Yahoo Finance Does Osisko Gold Royalties Ltd's (TSE:OR) CEO Pay Matter?
Sean E. Roosen has been the CEO of Osisko Gold Royalties Ltd (TSE:OR) since 2014. 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. 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 Osisko Gold Royalties
How Does Sean E. Roosen's Compensation Compare With Similar Sized Companies?
Our data indicates that Osisko Gold Royalties Ltd is worth CA$2.0b, and total annual CEO compensation was reported as CA$2.3m for the year to December 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CA$486k. We note that more than half of the total compensation is not the salary; and performance requirements may apply to this non-salary portion. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of CA$1.3b to CA$4.2b. The median total CEO compensation was CA$2.9m.
So Sean E. Roosen receives a similar amount to the median CEO pay, amongst the companies we looked at. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.
You can see, below, how CEO compensation at Osisko Gold Royalties has changed over time.
Is Osisko Gold Royalties Ltd Growing?
On average over the last three years, Osisko Gold Royalties Ltd has shrunk earnings per share by 107% each year (measured with a line of best fit). It saw its revenue drop 5.7% over the last year.
Few shareholders would be pleased to read that earnings per share are lower over three years. And the impression is worse when you consider revenue is down year-on-year. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. It could be important to check this free visual depiction of what analysts expect for the future.
Has Osisko Gold Royalties Ltd Been A Good Investment?
Given the total loss of 6.0% over three years, many shareholders in Osisko Gold Royalties Ltd are probably rather dissatisfied, to say the least. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
Sean E. Roosen is paid around what is normal the leaders of comparable size companies.
The company isn't growing EPS, and shareholder returns have been disappointing. Most would consider it prudent for the company to hold off any CEO pay rise until performance improves. So you may want to check if insiders are buying Osisko Gold Royalties shares with their own money (free access).
If you want to buy a stock that is better than Osisko Gold Royalties, this free list of high return, low debt companies is a great place to look.
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.
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. Thank you for reading.
