Yahoo Finance Here's What We Think About Kronos Worldwide, Inc.'s (NYSE:KRO) CEO Pay
Robert Graham has been the CEO of Kronos Worldwide, Inc. (NYSE:KRO) since 2017. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. 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 Kronos Worldwide
How Does Robert Graham's Compensation Compare With Similar Sized Companies?
Our data indicates that Kronos Worldwide, Inc. is worth US$1.3b, and total annual CEO compensation was reported as US$2.6m for the year to December 2018. It is worth noting that the CEO compensation consists almost entirely of the salary, worth US$2.6m. When we examined a selection of companies with market caps ranging from US$1.0b to US$3.2b, we found the median CEO total compensation was US$3.9m.
A first glance this seems like a real positive for shareholders, since Robert Graham is paid less than the average total compensation paid by similar sized companies. However, before we heap on the praise, we should delve deeper to understand business performance.
You can see a visual representation of the CEO compensation at Kronos Worldwide, below.
Is Kronos Worldwide, Inc. Growing?
Over the last three years Kronos Worldwide, Inc. has grown its earnings per share (EPS) by an average of 8.8% per year (using a line of best fit). Its revenue is down 3.3% over last year.
I would argue that the lack of revenue growth in the last year is less than ideal, 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. It could be important to check this free visual depiction of what analysts expect for the future.
Has Kronos Worldwide, Inc. Been A Good Investment?
Kronos Worldwide, Inc. has generated a total shareholder return of 1.2% 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...
It appears that Kronos Worldwide, Inc. remunerates its CEO below most similar sized companies.
It's well worth noting that while Robert Graham is paid less than most company leaders (at companies of similar size), share price performance has been somewhat uninspiring. But on this analysis I see no issue with the CEO compensation. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Kronos Worldwide.
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.
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.
