In 2004 Jim Hughes was appointed CEO of Unity Bancorp Inc (NASDAQ:UNTY). This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. 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 Jim Hughes’s Compensation Compare With Similar Sized Companies?
According to our data, Unity Bancorp Inc has a market capitalization of US$263m, and pays its CEO total annual compensation worth US$996k. Notably, that’s an increase of 30% over the year before. We looked at a group of companies with market capitalizations from US$100m to US$400m, and the median CEO compensation was US$930k.
That means Jim Hughes receives fairly typical remuneration for the CEO of a company that size. This doesn’t tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.
You can see a visual representation of the CEO compensation at Unity Bancorp, below.
Is Unity Bancorp Inc Growing?
On average over the last three years, Unity Bancorp Inc has grown earnings per share (EPS) by 13% each year. It achieved revenue growth of 16% over the last year.
This shows that the company has improved itself over the last few years. Good news for shareholders. It’s also good to see decent revenue growth in the last year, suggesting the business is healthy and growing.
Shareholders might be interested in this free visualization of analyst forecasts. .
Has Unity Bancorp Inc Been A Good Investment?
Boasting a total shareholder return of 169% over three years, Unity Bancorp Inc has done well by shareholders. This strong performance might mean some shareholders don’t mind if the CEO is paid more than is normal for a company of its size.
Jim Hughes is paid around the same as most CEOs of similar size companies.
Few would be critical of the leadership, since returns have been juicy and earnings per share are moving in the right direction. Although the pay is a normal amount, some shareholders probably consider it fair or modest, given the good performance of the stock. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Unity Bancorp Inc.
Or you might prefer this data-rich interactive visualization of historic revenue and earnings.
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.