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How Much is Rexford Industrial Realty, Inc.'s (NYSE:REXR) CEO Getting Paid?

Howard Schwimmer has been the CEO of Rexford Industrial Realty, Inc. (NYSE:REXR) since 2013. First, this article will compare CEO compensation with compensation at similar sized companies. 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. The aim of all this is to consider the appropriateness of CEO pay levels.

Check out our latest analysis for Rexford Industrial Realty

How Does Howard Schwimmer's Compensation Compare With Similar Sized Companies?

Our data indicates that Rexford Industrial Realty, Inc. is worth US$4.8b, and total annual CEO compensation was reported as US$6.0m for the year to December 2019. That's a notable increase of 29% on last year. While we always look at total compensation first, we note that the salary component is less, at US$594k. We note that more than half of the total compensation is not the salary; and performance requirements may apply to this non-salary portion. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of US$2.0b to US$6.4b. The median total CEO compensation was US$5.9m.

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Pay mix tells us a lot about how a company functions versus the wider industry, and it's no different in the case of Rexford Industrial Realty. Speaking on an industry level, we can see that nearly 15% of total compensation represents salary, while the remainder of 85% is other remuneration. Rexford Industrial Realty sets aside a smaller share of compensation for salary, in comparison to the overall industry.

So Howard Schwimmer is paid around the average of the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance. You can see, below, how CEO compensation at Rexford Industrial Realty has changed over time.

NYSE:REXR CEO Compensation May 4th 2020
NYSE:REXR CEO Compensation May 4th 2020

Is Rexford Industrial Realty, Inc. Growing?

Over the last three years, Rexford Industrial Realty, Inc. has not seen its earnings per share change much, though there is a positive trend. It achieved revenue growth of 26% over the last year.

It's great to see that revenue growth is strong. Combined with modest EPS growth, we get a good impression of the company. I wouldn't say this is necessarily top notch growth, but it is certainly promising. Shareholders might be interested in this free visualization of analyst forecasts.

Has Rexford Industrial Realty, Inc. Been A Good Investment?

Most shareholders would probably be pleased with Rexford Industrial Realty, Inc. for providing a total return of 66% over three years. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.

In Summary...

Howard Schwimmer is paid around what is normal for the leaders of comparable size companies.

While we would like to see improved growth metrics, there is no doubt that the total returns have been great, over the last three years. So considering most shareholders would be happy, we'd say the CEO pay is appropriate. On another note, Rexford Industrial Realty has 5 warning signs (and 1 which is potentially serious) we think you should know about.

If you want to buy a stock that is better than Rexford Industrial Realty, this free list of high return, low debt companies is a great place to look.

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.