Yahoo Finance Does CardioComm Solutions, Inc.'s (CVE:EKG) CEO Pay Compare Well With Peers?
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In 2010 Etienne Grima was appointed CEO of CardioComm Solutions, Inc. (CVE:EKG). First, this article will compare CEO compensation with compensation at similar sized companies. Next, we'll consider growth that the business demonstrates. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This process should give us an idea about how appropriately the CEO is paid.
View our latest analysis for CardioComm Solutions
How Does Etienne Grima's Compensation Compare With Similar Sized Companies?
According to our data, CardioComm Solutions, Inc. has a market capitalization of CA$9.0m, and pays its CEO total annual compensation worth CA$192k. (This is based on the year to December 2017). While we always look at total compensation first, we note that the salary component is less, at CA$180k. We took a group of companies with market capitalizations below CA$269m, and calculated the median CEO total compensation to be CA$144k.
Thus we can conclude that Etienne Grima receives more in total compensation than the median of a group of companies in the same market, and of similar size to CardioComm Solutions, Inc.. However, this doesn't necessarily mean the pay is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.
You can see, below, how CEO compensation at CardioComm Solutions has changed over time.
Is CardioComm Solutions, Inc. Growing?
On average over the last three years, CardioComm Solutions, Inc. has grown earnings per share (EPS) by 73% each year (using a line of best fit). In the last year, its revenue is down -32%.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. While it would be good to see revenue growth, profits matter more in the end. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has CardioComm Solutions, Inc. Been A Good Investment?
I think that the total shareholder return of 44%, over three years, would leave most CardioComm Solutions, 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...
We examined the amount CardioComm Solutions, Inc. pays its CEO, and compared it to the amount paid by similar sized companies. As discussed above, we discovered that the company pays more than the median of that group.
However, the earnings per share growth over three years is certainly impressive. On top of that, in the same period, returns to shareholders have been great. Considering this fine result for shareholders, we daresay the CEO compensation might be apt. So you may want to check if insiders are buying CardioComm Solutions shares with their own money (free access).
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.
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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. Thank you for reading.
