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Is Raymond James Financial Inc’s (NYSE:RJF) CEO Paid At A Competitive Rate?

Paul Reilly became the CEO of Raymond James Financial Inc (NYSE:RJF) in 2010. 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 – as a second measure of performance – we will look at the returns shareholders have received over the last few years. This method should give us information to assess how appropriately the company pays the CEO.

Check out our latest analysis for Raymond James Financial

How Does Paul Reilly’s Compensation Compare With Similar Sized Companies?

Our data indicates that Raymond James Financial Inc is worth US$11.1b, and total annual CEO compensation is US$10m. That’s a notable increase of 18% 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.

That means Paul Reilly receives fairly typical remuneration for the CEO of a large company. 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 Raymond James Financial has changed over time.

NYSE:RJF CEO Compensation November 6th 18

Is Raymond James Financial Inc Growing?

On average over the last three years, Raymond James Financial Inc has grown earnings per share (EPS) by 18% each year. It achieved revenue growth of 14% over the last year.

This shows that the company has improved itself over the last few years. Good news for shareholders. It’s also good to see decent revenue growth in the last year, suggesting the business is healthy and growing.

Shareholders might be interested in this free visualization of analyst forecasts. .

Has Raymond James Financial Inc Been A Good Investment?

Most shareholders would probably be pleased with Raymond James Financial Inc for providing a total return of 45% over three years. This strong performance might mean some shareholders don’t mind if the CEO is paid more than is normal for a company of its size.

In Summary…

Paul Reilly is paid around the same as most CEOs of large companies.

Shareholders would surely be happy to see that shareholder returns have been great, and the earnings per share are up. Although the pay is a normal amount, some shareholders probably consider it fair or modest, given the good performance of the stock. So you may want to check if insiders are buying Raymond James Financial Inc shares with their own money (free access).

Or you might prefer this data-rich interactive visualization of historic revenue and earnings.

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.