Yahoo Finance Is ProMIS Neurosciences, Inc. (TSE:PMN) Overpaying Its CEO?
Elliot Goldstein has been the CEO of ProMIS Neurosciences, Inc. (TSE:PMN) since 2015. 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. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. This process should give us an idea about how appropriately the CEO is paid.
View our latest analysis for ProMIS Neurosciences
How Does Elliot Goldstein's Compensation Compare With Similar Sized Companies?
According to our data, ProMIS Neurosciences, Inc. has a market capitalization of CA$59m, and paid its CEO total annual compensation worth CA$884k over the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at CA$523k. We examined a group of similar sized companies, with market capitalizations of below CA$265m. The median CEO total compensation in that group is CA$210k.
It would therefore appear that ProMIS Neurosciences, Inc. pays Elliot Goldstein 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 better assess whether the pay is overly generous by looking into the underlying business performance.
You can see, below, how CEO compensation at ProMIS Neurosciences has changed over time.
Is ProMIS Neurosciences, Inc. Growing?
Over the last three years ProMIS Neurosciences, Inc. has shrunk its earnings per share by an average of 25% per year (measured with a line of best fit). It achieved revenue growth of 107% over the last year.
Investors should note that, over three years, earnings per share are down. But in contrast the revenue growth is strong, suggesting future potential for earnings growth. In conclusion we can't form a strong opinion about business performance yet; but it's one worth watching. Shareholders might be interested in this free visualization of analyst forecasts.
Has ProMIS Neurosciences, Inc. Been A Good Investment?
I think that the total shareholder return of 38%, over three years, would leave most ProMIS Neurosciences, Inc. 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.
In Summary...
We compared total CEO remuneration at ProMIS Neurosciences, Inc. with the amount paid at companies with a similar market capitalization. As discussed above, we discovered that the company pays more than the median of that group.
Over the last three years returns to investors have been great, though we might have liked stronger business growth. Considering this fine result for investors, we daresay the CEO compensation might be apt. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at ProMIS Neurosciences.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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