This article will reflect on the compensation paid to Lisa Conte who has served as CEO of Jaguar Health, Inc. (NASDAQ:JAGX) since 2013. This analysis will also look to assess whether the CEO is appropriately paid, considering recent earnings growth and investor returns for Jaguar Health.
How Does Total Compensation For Lisa Conte Compare With Other Companies In The Industry?
At the time of writing, our data shows that Jaguar Health, Inc. has a market capitalization of US$13m, and reported total annual CEO compensation of US$1.4m for the year to December 2019. Notably, that's an increase of 41% over the year before. We think total compensation is more important but our data shows that the CEO salary is lower, at US$500k.
In comparison with other companies in the industry with market capitalizations under US$200m, the reported median total CEO compensation was US$877k. Hence, we can conclude that Lisa Conte is remunerated higher than the industry median.
Talking in terms of the industry, salary represented approximately 24% of total compensation out of all the companies we analyzed, while other remuneration made up 76% of the pie. Jaguar Health pays out 35% of remuneration in the form of a salary, significantly higher than the industry average. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.
A Look at Jaguar Health, Inc.'s Growth Numbers
Jaguar Health, Inc.'s earnings per share (EPS) grew 101% per year over the last three years. Its revenue is up 8.2% over the last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's nice to see revenue heading northwards, as this is consistent with healthy business conditions. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.
Has Jaguar Health, Inc. Been A Good Investment?
Given the total shareholder loss of 100% over three years, many shareholders in Jaguar Health, Inc. are probably rather dissatisfied, to say the least. This suggests it would be unwise for the company to pay the CEO too generously.
As previously discussed, Lisa is compensated more than what is normal for CEOs of companies of similar size, and which belong to the same industry. However, we must not forget that the EPS growth has been very strong, but we cannot say the same about the uninspiring shareholder returns (over the last three years). Although we don't think the CEO pay is too high, considering negative investor returns, it is more generous than modest.
We can learn a lot about a company by studying its CEO compensation trends, along with looking at other aspects of the business. We did our research and identified 5 warning signs (and 2 which can't be ignored) in Jaguar Health we think you should know about.
Switching gears from Jaguar Health, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.
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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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