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Should You Worry About Esker SA's (EPA:ALESK) CEO Pay Cheque?

The CEO of Esker SA (EPA:ALESK) is Jean-Michel Bérard. 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. This process should give us an idea about how appropriately the CEO is paid.

View our latest analysis for Esker

How Does Jean-Michel Bérard's Compensation Compare With Similar Sized Companies?

Our data indicates that Esker SA is worth €462m, and total annual CEO compensation was reported as €387k for the year to December 2018. We think total compensation is more important but we note that the CEO salary is lower, at €202k. We looked at a group of companies with market capitalizations from €182m to €726m, and the median CEO total compensation was €408k.

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That means Jean-Michel Bérard receives fairly typical remuneration for the CEO of a company that size. 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 Esker, below.

ENXTPA:ALESK CEO Compensation, December 2nd 2019
ENXTPA:ALESK CEO Compensation, December 2nd 2019

Is Esker SA Growing?

On average over the last three years, Esker SA has grown earnings per share (EPS) by 10% each year (using a line of best fit). It achieved revenue growth of 17% over the last year.

This shows that the company has improved itself over the last few years. Good news for shareholders. It's also good to see decent revenue growth in the last year, suggesting the business is healthy and growing. It could be important to check this free visual depiction of what analysts expect for the future.

Has Esker SA Been A Good Investment?

I think that the total shareholder return of 97%, over three years, would leave most Esker SA 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...

Jean-Michel Bérard is paid around the same as most CEOs of similar size companies.

The company is growing earnings per share and total shareholder returns have been pleasing. Although the pay is a normal amount, some shareholders probably consider it fair or modest, given the good performance of the stock. Whatever your view on compensation, you might want to check if insiders are buying or selling Esker shares (free trial).

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity 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.

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. Thank you for reading.