Does Esquire Financial Holdings' (NASDAQ:ESQ) CEO Salary Compare Well With The Performance Of The Company?

Andrew Sagliocca became the CEO of Esquire Financial Holdings, Inc. (NASDAQ:ESQ) in 2009, and we think it's a good time to look at the executive's compensation against the backdrop of overall company performance. This analysis will also look to assess whether the CEO is appropriately paid, considering recent earnings growth and investor returns for Esquire Financial Holdings.

Check out our latest analysis for Esquire Financial Holdings

Comparing Esquire Financial Holdings, Inc.'s CEO Compensation With the industry

Our data indicates that Esquire Financial Holdings, Inc. has a market capitalization of US$115m, and total annual CEO compensation was reported as US$1.9m for the year to December 2019. That's a notable increase of 12% on last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at US$575k.

For comparison, other companies in the industry with market capitalizations below US$200m, reported a median total CEO compensation of US$650k. Accordingly, our analysis reveals that Esquire Financial Holdings, Inc. pays Andrew Sagliocca north of the industry median. Moreover, Andrew Sagliocca also holds US$2.1m worth of Esquire Financial Holdings stock directly under their own name, which reveals to us that they have a significant personal stake in the company.

Talking in terms of the industry, salary represented approximately 43% of total compensation out of all the companies we analyzed, while other remuneration made up 57% of the pie. In Esquire Financial Holdings' case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. If non-salary compensation dominates total pay, it's an indicator that the executive's salary is tied to company performance.

A Look at Esquire Financial Holdings, Inc.'s Growth Numbers

Esquire Financial Holdings, Inc. has seen its earnings per share (EPS) increase by 39% a year over the past three years. It achieved revenue growth of 13% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. Moving away from current form for a second, it could be important to check this free visual depiction of what analysts expect for the future.

Has Esquire Financial Holdings, Inc. Been A Good Investment?

Esquire Financial Holdings, Inc. has generated a total shareholder return of 3.7% over three years, so most shareholders wouldn't be too disappointed. But they would probably prefer not to see CEO compensation far in excess of the median.

In Summary...

As we touched on above, Esquire Financial Holdings, Inc. is currently paying its CEO higher than the median pay for CEOs of companies belonging to the same industry and with similar market capitalizations. But the company has impressed us with its earnings per share growth, over three years. Looking at the same time period, we think that the shareholder returns are respectable. You might wish to research management further, but on this analysis, considering the EPS growth, we wouldn't say CEO compensation problematic.

Shareholders may want to check for free if Esquire Financial Holdings insiders are buying or selling shares.

Switching gears from Esquire Financial Holdings, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.

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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com.