Yahoo Finance Does Morguard Corporation's (TSE:MRC) CEO Pay Compare Well With Peers?
Rai Sahi is the CEO of Morguard Corporation (TSE:MRC). This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Then we'll look at a snap shot of the business growth. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This process should give us an idea about how appropriately the CEO is paid.
See our latest analysis for Morguard
How Does Rai Sahi's Compensation Compare With Similar Sized Companies?
According to our data, Morguard Corporation has a market capitalization of CA$2.2b, and pays its CEO total annual compensation worth CA$2.7m. (This number is for the twelve months until December 2017). While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CA$1.1m. When we examined a selection of companies with market caps ranging from CA$1.3b to CA$4.3b, we found the median CEO total compensation was CA$3.1m.
So Rai Sahi 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.
You can see, below, how CEO compensation at Morguard has changed over time.
Is Morguard Corporation Growing?
Morguard Corporation has increased its earnings per share (EPS) by an average of 46% a year, over the last three years (using a line of best fit). Its revenue is up 4.1% over last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Shareholders might be interested in this free visualization of analyst forecasts.
Has Morguard Corporation Been A Good Investment?
Morguard Corporation has generated a total shareholder return of 32% over three years, so most shareholders would be reasonably content. But they probably don't want to see the CEO paid more than is normal for companies around the same size.
In Summary...
Remuneration for Rai Sahi is close enough to the median pay for a CEO of a similar sized company .
The company is growing EPS but shareholder returns have been sound but not amazing. As a result of these considerations, I would suggest the CEO pay is reasonable. So you may want to check if insiders are buying Morguard shares with their own money (free access).
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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