Ken Asbury has been the CEO of CACI International Inc (NYSE:CACI) since 2013. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Then we'll look at a snap shot of the business growth. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This method should give us information to assess how appropriately the company pays the CEO.
How Does Ken Asbury's Compensation Compare With Similar Sized Companies?
According to our data, CACI International Inc has a market capitalization of US$4.5b, and pays its CEO total annual compensation worth US$7.1m. (This number is for the twelve months until June 2018). We think total compensation is more important but we note that the CEO salary is lower, at US$922k. 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.
Thus we can conclude that Ken Asbury receives more in total compensation than the median of a group of companies in the same market, and of similar size to CACI International Inc. However, this doesn't necessarily mean the pay is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.
You can see a visual representation of the CEO compensation at CACI International, below.
Is CACI International Inc Growing?
On average over the last three years, CACI International Inc has grown earnings per share (EPS) by 32% each year (using a line of best fit). Its revenue is up 5.6% over last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. It's nice to see a little revenue growth, as this is consistent with healthy business conditions. You might want to check this free visual report on analyst forecasts for future earnings.
Has CACI International Inc Been A Good Investment?
I think that the total shareholder return of 75%, over three years, would leave most CACI International Inc shareholders smiling. 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.
We compared the total CEO remuneration paid by CACI International Inc, and compared it to remuneration at a group of similar sized companies. We found that it pays well over the median amount paid in the benchmark group.
However we must not forget that the EPS growth has been very strong over three years. In addition, shareholders have done well over the same time period. As a result of this good performance, the CEO remuneration may well be quite reasonable. Whatever your view on compensation, you might want to check if insiders are buying or selling CACI International shares (free trial).
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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