Is TriNet Group, Inc.’s (NYSE:TNET) CEO Paid At A Competitive Rate?
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Burton Goldfield became the CEO of TriNet Group, Inc. (NYSE:TNET) in 2008. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we’ll consider growth that the business demonstrates. Third, we’ll reflect on the total return to shareholders over three years, as a second measure of business performance. The aim of all this is to consider the appropriateness of CEO pay levels.
View our latest analysis for TriNet Group
How Does Burton Goldfield’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that TriNet Group, Inc. has a market cap of US$4.3b, and is paying total annual CEO compensation of US$5.5m. (This is based on the year to 2017). While we always look at total compensation first, we note that the salary component is less, at US$751k. We examined companies with market caps from US$2.0b to US$6.4b, and discovered that the median CEO compensation of that group was US$4.7m.
So Burton Goldfield is paid around the average of the companies we looked at. 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.
You can see a visual representation of the CEO compensation at TriNet Group, below.
Is TriNet Group, Inc. Growing?
On average over the last three years, TriNet Group, Inc. has grown earnings per share (EPS) by 63% each year (using a line of best fit). Its revenue is up 7.0% over last year.
This demonstrates that the company has been improving recently. A good result. It’s good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Shareholders might be interested in this free visualization of analyst forecasts.
Has TriNet Group, Inc. Been A Good Investment?
I think that the total shareholder return of 353%, over three years, would leave most TriNet Group, Inc. shareholders smiling. 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.
In Summary…
Remuneration for Burton Goldfield is close enough to the median pay for a CEO of a similar sized company .
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. Shareholders may want to check for free if TriNet Group insiders are buying or selling shares.
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
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. On rare occasion, data errors may occur. Thank you for reading.
