U.S. markets closed
  • S&P Futures

    3,450.75
    +18.50 (+0.54%)
     
  • Dow Futures

    28,321.00
    +139.00 (+0.49%)
     
  • Nasdaq Futures

    11,723.75
    +63.00 (+0.54%)
     
  • Russell 2000 Futures

    1,625.40
    +10.60 (+0.66%)
     
  • Crude Oil

    41.51
    -0.19 (-0.46%)
     
  • Gold

    1,921.90
    +6.50 (+0.34%)
     
  • Silver

    25.17
    +0.19 (+0.74%)
     
  • EUR/USD

    1.1848
    +0.0020 (+0.17%)
     
  • 10-Yr Bond

    0.7970
    +0.0360 (+4.73%)
     
  • Vix

    29.35
    +0.17 (+0.58%)
     
  • GBP/USD

    1.2973
    +0.0026 (+0.20%)
     
  • USD/JPY

    105.3380
    -0.1320 (-0.13%)
     
  • BTC-USD

    12,197.71
    +1,140.70 (+10.32%)
     
  • CMC Crypto 200

    245.03
    +6.12 (+2.56%)
     
  • FTSE 100

    5,889.22
    +4.57 (+0.08%)
     
  • Nikkei 225

    23,676.90
    +109.86 (+0.47%)
     

What Did DarioHealth Corp.’s (NASDAQ:DRIO) CEO Take Home Last Year?

Erez Raphael has been the CEO of DarioHealth Corp. (NASDAQ:DRIO) since 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. 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.

View our latest analysis for DarioHealth

How Does Erez Raphael’s Compensation Compare With Similar Sized Companies?

Our data indicates that DarioHealth Corp. is worth US$19m, and total annual CEO compensation is US$1.7m. (This number is for the twelve months until 2017). While this analysis focuses on total compensation, it’s worth noting the salary is lower, valued at US$147k. We examined a group of similar sized companies, with market capitalizations of below US$200m. The median CEO compensation in that group is US$303k.

As you can see, Erez Raphael is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean DarioHealth Corp. is paying too much. A closer look at the performance of the underlying business will give us a better idea about whether the pay is particularly generous.

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

NasdaqCM:DRIO CEO Compensation December 17th 18
NasdaqCM:DRIO CEO Compensation December 17th 18

Is DarioHealth Corp. Growing?

Over the last three years DarioHealth Corp. has grown its earnings per share (EPS) by an average of 52% per year. In the last year, its revenue is up 64%.

This shows that the company has improved itself over the last few years. Good news for shareholders. It’s great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly.

You might want to check this free visual report on analyst forecasts for future earnings.

Has DarioHealth Corp. Been A Good Investment?

Given the total loss of 92% over three years, many shareholders in DarioHealth Corp. 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…

We compared total CEO remuneration at DarioHealth Corp. with the amount paid at companies with a similar market capitalization. Our data suggests that it pays above the median CEO pay within that group.

However, the earnings per share growth over three years is certainly impressive. Having said that, shareholders may be disappointed with the weak returns over the last three years. Considering the per share profit growth, but keeping in mind the weak returns, we’d need more time to form a view on CEO compensation. Whatever your view on compensation, you might want to check if insiders are buying or selling DarioHealth shares (free trial).

Or you might prefer gaze upon this detailed graph of past earnings, revenue and cash flow .

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.