Does METabolic EXplorer S.A.'s (EPA:METEX) CEO Pay Reflect Performance?

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Benjamin Gonzalez became the CEO of METabolic EXplorer S.A. (EPA:METEX) in 2011. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. 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 METabolic EXplorer

How Does Benjamin Gonzalez's Compensation Compare With Similar Sized Companies?

According to our data, METabolic EXplorer S.A. has a market capitalization of €39m, and paid its CEO total annual compensation worth €368k over the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at €230k. We looked at a group of companies with market capitalizations under €182m, and the median CEO total compensation was €285k.

So Benjamin Gonzalez is paid around the average of the companies we looked at. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.

You can see a visual representation of the CEO compensation at METabolic EXplorer, below.

ENXTPA:METEX CEO Compensation, January 29th 2020
ENXTPA:METEX CEO Compensation, January 29th 2020

Is METabolic EXplorer S.A. Growing?

On average over the last three years, METabolic EXplorer S.A. has shrunk earnings per share by 58% each year (measured with a line of best fit). It saw its revenue drop 62% over the last year.

Unfortunately, earnings per share have trended lower over the last three years. And the fact that revenue is down year on year arguably paints an ugly picture. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. Shareholders might be interested in this free visualization of analyst forecasts.

Has METabolic EXplorer S.A. Been A Good Investment?

Since shareholders would have lost about 29% over three years, some METabolic EXplorer S.A. shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.

In Summary...

Benjamin Gonzalez is paid around what is normal the leaders of comparable size companies.

The company isn't growing EPS, and shareholder returns have been disappointing. Few would argue that it's wise for the company to pay any more, before returns improve. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at METabolic EXplorer.

If you want to buy a stock that is better than METabolic EXplorer, this free list of high return, low debt companies is a great place to look.

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.

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