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Helen Torley became the CEO of Halozyme Therapeutics, Inc. (NASDAQ:HALO) in 2014. First, this article will compare CEO compensation with compensation at similar sized companies. 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. This method should give us information to assess how appropriately the company pays the CEO.
How Does Helen Torley’s Compensation Compare With Similar Sized Companies?
Our data indicates that Halozyme Therapeutics, Inc. is worth US$2.5b, and total annual CEO compensation is US$5.8m. (This number is for the twelve months until December 2018). That’s a notable increase of 12% on last year. While we always look at total compensation first, we note that the salary component is less, at US$725k. We looked at a group of companies with market capitalizations from US$2.0b to US$6.4b, and the median CEO total compensation was US$5.1m.
That means Helen Torley 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.
You can see, below, how CEO compensation at Halozyme Therapeutics has changed over time.
Is Halozyme Therapeutics, Inc. Growing?
Halozyme Therapeutics, Inc. has increased its earnings per share (EPS) by an average of 45% a year, over the last three years (using a line of best fit). Its revenue is down -52% over last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. The lack of revenue growth isn’t ideal, but it is the bottom line that counts most in business. It could be important to check this free visual depiction of what analysts expect for the future.
Has Halozyme Therapeutics, Inc. Been A Good Investment?
Boasting a total shareholder return of 76% over three years, Halozyme Therapeutics, Inc. has done well by shareholders. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
Remuneration for Helen Torley is close enough to the median pay for a CEO of a similar sized company .
Few would be critical of the leadership, since returns have been juicy and earnings per share are moving in the right direction. Indeed, many might consider the pay rather modest, given the solid company performance! So you may want to check if insiders are buying Halozyme Therapeutics shares with their own money (free access).
If you want to buy a stock that is better than Halozyme Therapeutics, this free list of high return, low debt companies is a great place to look.
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 email@example.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.