Shareholders May Be More Conservative With Hiper Global Ltd.'s (TLV:HIPR) CEO Compensation For Now
Key Insights
- Hiper Global will host its Annual General Meeting on 23rd of December
- Salary of US$352.0k is part of CEO Shahaf Shrager's total remuneration
- The overall pay is 54% above the industry average
- Over the past three years, Hiper Global's EPS grew by 0.5% and over the past three years, the total shareholder return was 16%
Performance at Hiper Global Ltd. (TLV:HIPR) has been reasonably good and CEO Shahaf Shrager has done a decent job of steering the company in the right direction. As shareholders go into the upcoming AGM on 23rd of December, CEO compensation will probably not be their focus, but rather the steps management will take to continue the growth momentum. However, some shareholders will still be cautious of paying the CEO excessively.
See our latest analysis for Hiper Global
Comparing Hiper Global Ltd.'s CEO Compensation With The Industry
Our data indicates that Hiper Global Ltd. has a market capitalization of ₪805m, and total annual CEO compensation was reported as US$1.2m for the year to December 2024. That is, the compensation was roughly the same as last year. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at US$352k.
In comparison with other companies in the Israel Electronic industry with market capitalizations ranging from ₪323m to ₪1.3b, the reported median CEO total compensation was US$757k. This suggests that Shahaf Shrager is paid more than the median for the industry.
| Component | 2024 | 2023 | Proportion (2024) |
| Salary | US$352k | US$349k | 30% |
| Other | US$813k | US$813k | 70% |
| Total Compensation | US$1.2m | US$1.2m | 100% |
On an industry level, roughly 55% of total compensation represents salary and 45% is other remuneration. In Hiper Global's case, non-salary compensation represents a greater slice of total remuneration, in comparison to the broader industry. If non-salary compensation dominates total pay, it's an indicator that the executive's salary is tied to company performance.
A Look at Hiper Global Ltd.'s Growth Numbers
Over the last three years, Hiper Global Ltd. has not seen its earnings per share change much, though there is a slight positive movement. Its revenue is down 2.5% over the previous year.
We would argue that the lack of revenue growth in the last year is less than ideal, but it is good to see a modest EPS growth at least. In conclusion we can't form a strong opinion about business performance yet; but it's one worth watching. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Hiper Global Ltd. Been A Good Investment?
Hiper Global Ltd. has generated a total shareholder return of 16% over three years, so most shareholders would be reasonably content. But they probably don't want to see the CEO paid more than is normal for companies around the same size.
To Conclude...
Given that the company's overall performance has been reasonable, the CEO remuneration policy might not be shareholders' central point of focus in the upcoming AGM. However, any decision to raise CEO pay might be met with some objections from the shareholders given that the CEO is already paid higher than the industry average.
CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Hiper Global (free visualization of insider trades).
Important note: Hiper Global is an exciting stock, but we understand investors may be looking for an unencumbered balance sheet and blockbuster returns. You might find something better in this list of interesting companies with high ROE and low debt.
Valuation is complex, but we're here to simplify it.
Discover if Hiper Global might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
Access Free AnalysisHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St 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. Simply Wall St has no position in any stocks mentioned.