In 2007 Rick O'Dell was appointed CEO of Saia, Inc. (NASDAQ:SAIA). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Then we'll look at a snap shot of the business growth. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This method should give us information to assess how appropriately the company pays the CEO.
How Does Rick O'Dell's Compensation Compare With Similar Sized Companies?
Our data indicates that Saia, Inc. is worth US$2.3b, and total annual CEO compensation was reported as US$3.1m for the year to December 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at US$749k. Importantly, there may be performance hurdles relating to the non-salary component of the total compensation. We examined companies with market caps from US$1.0b to US$3.2b, and discovered that the median CEO total compensation of that group was US$3.9m.
That means Rick O'Dell receives fairly typical remuneration for the CEO of a company that size. 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 Saia has changed from year to year.
Is Saia, Inc. Growing?
On average over the last three years, Saia, Inc. has grown earnings per share (EPS) by 32% each year (using a line of best fit). In the last year, its revenue is up 8.9%.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's also good to see modest revenue growth, suggesting the underlying business is healthy. Shareholders might be interested in this free visualization of analyst forecasts.
Has Saia, Inc. Been A Good Investment?
Boasting a total shareholder return of 94% over three years, Saia, Inc. has done well by shareholders. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.
Remuneration for Rick O'Dell is close enough to the median pay for a CEO of a similar sized company .
Few would be critical of the leadership, since returns have been juicy and earnings per share are moving in the right direction. Indeed, many might consider the pay rather modest, given the solid company performance! If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Saia.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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