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Matthew Yum became the CEO of Hung Hing Printing Group Limited (HKG:450) in 1970. This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. 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 process should give us an idea about how appropriately the CEO is paid.
How Does Matthew Yum's Compensation Compare With Similar Sized Companies?
According to our data, Hung Hing Printing Group Limited has a market capitalization of HK$1.0b, and pays its CEO total annual compensation worth HK$8.1m. (This number is for the twelve months until December 2018). That's less than last year. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at HK$5.0m. We took a group of companies with market capitalizations below HK$1.6b, and calculated the median CEO total compensation to be HK$1.7m.
Thus we can conclude that Matthew Yum receives more in total compensation than the median of a group of companies in the same market, and of similar size to Hung Hing Printing Group Limited. However, this doesn't necessarily mean the pay is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.
You can see a visual representation of the CEO compensation at Hung Hing Printing Group, below.
Is Hung Hing Printing Group Limited Growing?
Over the last three years Hung Hing Printing Group Limited has grown its earnings per share (EPS) by an average of 71% per year (using a line of best fit). It achieved revenue growth of 4.5% over the last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. It's also good to see modest revenue growth, suggesting the underlying business is healthy. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has Hung Hing Printing Group Limited Been A Good Investment?
I think that the total shareholder return of 51%, over three years, would leave most Hung Hing Printing Group Limited shareholders smiling. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its size.
We examined the amount Hung Hing Printing Group Limited pays its CEO, and compared it to the amount paid by similar sized companies. As discussed above, we discovered that the company pays more than the median of that group.
However we must not forget that the EPS growth has been very strong over three years. In addition, shareholders have done well over the same time period. So, considering this good performance, the CEO compensation may be quite appropriate. So you may want to check if insiders are buying Hung Hing Printing Group shares with their own money (free access).
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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 email@example.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.