What Did Morguard North American Residential Real Estate Investment Trust’s (TSE:MRG.UN) CEO Take Home Last Year?

Rai Sahi became the CEO of Morguard North American Residential Real Estate Investment Trust (TSE:MRG.UN) in 2012. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Next, we’ll consider growth that the business demonstrates. Third, we’ll reflect on the total return to shareholders over three years, as a second measure of business performance. This process should give us an idea about how appropriately the CEO is paid.

Check out our latest analysis for Morguard North American Residential Real Estate Investment Trust

How Does Rai Sahi’s Compensation Compare With Similar Sized Companies?

According to our data, Morguard North American Residential Real Estate Investment Trust has a market capitalization of CA$871m, and pays its CEO total annual compensation worth CA$544k. That’s below the compensation, last year. We examined companies with market caps from CA$525m to CA$2.1b, and discovered that the median CEO compensation of that group was CA$2m.

Most shareholders would consider it a positive that Rai Sahi takes less compensation than the CEOs of most similar size companies, leaving more for shareholders. Though positive, it’s important we delve into the performance of the actual business.

You can see a visual representation of the CEO compensation at Morguard North American Residential Real Estate Investment Trust, below.

TSX:MRG.UN CEO Compensation November 9th 18
TSX:MRG.UN CEO Compensation November 9th 18

Is Morguard North American Residential Real Estate Investment Trust Growing?

Over the last three years Morguard North American Residential Real Estate Investment Trust has grown its earnings per share (EPS) by an average of 75% per year. Its revenue is up 3.0% over last year.

This demonstrates that the company has been improving recently. A good result. It’s also good to see modest revenue growth, suggesting the underlying business is healthy.

You might want to check this free visual report on analyst forecasts for future earnings.

Has Morguard North American Residential Real Estate Investment Trust Been A Good Investment?

I think that the total shareholder return of 84%, over three years, would leave most Morguard North American Residential Real Estate Investment Trust shareholders smiling. This strong performance might mean some shareholders don’t mind if the CEO is paid more than is normal for a company of its size.

In Summary…

It appears that Morguard North American Residential Real Estate Investment Trust remunerates its CEO below most similar sized companies. Since the business is growing, many would argue this suggest the pay is modest. The pleasing shareholder returns are the cherry on top; you might even consider that Rai Sahi deserves a raise!

It’s not often we see shareholders do so well, and yet the CEO is paid modestly. The cherry on top would be if company insiders are buying shares with their own money. Shareholders may want to check for free if Morguard North American Residential Real Estate Investment Trust insiders are buying or selling shares.

Or you might prefer examine intently this intuitive graph showing past earnings and revenue.

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.