Elliot Noss has been the CEO of Tucows Inc. (NASDAQ:TCX) since 1999. 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. 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.
How Does Elliot Noss's Compensation Compare With Similar Sized Companies?
At the time of writing, our data says that Tucows Inc. has a market cap of US$633m, and reported total annual CEO compensation of US$576k for the year to December 2018. We think total compensation is more important but we note that the CEO salary is lower, at US$321k. We looked at a group of companies with market capitalizations from US$400m to US$1.6b, and the median CEO total compensation was US$2.6m.
A first glance this seems like a real positive for shareholders, since Elliot Noss is paid less than the average total compensation paid by similar sized companies. While this is a good thing, you'll need to understand the business better before you can form an opinion.
You can see, below, how CEO compensation at Tucows has changed over time.
Is Tucows Inc. Growing?
On average over the last three years, Tucows Inc. has grown earnings per share (EPS) by 1.6% each year (using a line of best fit). It saw its revenue drop 4.0% over the last year.
I generally like to see a little revenue growth, but the improvement in EPS is good. 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 Tucows Inc. Been A Good Investment?
Most shareholders would probably be pleased with Tucows Inc. for providing a total return of 87% over three years. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.
It looks like Tucows Inc. pays its CEO less than similar sized companies.
It's well worth noting that while Elliot Noss is paid below what is normal at companies of similar size, the returns have been very pleasing, over the last three years. So, while it might be nice to have better EPS growth, on our analysis the CEO compensation is quite modest. Shareholders may want to check for free if Tucows insiders are buying or selling shares.
Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.
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If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. 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.