Steve Yoder has been the CEO of Pieris Pharmaceuticals Inc (NASDAQ:PIRS) since 2014. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. 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. The aim of all this is to consider the appropriateness of CEO pay levels.
How Does Steve Yoder’s Compensation Compare With Similar Sized Companies?
Our data indicates that Pieris Pharmaceuticals Inc is worth US$184m, and total annual CEO compensation is US$1.3m. (This is based on the year to 2017). While this analysis focuses on total compensation, it’s worth noting the salary is lower, valued at US$450k. We examined companies with market caps from US$100m to US$400m, and discovered that the median CEO compensation of that group was US$951k.
Thus we can conclude that Steve Yoder receives more in total compensation than the median of a group of companies in the same market, and of similar size to Pieris Pharmaceuticals Inc. However, this doesn’t necessarily mean the pay is too high. A closer look at the performance of the underlying business will give us a better idea about whether the pay is particularly generous.
The graphic below shows how CEO compensation at Pieris Pharmaceuticals has changed from year to year.
Is Pieris Pharmaceuticals Inc Growing?
Over the last three years Pieris Pharmaceuticals Inc has grown its earnings per share (EPS) by an average of 13% per year. In the last year, its revenue is up 330%.
This demonstrates that the company has been improving recently. A good result. The combination of strong revenue growth with medium-term earnings per share improvement certainly points to the kind of growth I like to see.
You might want to check this free visual report on analyst forecasts for future earnings.
Has Pieris Pharmaceuticals Inc Been A Good Investment?
Boasting a total shareholder return of 65% over three years, Pieris Pharmaceuticals Inc 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.
We examined the amount Pieris Pharmaceuticals Inc pays its CEO, and compared it to the amount paid by similar sized companies. We found that it pays well over the median amount paid in the benchmark group.
However, the earnings per share growth over three years is certainly impressive. Even better, returns to shareholders have been plentiful, 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 Pieris Pharmaceuticals shares with their own money (free access).
Or you could feast your eyes on this interactive graph depicting past earnings, cash flow 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.