Suzanne Sitherwood has been the CEO of Spire Inc. (NYSE:SR) since 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. And finally – as a second measure of performance – we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.
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How Does Suzanne Sitherwood’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Spire Inc. has a market cap of US$3.9b, and is paying total annual CEO compensation of US$4.0m. (This number is for the twelve months until 2018). Notably, that’s an increase of 11% over the year before. While we always look at total compensation first, we note that the salary component is less, at US$871k. 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$4.9m.
So Suzanne Sitherwood is paid around the average of the companies we looked at. This doesn’t tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context. So this free report on the analyst consensus forecasts could help you make a master move on this stock.
The graphic below shows how CEO compensation at Spire has changed from year to year.
Is Spire Inc. Growing?
Spire Inc. has increased its earnings per share (EPS) by an average of 15% a year, over the last three years (using a line of best fit). Its revenue is up 13% over last year.
This demonstrates that the company has been improving recently. A good result. It’s a real positive to see this sort of growth in a single year. That suggests a healthy and growing business.
Has Spire Inc. Been A Good Investment?
Boasting a total shareholder return of 43% over three years, Spire Inc. has done well by shareholders. This strong performance might mean some shareholders don’t mind if the CEO were to be paid more than is normal for a company of its size.
Remuneration for Suzanne Sitherwood is close enough to the median pay for a CEO of a similar sized company .
Few would be critical of the leadership, since returns have been juicy and earnings per share are moving in the right direction. Indeed, many might consider the pay rather modest, given the solid company performance! So you may want to check if insiders are buying Spire shares with their own money (free access).
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
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 firstname.lastname@example.org.