Yahoo Finance Is Journeo plc's (LON:JNEO) CEO Paid At A Competitive Rate?
Russ Singleton became the CEO of Journeo plc (LON:JNEO) in 2013. 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 method should give us information to assess how appropriately the company pays the CEO.
View our latest analysis for Journeo
How Does Russ Singleton's Compensation Compare With Similar Sized Companies?
According to our data, Journeo plc has a market capitalization of UK£4.5m, and paid its CEO total annual compensation worth UK£179k over the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at UK£150k. We examined a group of similar sized companies, with market capitalizations of below UK£155m. The median CEO total compensation in that group is UK£251k.
That means Russ Singleton receives fairly typical remuneration for the CEO of a company that size. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.
The graphic below shows how CEO compensation at Journeo has changed from year to year.
Is Journeo plc Growing?
Over the last three years Journeo plc has grown its earnings per share (EPS) by an average of 103% per year (using a line of best fit). It saw its revenue drop 5.2% over the last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. Revenue growth is a real positive for growth, but ultimately profits are more important. Shareholders might be interested in this free visualization of analyst forecasts.
Has Journeo plc Been A Good Investment?
I think that the total shareholder return of 51%, over three years, would leave most Journeo plc shareholders smiling. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
In Summary...
Russ Singleton is paid around what is normal the leaders of comparable size companies.
The company is growing earnings per share and total shareholder returns have been pleasing. So one could argue the CEO compensation is quite modest, if you consider company performance! CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Journeo (free visualization of insider trades).
Important note: Journeo may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE 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.
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