Shabtai Adlersberg has been the CEO of AudioCodes Ltd (NASDAQ:AUDC) since 1993. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Next, we’ll consider growth that the business demonstrates. Third, we’ll reflect on the total return to shareholders over three years, as a second measure of business performance. This process should give us an idea about how appropriately the CEO is paid.
How Does Shabtai Adlersberg’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that AudioCodes Ltd has a market cap of US$320m, and is paying total annual CEO compensation of US$1.3m. That’s a notable increase of 38% on last year. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of US$200m to US$800m. The median total CEO compensation was US$1.5m.
So Shabtai Adlersberg 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.
The graphic below shows how CEO compensation at AudioCodes has changed from year to year.
Is AudioCodes Ltd Growing?
On average over the last three years, AudioCodes Ltd has grown earnings per share (EPS) by 45% each year. Its revenue is up 12% over last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It’s also good to see decent revenue growth in the last year, suggesting the business is healthy and growing.
Shareholders might be interested in this free visualization of analyst forecasts. .
Has AudioCodes Ltd Been A Good Investment?
Boasting a total shareholder return of 174% over three years, AudioCodes Ltd has done well by shareholders. So they may not be at all concerned if the CEO is paid more than is normal for companies around the same size.
Remuneration for Shabtai Adlersberg is close enough to the median pay for a CEO of a similar sized company .
Shareholders would surely be happy to see that shareholder returns have been great, and the earnings per share are up. Indeed, many might consider the pay rather modest, given the solid company performance!
Or you might rather take a peek at this analytical visualization of historic cash flow, 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.