How Much is BJ's Restaurants, Inc.'s (NASDAQ:BJRI) CEO Getting Paid?
Greg Trojan became the CEO of BJ's Restaurants, Inc. (NASDAQ:BJRI) in 2013. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.
View our latest analysis for BJ's Restaurants
How Does Greg Trojan's Compensation Compare With Similar Sized Companies?
According to our data, BJ's Restaurants, Inc. has a market capitalization of US$794m, and paid its CEO total annual compensation worth US$3.7m over the year to January 2019. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at US$850k. We further remind readers that the CEO may face performance requirements to receive the non-salary part of the total compensation. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of US$400m to US$1.6b. The median total CEO compensation was US$2.6m.
It would therefore appear that BJ's Restaurants, Inc. pays Greg Trojan more than the median CEO remuneration at companies of a similar size, in the same market. However, this fact alone doesn't mean the remuneration is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.
The graphic below shows how CEO compensation at BJ's Restaurants has changed from year to year.
Is BJ's Restaurants, Inc. Growing?
BJ's Restaurants, Inc. has increased its earnings per share (EPS) by an average of 10% a year, over the last three years (using a line of best fit). In the last year, its revenue is up 4.9%.
This shows that the company has improved itself over the last few years. Good news for shareholders. It's also good to see modest revenue growth, suggesting the underlying business is healthy. It could be important to check this free visual depiction of what analysts expect for the future.
Has BJ's Restaurants, Inc. Been A Good Investment?
BJ's Restaurants, Inc. has not done too badly by shareholders, with a total return of 9.0%, over three years. 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.
In Summary...
We examined the amount BJ's Restaurants, Inc. pays its CEO, and compared it to the amount paid by similar sized companies. We found that it pays well over the median amount paid in the benchmark group.
However, the earnings per share growth over three years is certainly impressive. We also note that, over the same time frame, shareholder returns haven't been bad. While it may be worth researching further, we don't see a problem with the CEO pay, given the good EPS growth. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at BJ's Restaurants.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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.
