Is Wynnstay Properties Plc’s (LON:WSP) CEO Pay Fair?
Christopher Williams has been the CEO of Wynnstay Properties Plc (LON:WSP) since 2006. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we’ll consider growth that the business demonstrates. And finally – as a second measure of performance – we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.
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How Does Christopher Williams’s Compensation Compare With Similar Sized Companies?
According to our data, Wynnstay Properties Plc has a market capitalization of UK£15m, and pays its CEO total annual compensation worth UK£173k. (This is based on the year to 2018). While this analysis focuses on total compensation, it’s worth noting the salary is lower, valued at UK£142k. We examined a group of similar sized companies, with market capitalizations of below UK£152m. The median CEO compensation in that group is UK£245k.
So Christopher Williams receives a similar amount to the median CEO pay, amongst the companies we looked at. 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 Wynnstay Properties, below.
Is Wynnstay Properties Plc Growing?
Over the last three years Wynnstay Properties Plc has grown its earnings per share (EPS) by an average of 13% per year (using a line of best fit). In the last year, its revenue is down -2.2%.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. Revenue growth is a real positive for growth, but ultimately profits are more important.
Although we don’t have analyst forecasts, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.
Has Wynnstay Properties Plc Been A Good Investment?
With a total shareholder return of 20% over three years, Wynnstay Properties Plc shareholders would, in general, be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
In Summary…
Christopher Williams is paid around the same as most CEOs of similar size companies.
We would wish for better returns (whether dividends or capital gains) but we do admire the solid EPS growth on show here. So considering these factors, we think the CEO pay is probably quite reasonable. If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Wynnstay Properties.
Of course, the past can be informative so you might be interested in considering this analytical visualization showing the company history of earnings 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 editorial-team@simplywallst.com.
