Yahoo Finance Does Sporttotal AG's (ETR:WIG1) CEO Pay Compare Well With Peers?
Peter Lauterbach has been the CEO of Sporttotal AG (ETR:WIG1) since 2013. 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 - as a second measure of performance - we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.
See our latest analysis for Sporttotal
How Does Peter Lauterbach's Compensation Compare With Similar Sized Companies?
According to our data, Sporttotal AG has a market capitalization of €25m, and paid its CEO total annual compensation worth €335k over the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at €316k. We looked at a group of companies with market capitalizations under €180m, and the median CEO total compensation was €388k.
So Peter Lauterbach receives a similar amount to the median CEO pay, amongst the companies we looked at. This doesn't tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.
The graphic below shows how CEO compensation at Sporttotal has changed from year to year.
Is Sporttotal AG Growing?
On average over the last three years, Sporttotal AG has shrunk earnings per share by 32% each year (measured with a line of best fit). Its revenue is down 26% over last year.
Sadly for shareholders, earnings per share are actually down, over three years. This is compounded by the fact revenue is actually down on last year. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. You might want to check this free visual report on analyst forecasts for future earnings.
Has Sporttotal AG Been A Good Investment?
Since shareholders would have lost about 60% over three years, some Sporttotal AG shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
Remuneration for Peter Lauterbach is close enough to the median pay for a CEO of a similar sized company .
The company isn't growing EPS, and shareholder returns have been disappointing. Most would consider it prudent for the company to hold off any CEO pay rise until performance improves. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Sporttotal.
Important note: Sporttotal 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.
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