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How Much Did United Continental Holdings Inc’s (NASDAQ:UAL) CEO Pocket Last Year?

In 2015 Oscar Munoz was appointed CEO of United Continental Holdings Inc (NASDAQ:UAL). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at other big 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. The aim of all this is to consider the appropriateness of CEO pay levels.

See our latest analysis for United Continental Holdings

How Does Oscar Munoz’s Compensation Compare With Similar Sized Companies?

Our data indicates that United Continental Holdings Inc is worth US$24.4b, and total annual CEO compensation is US$10m. That’s below the compensation, last year. We took a group of companies with market capitalizations over US$8.0b, and calculated the median CEO compensation to be US$11m.

That means Oscar Munoz receives fairly typical remuneration for the CEO of a large company. This doesn’t tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.

The graphic below shows how CEO compensation at United Continental Holdings has changed from year to year.

NasdaqGS:UAL CEO Compensation November 7th 18
NasdaqGS:UAL CEO Compensation November 7th 18

Is United Continental Holdings Inc Growing?

Over the last three years United Continental Holdings Inc has shrunk its earnings per share by an average of 42% per year. Its revenue is up 7.6% over last year.

Few shareholders would be pleased to read that earnings per share are lower over three years. The fairly low revenue growth fails to impress given that the earnings per share is down. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO.

You might want to check this free visual report on analyst forecasts for future earnings.

Has United Continental Holdings Inc Been A Good Investment?

Boasting a total shareholder return of 46% over three years, United Continental Holdings Inc has done well by shareholders. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.

In Summary…

Oscar Munoz is paid around the same as most CEOs of large companies.

We feel that earnings per share have been a bit disappointing, but it’s nice to see positive shareholder returns over the last three years. So we can’t see a reason to suggest the pay is inappropriate. Shareholders may want to check for free if United Continental Holdings Inc insiders are buying or selling shares.

Or you might rather take a peek at this analytical visualization of historic cash flow, earnings and revenue.

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 editorial-team@simplywallst.com.

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