How Should Investors Feel About Osisko Gold Royalties Ltd's (TSE:OR) CEO Pay?

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Sean E. Roosen has been the CEO of Osisko Gold Royalties Ltd (TSE:OR) since 2014. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we'll consider growth that the business demonstrates. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. This method should give us information to assess how appropriately the company pays the CEO.

Check out our latest analysis for Osisko Gold Royalties

How Does Sean E. Roosen's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that Osisko Gold Royalties Ltd has a market cap of CA$2.3b, and is paying total annual CEO compensation of CA$2.3m. (This is based on the year to December 2018). That's less than last year. We think total compensation is more important but we note that the CEO salary is lower, at CA$486k. We looked at a group of companies with market capitalizations from CA$1.3b to CA$4.3b, and the median CEO total compensation was CA$3.1m.

So Sean E. Roosen is paid around the average of the companies we looked at. This doesn't tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.

You can see, below, how CEO compensation at Osisko Gold Royalties has changed over time.

TSX:OR CEO Compensation, April 15th 2019
TSX:OR CEO Compensation, April 15th 2019

Is Osisko Gold Royalties Ltd Growing?

Over the last three years Osisko Gold Royalties Ltd has shrunk its earnings per share by an average of 91% per year (measured with a line of best fit). It achieved revenue growth of 130% over the last year.

Investors should note that, over three years, earnings per share are down. On the other hand, the strong revenue growth suggests the business is growing. It's hard to reach a conclusion about business performance right now. This may be one to watch. It could be important to check this free visual depiction of what analysts expect for the future.

Has Osisko Gold Royalties Ltd Been A Good Investment?

Osisko Gold Royalties Ltd has not done too badly by shareholders, with a total return of 5.2%, over three years. But they probably don't want to see the CEO paid more than is normal for companies around the same size.

In Summary...

Sean E. Roosen is paid around the same as most CEOs of similar size companies.

The company isn't showing particularly great growth, and shareholder turns haven't been particularly inspiring in the last few years. While the CEO may not be underpaid, we don't think the pay is too generous either. Shareholders may want to check for free if Osisko Gold Royalties insiders are buying or selling shares.

If you want to buy a stock that is better than Osisko Gold Royalties, this free list of high return, low debt companies is a great place to look.

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 editorial-team@simplywallst.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.

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