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Here's What We Think About Patriot Transportation Holding, Inc.'s (NASDAQ:PATI) CEO Pay

Simply Wall St

Rob Sandlin has been the CEO of Patriot Transportation Holding, Inc. (NASDAQ:PATI) since 2017. 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. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. This method should give us information to assess how appropriately the company pays the CEO.

Check out our latest analysis for Patriot Transportation Holding

How Does Rob Sandlin's Compensation Compare With Similar Sized Companies?

Our data indicates that Patriot Transportation Holding, Inc. is worth US$60m, and total annual CEO compensation was reported as US$538k for the year to September 2018. While we always look at total compensation first, we note that the salary component is less, at US$317k. We examined a group of similar sized companies, with market capitalizations of below US$200m. The median CEO total compensation in that group is US$496k.

So Rob Sandlin receives a similar amount to the median CEO pay, amongst the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.

You can see, below, how CEO compensation at Patriot Transportation Holding has changed over time.

NasdaqGS:PATI CEO Compensation, October 2nd 2019

Is Patriot Transportation Holding, Inc. Growing?

Patriot Transportation Holding, Inc. has reduced its earnings per share by an average of 21% a year, over the last three years (measured with a line of best fit). It saw its revenue drop 1.6% over the last year.

Unfortunately, earnings per share have trended lower over the last three years. This is compounded by the fact revenue is actually down on last year. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. Although we don't have analyst forecasts you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has Patriot Transportation Holding, Inc. Been A Good Investment?

With a three year total loss of 13%, Patriot Transportation Holding, Inc. would certainly have some dissatisfied shareholders. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

Rob Sandlin is paid around what is normal the leaders of comparable size companies.

After looking at EPS and total shareholder returns, it's certainly hard to argue the company has performed well, since both metrics are down. Suffice it to say, we don't think the CEO is underpaid! Shareholders may want to check for free if Patriot Transportation Holding insiders are buying or selling shares.

If you want to buy a stock that is better than Patriot Transportation Holding, this free list of high return, low debt companies is a great place to look.

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 editorial-team@simplywallst.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.