Carmen Hung has been the CEO of Get Nice Financial Group Limited (HKG:1469) since 2015. First, this article will compare CEO compensation with compensation at similar sized companies. Next, we'll consider growth that the business demonstrates. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This method should give us information to assess how appropriately the company pays the CEO.
How Does Carmen Hung's Compensation Compare With Similar Sized Companies?
According to our data, Get Nice Financial Group Limited has a market capitalization of HK$2.1b, and paid its CEO total annual compensation worth HK$1.3m over the year to March 2019. While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at HK$670k. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of HK$784m to HK$3.1b. The median total CEO compensation was HK$2.2m.
This would give shareholders a good impression of the company, since most similar size companies have to pay more, leaving less for shareholders. Though positive, it's important we delve into the performance of the actual business.
You can see a visual representation of the CEO compensation at Get Nice Financial Group, below.
Is Get Nice Financial Group Limited Growing?
Over the last three years Get Nice Financial Group Limited has shrunk its earnings per share by an average of 165% per year (measured with a line of best fit). In the last year, its revenue is down 20%.
Sadly for shareholders, earnings per share are actually down, over three years. And the impression is worse when you consider revenue is down year-on-year. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.
Has Get Nice Financial Group Limited Been A Good Investment?
Since shareholders would have lost about 11% over three years, some Get Nice Financial Group Limited shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.
Get Nice Financial Group Limited is currently paying its CEO below what is normal for companies of its size.
The compensation paid to Carmen Hung is lower than is usual at similar sized companies, but the eps growth is lacking, just like the returns (over three years). While one could argue it is appropriate for the CEO to be paid less than other CEOs of similar sized companies, given company performance, we would not call the pay overly generous. Shareholders may want to check for free if Get Nice Financial Group insiders are buying or selling shares.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
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