Yahoo Finance Does Peyto Exploration & Development Corp’s (TSE:PEY) CEO Pay Matter?
Darren Gee has been the CEO of Peyto Exploration & Development Corp (TSE:PEY) since 2007. 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 – 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.
See our latest analysis for Peyto Exploration & Development
How Does Darren Gee’s Compensation Compare With Similar Sized Companies?
Our data indicates that Peyto Exploration & Development Corp is worth CA$1.8b, and total annual CEO compensation is CA$2.8m. That’s less than last year. We examined companies with market caps from CA$1.3b to CA$4.2b, and discovered that the median CEO compensation of that group was CA$2.8m.
That means Darren Gee receives fairly typical remuneration for the CEO of a company that size. 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.
The graphic below shows how CEO compensation at Peyto Exploration & Development has changed from year to year.
Is Peyto Exploration & Development Corp Growing?
Over the last three years Peyto Exploration & Development Corp has grown its earnings per share (EPS) by an average of 7.2% per year. Its revenue is down -25% over last year.
I would prefer it if there was revenue growth, but the improvement in EPS is good. It’s hard to reach a conclusion about business performance right now. This may be one to watch.
You might want to check this free visual report on analyst forecasts for future earnings.
Has Peyto Exploration & Development Corp Been A Good Investment?
Given the total loss of 51% over three years, many shareholders in Peyto Exploration & Development Corp are probably rather dissatisfied, to say the least. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary…
Darren Gee is paid around what is normal the leaders of comparable size companies.
We would like to see somewhat stronger per share growth. And we think the shareholder returns – over three years – have been underwhelming. So many would argue that the CEO is certainly not underpaid. Whatever your view on compensation, you might want to check if insiders are buying or selling Peyto Exploration & Development Corp shares (free trial).
Or you might prefer examine intently this intuitive graph showing past earnings and revenue.
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.
