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Brent Bilsland has been the CEO of Hallador Energy Company (NASDAQ:HNRG) since 2014. First, this article will compare CEO compensation with compensation at similar sized companies. After that, we will consider the growth in the business. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This process should give us an idea about how appropriately the CEO is paid.
How Does Brent Bilsland’s Compensation Compare With Similar Sized Companies?
According to our data, Hallador Energy Company has a market capitalization of US$172m, and pays its CEO total annual compensation worth US$4.4m. (This is based on the year to 2017). While we always look at total compensation first, we note that the salary component is less, at US$350k. When we examined a selection of companies with market caps ranging from US$100m to US$400m, we found the median CEO compensation was US$956k.
As you can see, Brent Bilsland is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean Hallador Energy Company is paying too much. A closer look at the performance of the underlying business will give us a better idea about whether the pay is particularly generous.
You can see a visual representation of the CEO compensation at Hallador Energy, below.
Is Hallador Energy Company Growing?
On average over the last three years, Hallador Energy Company has grown earnings per share (EPS) by 7.2% each year (using a line of best fit). In the last year, its revenue changed by just 0.8%.
I’m not particularly impressed by the revenue growth, but I’m happy with the modest EPS growth. It’s clear the performance has been quite decent, but it it falls short of outstanding,based on this information. Shareholders might be interested in this free visualization of analyst forecasts.
Has Hallador Energy Company Been A Good Investment?
With a total shareholder return of 28% over three years, Hallador Energy Company shareholders would, in general, be reasonably content. But they probably wouldn’t be so happy as to think the CEO should be paid more than is normal, for companies around this size.
We compared the total CEO remuneration paid by Hallador Energy Company, 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.
One might like to have seen stronger growth, and the shareholder returns have failed to inspire, over the last three years. Considering this, we wouldn’t want to see any big pay rises, although we’d stop short of calling the CEO compensation unfair. Shareholders may want to check for free if Hallador Energy insiders are buying or selling shares.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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.