Key Insights
- Badger Meter to hold its Annual General Meeting on 25th of April
- Salary of US$830.0k is part of CEO Ken Bockhorst's total remuneration
- The overall pay is 42% below the industry average
- Badger Meter's total shareholder return over the past three years was 147% while its EPS grew by 29% over the past three years
Shareholders will be pleased by the impressive results for Badger Meter, Inc. (NYSE:BMI) recently and CEO Ken Bockhorst has played a key role. At the upcoming AGM on 25th of April, they will get a chance to hear the board review the company results, discuss future strategy and cast their vote on any resolutions such as executive remuneration. Let's take a look at why we think the CEO has done a good job and we'll present the case for a bump in pay.
See our latest analysis for Badger Meter
Comparing Badger Meter, Inc.'s CEO Compensation With The Industry
According to our data, Badger Meter, Inc. has a market capitalization of US$5.9b, and paid its CEO total annual compensation worth US$5.1m over the year to December 2024. Notably, that's an increase of 12% over the year before. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at US$830k.
For comparison, other companies in the American Electronic industry with market capitalizations ranging between US$4.0b and US$12b had a median total CEO compensation of US$8.8m. That is to say, Ken Bockhorst is paid under the industry median. Furthermore, Ken Bockhorst directly owns US$7.6m worth of shares in the company, implying that they are deeply invested in the company's success.
| Component | 2024 | 2023 | Proportion (2024) |
| Salary | US$830k | US$750k | 16% |
| Other | US$4.3m | US$3.8m | 84% |
| Total Compensation | US$5.1m | US$4.5m | 100% |
On an industry level, roughly 23% of total compensation represents salary and 77% is other remuneration. Badger Meter sets aside a smaller share of compensation for salary, in comparison to the overall industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.
A Look at Badger Meter, Inc.'s Growth Numbers
Over the past three years, Badger Meter, Inc. has seen its earnings per share (EPS) grow by 29% per year. Its revenue is up 15% over the last year.
Shareholders would be glad to know that the company has improved itself over the last few years. It's also good to see decent revenue growth in the last year, suggesting the business is healthy and growing. Moving away from current form for a second, it could be important to check this free visual depiction of what analysts expect for the future.
Has Badger Meter, Inc. Been A Good Investment?
Most shareholders would probably be pleased with Badger Meter, Inc. for providing a total return of 147% 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.
To Conclude...
The company's solid performance might have made most shareholders happy, possibly making CEO remuneration the least of the matters to be discussed in the AGM. In fact, strategic decisions that could impact the future of the business might be a far more interesting topic for investors as it would help them set their longer-term expectations.
While CEO pay is an important factor to be aware of, there are other areas that investors should be mindful of as well. We've identified 1 warning sign for Badger Meter that investors should be aware of in a dynamic business environment.
Of course, you might find a fantastic investment by looking at a different set of stocks. So take a peek at this free list of interesting companies.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.