Yahoo Finance It Looks Like Corsair Gaming, Inc.'s (NASDAQ:CRSR) CEO May Expect Their Salary To Be Put Under The Microscope
Key Insights
Corsair Gaming's Annual General Meeting to take place on 6th of June
CEO Andy Paul's total compensation includes salary of US$708.3k
Total compensation is 732% above industry average
Corsair Gaming's EPS declined by 97% over the past three years while total shareholder loss over the past three years was 64%
Corsair Gaming, Inc. (NASDAQ:CRSR) has not performed well recently and CEO Andy Paul will probably need to up their game. Shareholders will be interested in what the board will have to say about turning performance around at the next AGM on 6th of June. It would also be an opportunity for shareholders to influence management through voting on company resolutions such as executive remuneration, which could impact the firm significantly. The data we present below explains why we think CEO compensation is not consistent with recent performance.
See our latest analysis for Corsair Gaming
How Does Total Compensation For Andy Paul Compare With Other Companies In The Industry?
Our data indicates that Corsair Gaming, Inc. has a market capitalization of US$1.2b, and total annual CEO compensation was reported as US$6.7m for the year to December 2023. Notably, that's a decrease of 32% over the year before. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at US$708k.
For comparison, other companies in the American Tech industry with market capitalizations ranging between US$1.0b and US$3.2b had a median total CEO compensation of US$806k. This suggests that Andy Paul is paid more than the median for the industry. Moreover, Andy Paul also holds US$31m worth of Corsair Gaming stock directly under their own name, which reveals to us that they have a significant personal stake in the company.
Component | 2023 | 2022 | Proportion (2023) |
Salary | US$708k | US$919k | 11% |
Other | US$6.0m | US$9.0m | 89% |
Total Compensation | US$6.7m | US$9.9m | 100% |
Speaking on an industry level, nearly 32% of total compensation represents salary, while the remainder of 68% is other remuneration. In Corsair Gaming's case, non-salary compensation represents a greater slice of total remuneration, in comparison 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.
Corsair Gaming, Inc.'s Growth
Over the last three years, Corsair Gaming, Inc. has shrunk its earnings per share by 97% per year. In the last year, its revenue is up 7.0%.
The decline in EPS is a bit concerning. The modest increase in revenue in the last year isn't enough to make us overlook the disappointing change in EPS. So given this relatively weak performance, shareholders would probably not want to see high compensation for the CEO. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..
Has Corsair Gaming, Inc. Been A Good Investment?
Few Corsair Gaming, Inc. shareholders would feel satisfied with the return of -64% over three years. This suggests it would be unwise for the company to pay the CEO too generously.
To Conclude...
Along with the business performing poorly, shareholders have suffered with poor share price returns on their investments, suggesting that there's little to no chance of them being in favor of a CEO pay raise. At the upcoming AGM, management will get a chance to explain how they plan to get the business back on track and address the concerns from investors.
So you may want to check if insiders are buying Corsair Gaming shares with their own money (free access).
Important note: Corsair Gaming is an exciting stock, but we understand investors may be looking for an unencumbered balance sheet and blockbuster returns. You might find something better in this list of interesting companies with high ROE and low debt.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. 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.
