How Much is Newmark Security plc's (LON:NWT) CEO Getting Paid?

In this article:

Marie-Claire Dwek became the CEO of Newmark Security plc (LON:NWT) in 2013. First, this article will compare CEO compensation with compensation at similar sized companies. Next, we'll consider growth that the business demonstrates. 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.

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View our latest analysis for Newmark Security

How Does Marie-Claire Dwek's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that Newmark Security plc has a market cap of UK£3.9m, and is paying total annual CEO compensation of UK£231k. (This is based on the year to April 2018). While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at UK£193k. We looked at a group of companies with market capitalizations under UK£158m, and the median CEO total compensation was UK£247k.

So Marie-Claire Dwek receives a similar amount to the median CEO pay, amongst the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.

You can see a visual representation of the CEO compensation at Newmark Security, below.

AIM:NWT CEO Compensation, May 27th 2019
AIM:NWT CEO Compensation, May 27th 2019

Is Newmark Security plc Growing?

On average over the last three years, Newmark Security plc has shrunk earnings per share by 64% each year (measured with a line of best fit). In the last year, its revenue is up 11%.

Unfortunately, earnings per share have trended lower over the last three years. There's no doubt that the silver lining is that revenue is up. But it isn't sufficiently fast growth to overlook the fact that earnings per share has gone backwards over three years. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. Although we don't have analyst forecasts, you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has Newmark Security plc Been A Good Investment?

Given the total loss of 71% over three years, many shareholders in Newmark Security plc are probably rather dissatisfied, to say the least. So shareholders would probably think the company shouldn't be too generous with CEO compensation.

In Summary...

Remuneration for Marie-Claire Dwek is close enough to the median pay for a CEO of a similar sized company .

The company isn't growing EPS, and shareholder returns have been disappointing. Suffice it to say, we don't think the CEO is underpaid! Whatever your view on compensation, you might want to check if insiders are buying or selling Newmark Security shares (free trial).

Important note: Newmark Security may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE 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 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.

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