Is Retail Estates NV's (EBR:RET) CEO Overpaid Relative To Its Peers?

Jan De Nys became the CEO of Retail Estates NV (EBR:RET) in 1998. 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 we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This method should give us information to assess how appropriately the company pays the CEO.

Check out our latest analysis for Retail Estates

How Does Jan De Nys's Compensation Compare With Similar Sized Companies?

According to our data, Retail Estates NV has a market capitalization of €825m, and pays its CEO total annual compensation worth €394k. That's just a smallish increase of 0.6% on last year. We examined companies with market caps from €348m to €1.4b, and discovered that the median CEO compensation of that group was €351k.

That means Jan De Nys receives fairly typical remuneration for the CEO of a company that size. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.

Is Retail Estates NV Growing?

Retail Estates NV has increased its earnings per share (EPS) by an average of 5.7% a year, over the last three years In the last year, its revenue is up 17%.

I would argue that the modest growth in revenue is a notable positive. And, while modest, the earnings per share growth is noticeable. So while performance isn't amazing, we think it really does seem quite respectable.

You might want to check this free visual report on analyst forecasts for future earnings.

Has Retail Estates NV Been A Good Investment?

Retail Estates NV has generated a total shareholder return of 5.9% over three years, so most shareholders wouldn't be too disappointed. But they would probably prefer not to see CEO compensation far in excess of the median.

In Summary...

Jan De Nys 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 the CEO may not be underpaid, we don't think the pay is too generous either. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Retail Estates NV (free visualization of insider trades).

Or you might prefer this data-rich interactive visualization of historic revenue and earnings.

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.

Simply Wall St analyst Simply Wall St and Simply Wall St have no position in any of the companies mentioned. This article is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.