Chris Swift became the CEO of The Hartford Financial Services Group Inc (NYSE:HIG) in 2014. This analysis aims first to contrast CEO compensation with other large companies. Next, we’ll consider growth that the business demonstrates. And finally – as a second measure of performance – we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.
How Does Chris Swift’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that The Hartford Financial Services Group Inc has a market cap of US$16.7b, and is paying total annual CEO compensation of US$13m. That’s a notable increase of 30% on last year. We looked at a group of companies with market capitalizations over US$8.0b and the median CEO compensation was US$11m.
So Chris Swift is paid around the average of the companies we looked at. While this data point isn’t particularly informative alone, it gains more meaning when considered with business performance.
The graphic below shows how CEO compensation at Hartford Financial Services Group has changed from year to year.
Is The Hartford Financial Services Group Inc Growing?
The Hartford Financial Services Group Inc has reduced its earnings per share by an average of 62% a year, over the last three years. It achieved revenue growth of 26% over the last year.
As investors, we do are a bit wary of companies that have lower earnings per share, over three years. But on the other hand, revenue growth is strong, suggesting a brighter future. These two metric are moving in different directions, so while it’s hard to be confident judging performance, we think the stock is worth watching.
Shareholders might be interested in this free visualization of analyst forecasts. .
Has The Hartford Financial Services Group Inc Been A Good Investment?
The Hartford Financial Services Group Inc has generated a total shareholder return of 5.0% over three years, so most shareholders wouldn’t be too disappointed. 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.
Chris Swift is paid around the same as most CEOs of large companies.
We see room for improved growth, as well as fairly unremarkable returns over the last three years. While there is room for improvement, we haven’t seen evidence to suggest the pay is too generous. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at The Hartford Financial Services Group Inc.
Of course, the past can be informative so you might be interested in considering this analytical visualization showing the company history of 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 firstname.lastname@example.org.