Is Golden Minerals Company's (NYSEMKT:AUMN) CEO Paid At A Competitive Rate?
Warren Rehn became the CEO of Golden Minerals Company (NYSEMKT:AUMN) in 2015. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. 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.
See our latest analysis for Golden Minerals
How Does Warren Rehn's Compensation Compare With Similar Sized Companies?
Our data indicates that Golden Minerals Company is worth US$27m, and total annual CEO compensation is US$626k. (This number is for the twelve months until December 2018). While we always look at total compensation first, we note that the salary component is less, at US$330k. We looked at a group of companies with market capitalizations under US$200m, and the median CEO total compensation was US$496k.
So Warren Rehn is paid around the average of the companies we looked at. This doesn't tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.
The graphic below shows how CEO compensation at Golden Minerals has changed from year to year.
Is Golden Minerals Company Growing?
Over the last three years Golden Minerals Company has grown its earnings per share (EPS) by an average of 87% per year (using a line of best fit). Its revenue is up 115% over last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. Shareholders might be interested in this free visualization of analyst forecasts.
Has Golden Minerals Company Been A Good Investment?
With a three year total loss of 69%, Golden Minerals Company would certainly have some dissatisfied shareholders. So shareholders would probably think the company shouldn't be too generous with CEO compensation.
In Summary...
Warren Rehn is paid around the same as most CEOs of similar size companies.
We think that the EPS growth is very pleasing, but we find the returns over the last three years to be lacking. Considering the the positives we don't think the CEO pays is too high, but it's certainly hard to argue it is too low. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Golden Minerals.
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 editorial-team@simplywallst.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.
