Yahoo Finance Here's What We Think About Condor Petroleum's (TSE:CPI) CEO Pay
Don Streu has been the CEO of Condor Petroleum Inc. (TSE:CPI) since 2008, and this article will examine the executive's compensation with respect to the overall performance of the company. This analysis will also assess whether Condor Petroleum pays its CEO appropriately, considering recent earnings growth and total shareholder returns.
Check out our latest analysis for Condor Petroleum
How Does Total Compensation For Don Streu Compare With Other Companies In The Industry?
At the time of writing, our data shows that Condor Petroleum Inc. has a market capitalization of CA$25m, and reported total annual CEO compensation of CA$400k for the year to December 2019. That's a notable decrease of 10% on last year. In particular, the salary of CA$375.0k, makes up a huge portion of the total compensation being paid to the CEO.
For comparison, other companies in the industry with market capitalizations below CA$264m, reported a median total CEO compensation of CA$339k. So it looks like Condor Petroleum compensates Don Streu in line with the median for the industry. Furthermore, Don Streu directly owns CA$136k worth of shares in the company.
Component | 2019 | 2018 | Proportion (2019) |
Salary | CA$375k | CA$375k | 94% |
Other | CA$25k | CA$71k | 6% |
Total Compensation | CA$400k | CA$446k | 100% |
Speaking on an industry level, nearly 44% of total compensation represents salary, while the remainder of 56% is other remuneration. Condor Petroleum is paying a higher share of its remuneration through a salary in comparison to the overall industry. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.
Condor Petroleum Inc.'s Growth
Condor Petroleum Inc. has seen its earnings per share (EPS) increase by 71% a year over the past three years. In the last year, its revenue is down 61%.
Shareholders would be glad to know that the company has improved itself over the last few years. While it would be good to see revenue growth, profits matter more in the end. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Condor Petroleum Inc. Been A Good Investment?
With a three year total loss of 9.7% for the shareholders, Condor Petroleum Inc. would certainly have some dissatisfied shareholders. So shareholders would probably want the company to be lessto generous with CEO compensation.
To Conclude...
As we touched on above, Condor Petroleum Inc. is currently paying a compensation that's close to the median pay for CEOs of companies belonging to the same industry and with similar market capitalizations. On the other hand, the company has logged negative shareholder returns over the previous three years. However, EPS growth is positive over the same time frame. Overall, we wouldn't say Don is paid an unjustified compensation, but shareholders might not favor a raise before shareholder returns show a positive trend.
CEO compensation is a crucial aspect to keep your eyes on but investors also need to keep their eyes open for other issues related to business performance. That's why we did some digging and identified 3 warning signs for Condor Petroleum that you should be aware of before investing.
Of course, you might find a fantastic investment by looking at a different set of stocks. So take a peek at this free list of interesting companies.
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.
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