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How Should Investors React To Manhattan Bridge Capital, Inc.'s (NASDAQ:LOAN) CEO Pay?

Simply Wall St

In 1989 Assaf Ran was appointed CEO of Manhattan Bridge Capital, Inc. (NASDAQ:LOAN). 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. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. The aim of all this is to consider the appropriateness of CEO pay levels.

View our latest analysis for Manhattan Bridge Capital

How Does Assaf Ran's Compensation Compare With Similar Sized Companies?

Our data indicates that Manhattan Bridge Capital, Inc. is worth US$62m, and total annual CEO compensation was reported as US$392k for the year to December 2018. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at US$305k. We looked at a group of companies with market capitalizations under US$200m, and the median CEO total compensation was US$522k.

So Assaf Ran is paid around the average of the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.

You can see a visual representation of the CEO compensation at Manhattan Bridge Capital, below.

NasdaqCM:LOAN CEO Compensation, February 17th 2020

Is Manhattan Bridge Capital, Inc. Growing?

On average over the last three years, Manhattan Bridge Capital, Inc. has grown earnings per share (EPS) by 9.5% each year (using a line of best fit). Its revenue is up 11% over last year.

This revenue growth could really point to a brighter future. And, while modest, the earnings per share growth is noticeable. So while we'd stop just short of calling this a top performer, but we think it is well worth watching. Shareholders might be interested in this free visualization of analyst forecasts.

Has Manhattan Bridge Capital, Inc. Been A Good Investment?

Manhattan Bridge Capital, Inc. has served shareholders reasonably well, with a total return of 28% over three years. But they would probably prefer not to see CEO compensation far in excess of the median.

In Summary...

Remuneration for Assaf Ran is close enough to the median pay for a CEO of a similar sized company .

We see room for improved growth, as well as fairly unremarkable returns over the last three years. But we don't think the CEO compensation is a problem. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Manhattan Bridge Capital.

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

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.

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. Thank you for reading.