforms. This initiative aims to improve customer experience and attract tech-savvy clients. The digital banking market is expected to grow at a CAGR of 10% through 2026, presenting a significant opportunity for Peapack-Gladstone to expand its customer base.
• Geographic Expansion: Peapack-Gladstone Financial Corporation has the potential to expand its footprint beyond New Jersey. By entering new markets in the Northeast, the company can tap into underserved regions and increase its market share. The regional banking sector in neighboring states is experiencing growth, and Peapack-Gladstone's established reputation can facilitate successful expansion.
• Enhanced Asset Management Services: With an increasing focus on investment management, Peapack-Gladstone can enhance its asset management services to attract institutional clients and high-net-worth individuals. The global asset management market is projected to grow to $112 trillion by 2026, providing a substantial opportunity for Peapack-Gladstone to diversify its revenue streams and increase profitability.

What Opportunities Does PGC Have?

• Expansion into new geographic markets to increase customer base.
• Growth in digital banking services to attract younger clients.
• Increasing demand for personalized wealth management solutions.
• Potential partnerships or acquisitions to enhance service offerings.

What Threats Does PGC Face?

• Intense competition from larger regional and national banks.
• Regulatory changes impacting the banking industry.
• Economic fluctuations affecting loan demand and credit quality.
• Technological advancements by competitors enhancing their service offerings.

What Are PGC's Competitive Advantages?

• Strong regional presence with established client relationships.
• Comprehensive range of personalized banking and wealth management services.
• Expertise in local market conditions and customer needs.
• Commitment to customer service and satisfaction, fostering loyalty.

What Does PGC Do?

Peapack-Gladstone Financial Corporation, established in 1921, serves as the bank holding company for Peapack-Gladstone Bank, headquartered in Bedminster, New Jersey. The company has evolved significantly since its inception, focusing on private banking and wealth management services tailored to meet the needs of its clients. Peapack-Gladstone operates in two primary segments: Banking and Peapack Private. Its banking services encompass a variety of deposit accounts, including checking and savings accounts, money market accounts, and certificates of deposit. The company also offers a range of loan products, such as working capital lines of credit, term loans for fixed asset acquisitions, commercial mortgages, and residential mortgages. In addition to traditional banking services, Peapack-Gladstone provides corporate and industrial financing, equipment finance, and treasury management services. The wealth management division caters to individuals, families, trusts, and estates, offering asset management, personal trust services, and financial planning. The bank has established a strong presence in New Jersey, with private banking locations in Bedminster, Morristown, Princeton, and Teaneck, as well as wealth management branches across Somerset, Morris, Hunterdon, and Union counties. With a dedicated workforce of 620 employees, Peapack-Gladstone Financial Corporation is committed to delivering personalized financial solutions and exceptional customer service, positioning itself as a trusted partner in the financial journey of its clients.

What Products and Services Does PGC Offer?

• Provide a range of banking services including checking and savings accounts.
• Offer various loan products such as residential and commercial mortgages.
• Deliver wealth management and private banking services to individuals and businesses.
• Facilitate treasury management and corporate financing solutions.
• Conduct financial planning and advisory services for clients.
• Manage personal trust services and estate planning.

How Does PGC Make Money?

• Generate revenue through interest income from loans and mortgages.
• Earn fees from wealth management and advisory services.
• Collect service fees from treasury management and deposit services.
• Offer competitive interest rates on deposit accounts to attract customers.

What Industry Does PGC Operate In?

The regional banking industry is characterized by a competitive landscape where institutions like Peapack-Gladstone Financial Corporation operate. With increasing consumer demand for personalized banking and wealth management services, regional banks are poised for growth. The U.S. banking sector is projected to grow at a CAGR of approximately 3% over the next five years, driven by rising interest rates and an expanding economy. Peapack-Gladstone's focus on private banking and wealth management positions it favorably within this growth trajectory, allowing it to capture market share from larger financial institutions that may not offer the same level of personalized service.

Who Are PGC's Key Customers?

• High-net-worth individuals and families seeking wealth management services.
• Small to medium-sized businesses requiring commercial banking solutions.
• Non-profit organizations looking for financial management support.
• Individuals and families needing personal banking and mortgage services.

Company Profile

Peapack-Gladstone Financial Corporation operates in the Banks - Regional industry within the Financial Services sector. It is headquartered in Bedminster, US. The company is led by CEO Douglas L. Kennedy. PGC has traded publicly since 1999.

F-Score 8/9Financial Health

Peapack-Gladstone Financial Corporation's Piotroski F-Score is 8/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of -0.78 places it in the distress zone, a signal of elevated financial risk.

ROE 7%Key Financial Metrics

Return on equity for Peapack-Gladstone Financial Corporation stands at 6.7%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 0.6%, showing how much profit it generates from its asset base. PGC trades at a trailing price-to-earnings ratio of 18.26, roughly in line with the Financial Services sector average of ~18x. Its free cash flow yield is 7.8%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.05 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 5.4%, the inverse of the P/E and a quick read on earnings relative to price.

PGC Valuation & Market Position

With a $813M market cap, Peapack-Gladstone Financial Corporation sits in the small-cap segment of the market. Relative to its peer group, PGC's quantitative score of 82/100 is roughly in line with the peer average of 87/100.

FY2026 estForward Outlook

Wall Street analysts project Peapack-Gladstone Financial Corporation revenue of about $346.4M for fiscal 2026, with EPS near $3.75. The estimate reflects 3 contributing analysts.

PGC Financials

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PGC Analyst Consensus

PGC MoonshotScore

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Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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