Key Insights
- Corus Leisure to carry its Annual Normal Assembly on 19 January 2023
- CEO Doug Murphy’s complete compensation contains wage of CA$900.0k
- Whole compensation is much like the business common
- Corus Leisure’s EPS grew by 15% over the previous three years whereas complete shareholder return over the previous three years was -50%
Shareholders of Corus Leisure Inc. (TSE:CJR.B) can have been dismayed by the damaging share value return during the last three years. Nevertheless, what’s uncommon is that EPS progress has been constructive, suggesting that the share value has diverged from fundamentals. The AGM developing on the 19 January 2023 might be a possibility for shareholders to deliver these considerations to the board’s consideration. They might additionally affect administration by way of voting on resolutions corresponding to govt remuneration. We focus on beneath why we expect shareholders needs to be cautious of approving a increase for the CEO for the time being.
Try our newest evaluation for Corus Leisure
Evaluating Corus Leisure Inc.’s CEO Compensation With The Business
On the time of writing, our information reveals that Corus Leisure Inc. has a market capitalization of CA$451m, and reported complete annual CEO compensation of CA$4.5m for the yr to August 2022. Because of this the compensation hasn’t modified a lot from final yr. Whereas we all the time take a look at complete compensation first, our evaluation reveals that the wage element is much less, at CA$900k.
On evaluating related firms from the Canadian Media business with market caps starting from CA$267m to CA$1.1b, we discovered that the median CEO complete compensation was CA$4.5m. This means that Corus Leisure remunerates its CEO largely in step with the business common. What’s extra, Doug Murphy holds CA$686k value of shares within the firm in their very own identify.
| Part | 2022 | 2021 | Proportion (2022) |
| Wage | CA$900k | CA$900k | 20% |
| Different | CA$3.6m | CA$3.5m | 80% |
| Whole Compensation | CA$4.5m | CA$4.4m | 100% |
Talking on an business degree, practically 49% of complete compensation represents wage, whereas the rest of 51% is different remuneration. In Corus Leisure’s case, non-salary compensation represents a better slice of complete remuneration, compared to the broader business. It is vital to notice {that a} slant in the direction of non-salary compensation means that complete pay is tied to the corporate’s efficiency.
A Have a look at Corus Leisure Inc.’s Development Numbers
Corus Leisure Inc.’s earnings per share (EPS) grew 15% per yr during the last three years. It achieved income progress of three.6% during the last yr.
General this can be a constructive end result for shareholders, exhibiting that the corporate has improved in recent times. It is also good to see modest income progress, suggesting the underlying enterprise is wholesome. Transferring away from present type for a second, it might be vital to verify this free visible depiction of what analysts anticipate for the longer term.
Has Corus Leisure Inc. Been A Good Funding?
With a complete shareholder return of -50% over three years, Corus Leisure Inc. shareholders would by and enormous be upset. Due to this fact, it may be upsetting for shareholders if the CEO had been paid generously.
In Abstract…
Shareholders haven’t seen their shares develop in worth, somewhat they’ve seen their shares decline. The truth that the inventory value hasn’t grown together with earnings could point out that different points could also be affecting that inventory. Shareholders would in all probability be eager to seek out out what are the opposite elements might be weighing down the inventory. The upcoming AGM might be an opportunity for shareholders to query the board on key issues, corresponding to CEO remuneration or every other points they may have and revisit their funding thesis with reference to the corporate.
Whereas CEO pay is a crucial issue to pay attention to, there are different areas that traders needs to be conscious of as effectively. We did our analysis and noticed 1 warning signal for Corus Leisure that traders ought to look into shifting ahead.
Arguably, enterprise high quality is far more vital than CEO compensation ranges. So try this free record of attention-grabbing firms which have HIGH return on fairness and low debt.
Valuation is advanced, however we’re serving to make it easy.
Discover out whether or not Corus Leisure is doubtlessly over or undervalued by trying out our complete evaluation, which incorporates truthful worth estimates, dangers and warnings, dividends, insider transactions and monetary well being.
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This text by Merely Wall St is normal in nature. We offer commentary primarily based on historic information and analyst forecasts solely utilizing an unbiased methodology and our articles should not meant to be monetary recommendation. It doesn’t represent a advice to purchase or promote any inventory, and doesn’t take account of your goals, or your monetary state of affairs. We goal to deliver you long-term centered evaluation pushed by elementary information. Observe that our evaluation could not issue within the newest price-sensitive firm bulletins or qualitative materials. Merely Wall St has no place in any shares talked about.
