In 2015 Bart Brookman was appointed CEO of PDC Energy Inc (NASDAQ:PDCE). 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. 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.
View our latest analysis for PDC Energy
How Does Bart Brookman’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that PDC Energy Inc has a market cap of US$3.4b, and is paying total annual CEO compensation of US$6m. That’s actually a decrease on the year before. We examined companies with market caps from US$2.0b to US$6.4b, and discovered that the median CEO compensation of that group was US$5m.
So Bart Brookman 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.
Is PDC Energy Inc Growing?
Over the last three years PDC Energy Inc has shrunk its earnings per share by an average of 41% per year. In the last year, its revenue is up 59%.
As investors, we do are a bit wary of companies that have lower earnings per share, over three years. On the other hand, the strong revenue growth suggests the business is growing. It’s hard to reach a conclusion about business performance right now. This may be one to watch.
It could be important to check this free visual depiction of what analysts expect for the future.
Has PDC Energy Inc Been A Good Investment?
Since shareholders would have lost about 14% over three years, some PDC Energy Inc shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary…
Remuneration for Bart Brookman is close enough to the median pay for a CEO of a similar sized company .
The per share growth could be better, in our view. And we think the shareholder returns – over three years – have been underwhelming. So suffice it to say we don’t think the compensation is modest! Shareholders may want to check for free if PDC Energy Inc insiders are buying or selling shares.
Or you might prefer examine intently this intuitive graph showing past earnings and revenue.
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.