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Is Brixmor Property Group Inc. (NYSE:BRX) Excessively Paying Its CEO?

In 2016 Jim Taylor was appointed CEO of Brixmor Property Group Inc. (NYSE:BRX). First, this article will compare CEO compensation with compensation at similar sized companies. After that, we will consider the growth in the business. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This method should give us information to assess how appropriately the company pays the CEO.

View our latest analysis for Brixmor Property Group

How Does Jim Taylor's Compensation Compare With Similar Sized Companies?

According to our data, Brixmor Property Group Inc. has a market capitalization of US$6.3b, and paid its CEO total annual compensation worth US$5.1m over the year to December 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at US$800k. We note that more than half of the total compensation is not the salary; and performance requirements may apply to this non-salary portion. We examined companies with market caps from US$4.0b to US$12b, and discovered that the median CEO total compensation of that group was US$6.4m.

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So Jim Taylor is paid around the average of the companies we looked at. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.

The graphic below shows how CEO compensation at Brixmor Property Group has changed from year to year.

NYSE:BRX CEO Compensation, January 26th 2020
NYSE:BRX CEO Compensation, January 26th 2020

Is Brixmor Property Group Inc. Growing?

On average over the last three years, Brixmor Property Group Inc. has grown earnings per share (EPS) by 9.6% each year (using a line of best fit). In the last year, its revenue is down 6.7%.

I generally like to see a little revenue growth, but I'm happy with the EPS growth. These two metric are moving in different directions, so while it's hard to be confident judging performance, we think the stock is worth watching. Shareholders might be interested in this free visualization of analyst forecasts.

Has Brixmor Property Group Inc. Been A Good Investment?

With a total shareholder return of 5.6% over three years, Brixmor Property Group Inc. has done okay by shareholders. But they probably wouldn't be so happy as to think the CEO should be paid more than is normal, for companies around this size.

In Summary...

Remuneration for Jim Taylor is close enough to the median pay for a CEO of a similar sized company .

The company isn't showing particularly great growth, and shareholder turns haven't been particularly inspiring in the last few years. While the CEO may not be underpaid, we don't think the pay is too generous either. Whatever your view on compensation, you might want to check if insiders are buying or selling Brixmor Property Group shares (free trial).

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Thank you for reading.