Should You Worry About Globex Mining Enterprises Inc.'s (TSE:GMX) CEO Salary Level?

The CEO of Globex Mining Enterprises Inc. (TSE:GMX) is Jack Stoch. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Then we'll look at a snap shot of the business growth. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. The aim of all this is to consider the appropriateness of CEO pay levels.

Check out our latest analysis for Globex Mining Enterprises

How Does Jack Stoch's Compensation Compare With Similar Sized Companies?

Our data indicates that Globex Mining Enterprises Inc. is worth CA$21m, and total annual CEO compensation was reported as CA$183k for the year to December 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at CA$165k. We looked at a group of companies with market capitalizations under CA$263m, and the median CEO total compensation was CA$160k.

That means Jack Stoch 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. Although we don't have analyst forecasts you might want to assess this data-rich visualization of earnings, revenue and cash flow.

You can see a visual representation of the CEO compensation at Globex Mining Enterprises, below.

Is Globex Mining Enterprises Inc. Growing?

Over the last three years Globex Mining Enterprises Inc. has grown its earnings per share (EPS) by an average of 78% per year (using a line of best fit). Its revenue is down 27% over 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.

Has Globex Mining Enterprises Inc. Been A Good Investment?

Globex Mining Enterprises Inc. has served shareholders reasonably well, with a total return of 27% over three years. But they would probably prefer not to see CEO compensation far in excess of the median.

In Summary...

Jack Stoch is paid around the same as most CEOs of similar size companies.

We would wish for better returns (whether dividends or capital gains) but we do admire the solid EPS growth on show here. As a result of these considerations, I would suggest the CEO pay is reasonable. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Globex Mining Enterprises (free visualization of insider trades).

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

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.

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. Thank you for reading.