Yahoo Finance Our Take On CONMED's (NYSE:CNMD) CEO Salary
This article will reflect on the compensation paid to Curt Hartman who has served as CEO of CONMED Corporation (NYSE:CNMD) since 2014. This analysis will also assess whether CONMED pays its CEO appropriately, considering recent earnings growth and total shareholder returns.
Check out our latest analysis for CONMED
How Does Total Compensation For Curt Hartman Compare With Other Companies In The Industry?
At the time of writing, our data shows that CONMED Corporation has a market capitalization of US$2.5b, and reported total annual CEO compensation of US$6.2m for the year to December 2019. That's a notable increase of 35% on last year. We think total compensation is more important but our data shows that the CEO salary is lower, at US$842k.
In comparison with other companies in the industry with market capitalizations ranging from US$2.0b to US$6.4b, the reported median CEO total compensation was US$5.7m. From this we gather that Curt Hartman is paid around the median for CEOs in the industry. What's more, Curt Hartman holds US$9.0m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.
Component | 2019 | 2018 | Proportion (2019) |
Salary | US$842k | US$791k | 14% |
Other | US$5.3m | US$3.8m | 86% |
Total Compensation | US$6.2m | US$4.6m | 100% |
On an industry level, roughly 21% of total compensation represents salary and 79% is other remuneration. CONMED pays a modest slice of remuneration through salary, as compared to the broader industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.
CONMED Corporation's Growth
CONMED Corporation's earnings per share (EPS) grew 38% per year over the last three years. It achieved revenue growth of 8.5% over the last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Moving away from current form for a second, it could be important to check this free visual depiction of what analysts expect for the future.
Has CONMED Corporation Been A Good Investment?
Most shareholders would probably be pleased with CONMED Corporation for providing a total return of 83% over three years. This strong performance might mean some shareholders don't mind if the CEO were to be paid more than is normal for a company of its size.
To Conclude...
As we touched on above, CONMED Corporation is currently paying a compensation that's close to the median pay for CEOs of companies belonging to the same industry and with similar market capitalizations. Few would be critical of the leadership, since returns have been juicy and earnings are moving in the right direction. Although the pay is close to the industry median, overall performance is excellent, so we don't think the CEO is paid too generously. Stockholders might even be okay with a bump in pay, seeing as how investor returns have been so strong.
It is always advisable to analyse CEO pay, along with performing a thorough analysis of the company's key performance areas. We identified 4 warning signs for CONMED (1 is a bit concerning!) that you should be aware of before investing here.
Of course, you might find a fantastic investment by looking at a different set of stocks. So take a peek at this free list of interesting companies.
This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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