Yahoo Finance Does Cohort PLC’s (LON:CHRT) CEO Pay Reflect Performance?
Andy Thomis has been the CEO of Cohort PLC (LON:CHRT) since 2009. 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 – as a second measure of performance – we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.
Check out our latest analysis for Cohort
How Does Andy Thomis’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Cohort PLC has a market cap of UK£164m, and is paying total annual CEO compensation of UK£447k. That’s just a smallish increase of 1.3% on last year. We examined companies with market caps from UK£76m to UK£306m, and discovered that the median CEO compensation of that group was UK£485k.
So Andy Thomis receives a similar amount to the median CEO pay, amongst the companies we looked at. While this data point isn’t particularly informative alone, it gains more meaning when considered with business performance.
You can see a visual representation of the CEO compensation at Cohort, below.
Is Cohort PLC Growing?
Over the last three years Cohort PLC has grown its earnings per share (EPS) by an average of 2.7% per year. In the last year, its revenue changed by just -0.8%.
I would argue that the lack of revenue growth in the last year is less than ideal, but the improvement in EPS is good. These two metric are moving in different directions, so while it’s hard to be confident judging performance, we think the stock is worth watching.
Shareholders might be interested in this free visualization of analyst forecasts. .
Has Cohort PLC Been A Good Investment?
Cohort PLC has generated a total shareholder return of 3.8% over three years, so most shareholders wouldn’t be too disappointed. But they probably don’t want to see the CEO paid more than is normal for companies around the same size.
In Summary…
Andy Thomis is paid around what is normal the leaders of comparable size companies.
The company isn’t showing particularly great growth, and shareholder turns haven’t been particularly inspiring in the last few years. While there is room for improvement, we haven’t seen evidence to suggest the pay is too generous. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Cohort PLC (free visualization of insider trades).
Or you might prefer examine intently this intuitive graph showing past earnings and revenue.
To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.
