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In 2013 Randy Eslick was appointed CEO of Bank of Commerce Holdings ( NASDAQ:BOCH ). This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. After that, we will consider the growth in the business. 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 Randy Eslick’s Compensation Compare With Similar Sized Companies?
Our data indicates that Bank of Commerce Holdings is worth US$181m, and total annual CEO compensation is US$819k. (This number is for the twelve months until 2017). While we always look at total compensation first, we note that the salary component is less, at US$415k. We examined companies with market caps from US$100m to US$400m, and discovered that the median CEO compensation of that group was US$950k.
That means Randy Eslick receives fairly typical remuneration for the CEO of a company that size. Although this fact alone doesn’t tell us a great deal, it becomes more relevant when considered against the business performance.
The graphic below shows how CEO compensation at Bank of Commerce Holdings has changed from year to year.
Is Bank of Commerce Holdings Growing?
On average over the last three years, Bank of Commerce Holdings has grown earnings per share (EPS) by 20% each year (using a line of best fit). Its revenue is up 15% over last year.
This demonstrates that the company has been improving recently. A good result. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. You might want to check this free visual report on analyst forecasts for future earnings .
Has Bank of Commerce Holdings Been A Good Investment?
Most shareholders would probably be pleased with Bank of Commerce Holdings for providing a total return of 102% over three years. As a result, some may believe the CEO should be paid more than is normal for companies of similar size.
Remuneration for Randy Eslick is close enough to the median pay for a CEO of a similar sized company .
The company is growing earnings per share and total shareholder returns have been pleasing. So one could argue the CEO compensation is quite modest, if you consider company performance! Shareholders may want to check for free if Bank of Commerce Holdings 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.
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 .