Jack Kopnisky has been the CEO of Sterling Bancorp (NYSE:STL) since 2011. 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.
How Does Jack Kopnisky’s Compensation Compare With Similar Sized Companies?
Our data indicates that Sterling Bancorp is worth US$4.1b, and total annual CEO compensation was reported as US$4.3m for the year to December 2018. While we always look at total compensation first, we note that the salary component is less, at US$850k. We further remind readers that the CEO may face performance requirements to receive the non-salary part of the total compensation. We looked at a group of companies with market capitalizations from US$2.0b to US$6.4b, and the median CEO total compensation was US$4.9m.
So Jack Kopnisky 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.
You can see a visual representation of the CEO compensation at Sterling Bancorp, below.
Is Sterling Bancorp Growing?
Over the last three years Sterling Bancorp has grown its earnings per share (EPS) by an average of 29% per year (using a line of best fit). It saw its revenue drop 2.1% over the last year.
This demonstrates that the company has been improving recently. A good result. Revenue growth is a real positive for growth, but ultimately profits are more important. It could be important to check this free visual depiction of what analysts expect for the future.
Has Sterling Bancorp Been A Good Investment?
Given the total loss of 8.2% over three years, many shareholders in Sterling Bancorp are probably rather dissatisfied, to say the least. This suggests it would be unwise for the company to pay the CEO too generously.
Jack Kopnisky is paid around what is normal the leaders of comparable size companies.
We like that the company is growing EPS, but we find the returns over the last three years to be lacking. Considering the the positives we don’t think the CEO pays is too high, but it’s certainly hard to argue it is too low. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Sterling Bancorp.
Important note: Sterling Bancorp 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.
If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. 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.