- Oops!Something went wrong.Please try again later.
Neil Wilkin has been the CEO of Optical Cable Corporation (NASDAQ:OCC) since 2003. 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. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This process should give us an idea about how appropriately the CEO is paid.
How Does Neil Wilkin’s Compensation Compare With Similar Sized Companies?
Our data indicates that Optical Cable Corporation is worth US$38m, and total annual CEO compensation is US$780k. We note that’s an increase of 83% above last year. We looked at a group of companies with market capitalizations under US$200m, and the median CEO compensation was US$293k.
As you can see, Neil Wilkin is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean Optical Cable Corporation is paying too much. We can better assess whether the pay is overly generous by looking into the underlying business performance.
You can see, below, how CEO compensation at Optical Cable has changed over time.
Is Optical Cable Corporation Growing?
Over the last three years Optical Cable Corporation has grown its earnings per share (EPS) by an average of 71% per year. Its revenue is up 32% over last year.
This demonstrates that the company has been improving recently. A good result. Most shareholders would be pleased to see strong revenue growth combined with EPS growth. This combo suggests a fast growing business.
We don’t have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has Optical Cable Corporation Been A Good Investment?
I think that the total shareholder return of 60%, over three years, would leave most Optical Cable Corporation shareholders smiling. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
We compared total CEO remuneration at Optical Cable Corporation with the amount paid at companies with a similar market capitalization. We found that it pays well over the median amount paid in the benchmark group.
However, the earnings per share growth over three years is certainly impressive. On top of that, in the same period, returns to shareholders have been great. So, considering this good performance, the CEO compensation may be quite appropriate. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Optical Cable Corporation.
Of course, the past can be informative so you might be interested in considering this analytical visualization showing the company history of 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 firstname.lastname@example.org.