In 2013 Phil Wenger was appointed CEO of Fulton Financial Corporation (NASDAQ:FULT). First, this article will compare CEO compensation with compensation at similar sized companies. 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. The aim of all this is to consider the appropriateness of CEO pay levels.
How Does Phil Wenger’s Compensation Compare With Similar Sized Companies?
According to our data, Fulton Financial Corporation has a market capitalization of US$2.9b, and pays its CEO total annual compensation worth US$3.2m. (This number is for the twelve months until December 2017). While we always look at total compensation first, we note that the salary component is less, at US$993k. When we examined a selection of companies with market caps ranging from US$2.0b to US$6.4b, we found the median CEO compensation was US$4.7m.
Most shareholders would consider it a positive that Phil Wenger takes less compensation than the CEOs of most similar size companies, leaving more for shareholders. While this is a good thing, you’ll need to understand the business better before you can form an opinion.
You can see, below, how CEO compensation at Fulton Financial has changed over time.
Is Fulton Financial Corporation Growing?
On average over the last three years, Fulton Financial Corporation has grown earnings per share (EPS) by 8.8% each year (using a line of best fit). Its revenue is up 1.7% over last year.
I’d prefer higher revenue growth, but I’m happy with the modest EPS growth. Considering these factors I’d say performance has been pretty decent, though not amazing. It could be important to check this free visual depiction of what analysts expect for the future.
Has Fulton Financial Corporation Been A Good Investment?
I think that the total shareholder return of 39%, over three years, would leave most Fulton Financial Corporation 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.
It appears that Fulton Financial Corporation remunerates its CEO below most similar sized companies.
Phil Wenger is paid less than what is normal at similar size companies, and the total shareholder return has been pleasing over the last three years. So, while it might be nice to have better EPS growth, on our analysis the CEO compensation is quite modest. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Fulton Financial.
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.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
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.