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The CEO of Sun Communities, Inc. (NYSE:SUI) is Gary Shiffman. First, this article will compare CEO compensation with compensation at other large companies. Next, we'll consider growth that the business demonstrates. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This method should give us information to assess how appropriately the company pays the CEO.
How Does Gary Shiffman's Compensation Compare With Similar Sized Companies?
According to our data, Sun Communities, Inc. has a market capitalization of US$13b, and pays its CEO total annual compensation worth US$9.2m. (This figure is for the year to December 2018). While we always look at total compensation first, we note that the salary component is less, at US$692k. When we examined a group of companies with market caps over US$8.0b, we found that their median CEO total compensation was US$11m. (We took a wide range because the CEOs of massive companies tend to be paid similar amounts - even though some are quite a bit bigger than others).
So Gary Shiffman 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.
You can see, below, how CEO compensation at Sun Communities has changed over time.
Is Sun Communities, Inc. Growing?
Sun Communities, Inc. has reduced its earnings per share by an average of 17% a year, over the last three years (measured with a line of best fit). Its revenue is up 15% over last year.
Sadly for shareholders, earnings per share are actually down, over three years. While the revenue growth is good to see, it is outweighed by the fact that earnings per share are down, over three years. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. You might want to check this free visual report on analyst forecasts for future earnings.
Has Sun Communities, Inc. Been A Good Investment?
Boasting a total shareholder return of 96% over three years, Sun Communities, 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.
Gary Shiffman is paid around the same as most CEOs of large companies.
We feel that earnings per share have been a bit disappointing, but it's nice to see positive shareholder returns over the last three years. So we think most shareholders wouldn't be too worried about CEO compensation, which is close to the median for large companies. So you may want to check if insiders are buying Sun Communities shares with their own money (free access).
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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If you spot an error that warrants correction, please contact the editor at email@example.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.