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Mike Jamieson has been the CEO of MAM Software Group, Inc. (NASDAQ:MAMS) since 2010. 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 method should give us information to assess how appropriately the company pays the CEO.
How Does Mike Jamieson’s Compensation Compare With Similar Sized Companies?
At the time of writing our data says that MAM Software Group, Inc. has a market cap of US$104m, and is paying total annual CEO compensation of US$2.3m. (This is based on the year to 2018). While this analysis focuses on total compensation, it’s worth noting the salary is lower, valued at US$268k. We looked at a group of companies with market capitalizations under US$200m, and the median CEO compensation was US$300k.
As you can see, Mike Jamieson is paid more than the median CEO pay at companies of a similar size, in the same market. However, this does not necessarily mean MAM Software Group, Inc. 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 MAM Software Group, below.
Is MAM Software Group, Inc. Growing?
MAM Software Group, Inc. has increased its earnings per share (EPS) by an average of 8.7% a year, over the last three years (using a line of best fit). It achieved revenue growth of 11% over the last year.
I would argue that the modest growth in revenue is a notable positive. And the improvement in earnings per share is modest but respectable. So while performance isn’t amazing, we think it really does seem quite respectable. It could be important to check this free visual depiction of what analysts expect for the future.
Has MAM Software Group, Inc. Been A Good Investment?
I think that the total shareholder return of 38%, over three years, would leave most MAM Software Group, Inc. 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 MAM Software Group, Inc. with the amount paid at companies with a similar market capitalization. As discussed above, we discovered that the company pays more than the median of that group.
Over the last three years returns to investors have been great, though we might have liked stronger business growth. So, considering these tasty returns, the CEO compensation may be quite appropriate. Shareholders may want to check for free if MAM Software Group insiders are buying or selling shares.
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
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 email@example.com.