Ian Mattioli is the CEO of Mattioli Woods plc (LON:MTW). 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 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.
Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card!
How Does Ian Mattioli’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that Mattioli Woods plc has a market cap of UK£217m, and is paying total annual CEO compensation of UK£1.7m. (This figure is for the year to May 2018). We think total compensation is more important but we note that the CEO salary is lower, at UK£540k. We looked at a group of companies with market capitalizations from UK£79m to UK£316m, and the median CEO total compensation was UK£514k.
Thus we can conclude that Ian Mattioli receives more in total compensation than the median of a group of companies in the same market, and of similar size to Mattioli Woods plc. However, this doesn’t necessarily mean the pay is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.
You can see a visual representation of the CEO compensation at Mattioli Woods, below.
Is Mattioli Woods plc Growing?
Mattioli Woods plc has increased its earnings per share (EPS) by an average of 18% a year, over the last three years (using a line of best fit). Its revenue is up 8.6% over last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. It’s nice to see a little revenue growth, as this is consistent with healthy business conditions. It could be important to check this free visual depiction of what analysts expect for the future.
Has Mattioli Woods plc Been A Good Investment?
Mattioli Woods plc has generated a total shareholder return of 33% over three years, so most shareholders would be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
We compared the total CEO remuneration paid by Mattioli Woods plc, and compared it to remuneration at a group of similar sized companies. Our data suggests that it pays above the median CEO pay within that group.
However we must not forget that the EPS growth has been very strong over three years. Looking at the same time period, we think that the shareholder returns are respectable. You might wish to research management further, but on this analysis, considering the EPS growth, we wouldn’t call the CEO pay problematic. Shareholders may want to check for free if Mattioli Woods insiders are buying or selling shares.
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 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. Thank you for reading.