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Jim Evaskevich became the CEO of Yangarra Resources Ltd. (TSE:YGR) in 2001. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. After that, we will consider the growth in the business. 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.
How Does Jim Evaskevich's Compensation Compare With Similar Sized Companies?
According to our data, Yangarra Resources Ltd. has a market capitalization of CA$187m, and pays its CEO total annual compensation worth CA$2.9m. (This figure is for the year to December 2018). That's a notable increase of 509% on last year. While we always look at total compensation first, we note that the salary component is less, at CA$264k. We looked at a group of companies with market capitalizations under CA$268m, and the median CEO total compensation was CA$150k.
It would therefore appear that Yangarra Resources Ltd. pays Jim Evaskevich more than the median CEO remuneration at companies of a similar size, in the same market. However, this fact alone doesn't mean the remuneration is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.
You can see a visual representation of the CEO compensation at Yangarra Resources, below.
Is Yangarra Resources Ltd. Growing?
On average over the last three years, Yangarra Resources Ltd. has grown earnings per share (EPS) by 52% each year (using a line of best fit). Its revenue is up 56% over last year.
This demonstrates that the company has been improving recently. A good result. Most shareholders would be pleased to see strong revenue growth combined with EPS growth. This combo suggests a fast growing business. You might want to check this free visual report on analyst forecasts for future earnings.
Has Yangarra Resources Ltd. Been A Good Investment?
I think that the total shareholder return of 109%, over three years, would leave most Yangarra Resources Ltd. shareholders smiling. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.
We examined the amount Yangarra Resources Ltd. pays its CEO, and compared it to the amount paid by similar sized companies. As discussed above, we discovered that the company pays more than the median of that group.
However we must not forget that the EPS growth has been very strong over three years. Even better, returns to shareholders have been plentiful, over the same time period. So, considering this good performance, the CEO compensation may be quite appropriate. Whatever your view on compensation, you might want to check if insiders are buying or selling Yangarra Resources shares (free trial).
If you want to buy a stock that is better than Yangarra Resources, this free list of high return, low debt companies is a great place to look.
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.
If you spot an error that warrants correction, please contact the editor at email@example.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. Thank you for reading.