Yahoo Finance How Much is Navistar International Corporation's (NYSE:NAV) CEO Getting Paid?
Troy Clarke has been the CEO of Navistar International Corporation (NYSE:NAV) since 2013. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Then we'll look at a snap shot of the business growth. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. This method should give us information to assess how appropriately the company pays the CEO.
See our latest analysis for Navistar International
How Does Troy Clarke's Compensation Compare With Similar Sized Companies?
According to our data, Navistar International Corporation has a market capitalization of US$2.5b, and pays its CEO total annual compensation worth US$6.9m. (This figure is for the year to October 2018). While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at US$1.0m. We examined companies with market caps from US$2.0b to US$6.4b, and discovered that the median CEO total compensation of that group was US$5.1m.
As you can see, Troy Clarke is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean Navistar International Corporation is paying too much. A closer look at the performance of the underlying business will give us a better idea about whether the pay is particularly generous.
The graphic below shows how CEO compensation at Navistar International has changed from year to year.
Is Navistar International Corporation Growing?
Navistar International Corporation has increased its earnings per share (EPS) by an average of 110% a year, over the last three years (using a line of best fit). In the last year, its revenue is up 24%.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's also good to see decent revenue growth in the last year, suggesting the business is healthy and growing. It could be important to check this free visual depiction of what analysts expect for the future.
Has Navistar International Corporation Been A Good Investment?
I think that the total shareholder return of 92%, over three years, would leave most Navistar International Corporation shareholders smiling. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
In Summary...
We compared the total CEO remuneration paid by Navistar International Corporation, and compared it to remuneration at a group of similar sized companies. We found that it pays well over the median amount paid in the benchmark group.
Importantly, though, the company has impressed with its earnings per share growth, over three years. In addition, shareholders have done well over the same time period. As a result of this good performance, the CEO remuneration may well be quite reasonable. Whatever your view on compensation, you might want to check if insiders are buying or selling Navistar International shares (free trial).
Important note: Navistar International may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE and low debt.
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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. Thank you for reading.
