Insider Trading May 12, 2026 08:37 PM

First Citizens Bancshares CEO Executes $10.2 Million Stock Swap Between Class A and Class B Shares

Frank B. Holding Jr. disposes of Class A Common stock while acquiring Class B shares amidst a period of market valuation adjustments.

By Ajmal Hussain FCNCA

Frank B. Holding Jr., the Chairman and CEO of First Citizens Bancshares Inc. (NASDAQ:FCNCA), reported a series of significant stock transactions on May 12, 2026. The executive, who is also a director and a ten percent owner of the firm, engaged in a dual-transaction process involving both Class A and Class B Common stock. Specifically, Mr. Holding sold a portion of his Class A holdings while simultaneously acquiring a new block of Class B shares. These moves occurred as the company maintains a market capitalization of $22.2 billion with a price-to-earnings ratio of 11.02 and a recent share price of $1,918.69.

First Citizens Bancshares CEO Executes $10.2 Million Stock Swap Between Class A and Class B Shares
FCNCA

Key Points

  • The CEO executed a high-value stock swap, selling $10.25 million in Class A shares while investing roughly $10.25 million into Class B shares via a GRAT.
  • First Citizens Bancshares shows strong dividend history with 41 years of consecutive payments and a 9-year streak of increases, despite recent net interest income challenges.
  • The transactions impact the financial services sector, specifically highlighting how executive equity shifts and credit facility expansions (like Parafin's) reflect broader banking liquidity and capital trends.

On May 12, 2026, regulatory filings revealed that Frank B. Holding Jr., serving as the Chairman, CEO, and a director of First Citizens Bancshares Inc. (NASDAQ:FCNCA), conducted transactions involving different classes of the company's common stock. The activity included both the disposal of Class A Common stock and the acquisition of Class B Common stock.

According to the reported data, Mr. Holding sold 5,346 shares of Class A Common stock at a price of $1,918.69 per share. This transaction resulted in total proceeds of approximately $10,257,316. Following this sale, his indirect holdings of Class A Common stock through the Frank B. Holding Jr. 2025 #1 GRAT stand at 100,654 shares. Despite these sales, current analysis suggests the stock may be undervalued, noting that shares have decreased by 10.5% since the start of the year.


Concurrent with the sale of Class A shares, Mr. Holding executed a purchase of 5,940 shares of Class B Common stock. These shares were acquired at $1,726.82 per share, representing an investment of approximately $10,257,310. This acquisition brings his indirect holdings of Class B Common stock, also held via the Frank B. Holding Jr. 2025 #1 GRAT, to a total of 38,111 shares.

The financial standing of First Citizens Bancshares shows a company with long-term dividend consistency. The institution has maintained its dividend payments for 41 consecutive years and has implemented dividend increases for nine straight years, currently offering a yield of 0.44%. Additionally, the bank reports a return on equity of 10%.


Detailed Breakdown of Holdings

The complexity of Mr. Holding's equity position involves various direct and indirect interests across both share classes. His direct holdings consist of 202,117 shares of Class A Common stock and 2,841 shares of Class B Common stock.

His indirect ownership of Class A Common stock is distributed as follows:

  • 11,140 shares held as a beneficiary of a trust;
  • 106,000 shares through the Frank B. Holding Jr. 2025 #2 GRAT;
  • 3,728 shares held by his spouse;
  • 3,416 shares held as custodian for James Freeman Bailey, Jr.;
  • 1,591 shares held as custodian for Royall Holding Bailey;
  • 317 shares held as custodian for Jones Powell Bailey;
  • 115,000 shares held by his spouse as Trustee for the Ruth P. Holding 2025 GRAT.

Regarding Class B Common stock, his indirect holdings include:

  • 2,527 shares as a beneficiary of a trust;
  • 32,150 shares through the Frank B. Holding Jr. 2025 #2 GRAT;
  • 1,160 shares held by his spouse;
  • 4,957 shares held as custodian for James Freeman Bailey, Jr.;
  • 4,800 shares held as custodian for Royall Holding Bailey;
  • 5,158 shares held as custodian for Jones Powell Bailey;
  • 32,300 shares held by his spouse as Trustee for the Ruth P. Holding 2025 GRAT.

Mr. Holding disclaims beneficial ownership for shares held by his spouse or those held in a custodial capacity.


Corporate Performance and Recent Developments

Recent financial reports from First Citizens Bancshares indicate a mixed performance profile. While the company achieved an earnings-per-share beat, its net interest income did not meet expectations. This shortfall was attributed to ongoing compression within the net interest margin. In response to these factors, TD Cowen adjusted its price target for FCNCA from $2,500 down to $2,300, though it maintained a Buy rating while pointing toward continued pressure on deposit pricing.

Other notable corporate actions include:

  • The Board of Directors declared quarterly dividends for both preferred and common stock, with payments scheduled for June 15, 2026.
  • At the 2026 Annual Stockholders’ Meeting, all 12 board nominees were elected to one-year terms.
  • Holt Chetwood was appointed as Regional Executive Vice President for the South Region, overseeing 55 branches across Georgia and South Carolina.

In related commercial news, Parafin has expanded its warehouse credit facility. This expansion involves new lenders including Trinity Capital, EverBank, and a division of First Citizens Bank, aimed at increasing borrowing capacity and lowering capital costs for Parafin.

Risks

  • Net interest margin compression has led to net interest income falling short of expectations, posing a risk to profitability in the banking sector.
  • Deposit pricing pressure remains a concern, as evidenced by TD Cowen's lowered price target for the company.
  • The stock has experienced a 10.5% decline year-to-date, indicating market volatility or valuation adjustments within the equities market.

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