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Randy Eslick became the CEO of Bank of Commerce Holdings (NASDAQ:BOCH) in 2013. First, this article will compare CEO compensation with compensation at similar sized companies. Then we’ll look at a snap shot of the business growth. And finally – as a second measure of performance – we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.
How Does Randy Eslick’s Compensation Compare With Similar Sized Companies?
According to our data, Bank of Commerce Holdings has a market capitalization of US$188m, and pays its CEO total annual compensation worth US$895k. (This is based on the year to December 2018). We note that’s an increase of 9.3% above last year. We think total compensation is more important but we note that the CEO salary is lower, at US$440k. We examined companies with market caps from US$100m to US$400m, and discovered that the median CEO total compensation of that group was US$1.1m.
So Randy Eslick receives a similar amount to the median CEO pay, amongst the companies we looked at. Although this fact alone doesn’t tell us a great deal, it becomes more relevant when considered against the business performance.
The graphic below shows how CEO compensation at Bank of Commerce Holdings has changed from year to year.
Is Bank of Commerce Holdings Growing?
On average over the last three years, Bank of Commerce Holdings has grown earnings per share (EPS) by 28% each year (using a line of best fit). In the last year, its revenue is up 14%.
This demonstrates that the company has been improving recently. A good result. It’s a real positive to see this sort of growth in a single year. That suggests a healthy and growing business. Shareholders might be interested in this free visualization of analyst forecasts.
Has Bank of Commerce Holdings Been A Good Investment?
Boasting a total shareholder return of 64% over three years, Bank of Commerce Holdings has done well by shareholders. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.
Remuneration for Randy Eslick is close enough to the median pay for a CEO of a similar sized company .
Shareholders would surely be happy to see that shareholder returns have been great, and the earnings per share are up. Indeed, many might consider the pay rather modest, given the solid company performance! Shareholders may want to check for free if Bank of Commerce Holdings insiders are buying or selling shares.
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
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.