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Xueqing Shen is the CEO of Bank of Zhengzhou Co., Ltd. (HKG:6196). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Then we'll look at a snap shot of the business growth. 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.
See our latest analysis for Bank of Zhengzhou
How Does Xueqing Shen's Compensation Compare With Similar Sized Companies?
According to our data, Bank of Zhengzhou Co., Ltd. has a market capitalization of HK$36b, and pays its CEO total annual compensation worth CN¥3.0m. (This is based on the year to December 2017). We think total compensation is more important but we note that the CEO salary is lower, at CN¥871k. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of CN¥13b to CN¥43b. The median total CEO compensation was CN¥2.6m.
So Xueqing Shen is paid around the average of 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 Bank of Zhengzhou, below.
Is Bank of Zhengzhou Co., Ltd. Growing?
On average over the last three years, Bank of Zhengzhou Co., Ltd. has grown earnings per share (EPS) by 3.6% each year (using a line of best fit). Its revenue is up 7.8% over last year.
I would argue that the improvement in revenue isn't particularly impressive, but it is good to see modest EPS growth. It's clear the performance has been quite decent, but it it falls short of outstanding,based on this information. We don't have analyst forecasts, but you might want to assess this data-rich visualization of earnings, revenue and cash flow.
Has Bank of Zhengzhou Co., Ltd. Been A Good Investment?
Since shareholders would have lost about 8.9% over three years, some Bank of Zhengzhou Co., Ltd. shareholders would surely be feeling negative emotions. It therefore might be upsetting for shareholders if the CEO were paid generously.
In Summary...
Xueqing Shen is paid around what is normal the leaders of comparable size companies.
We would like to see somewhat stronger per share growth. And it's hard to argue that the returns over the last three years have delighted. So suffice it to say we don't think the compensation is modest! So you may want to check if insiders are buying Bank of Zhengzhou shares with their own money (free access).