Yahoo Finance Most Shareholders Will Probably Agree With BioCryst Pharmaceuticals, Inc.'s (NASDAQ:BCRX) CEO Compensation
Key Insights
BioCryst Pharmaceuticals' Annual General Meeting to take place on 12th of June
Salary of US$665.6k is part of CEO Jon Stonehouse's total remuneration
The total compensation is 34% less than the average for the industry
Over the past three years, BioCryst Pharmaceuticals' EPS fell by 0.2% and over the past three years, the total loss to shareholders 61%
The performance at BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX) has been rather lacklustre of late and shareholders may be wondering what CEO Jon Stonehouse is planning to do about this. They will get a chance to exercise their voting power to influence the future direction of the company in the next AGM on 12th of June. Setting appropriate executive remuneration to align with the interests of shareholders may also be a way to influence the company performance in the long run. We think CEO compensation looks appropriate given the data we have put together.
View our latest analysis for BioCryst Pharmaceuticals
Comparing BioCryst Pharmaceuticals, Inc.'s CEO Compensation With The Industry
At the time of writing, our data shows that BioCryst Pharmaceuticals, Inc. has a market capitalization of US$1.4b, and reported total annual CEO compensation of US$4.8m for the year to December 2023. That's a notable decrease of 32% on last year. We think total compensation is more important but our data shows that the CEO salary is lower, at US$666k.
For comparison, other companies in the American Biotechs industry with market capitalizations ranging between US$1.0b and US$3.2b had a median total CEO compensation of US$7.2m. That is to say, Jon Stonehouse is paid under the industry median. Moreover, Jon Stonehouse also holds US$6.0m worth of BioCryst Pharmaceuticals 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$666k | US$640k | 14% |
Other | US$4.1m | US$6.3m | 86% |
Total Compensation | US$4.8m | US$7.0m | 100% |
Speaking on an industry level, nearly 23% of total compensation represents salary, while the remainder of 77% is other remuneration. BioCryst Pharmaceuticals pays a modest slice of remuneration through salary, as compared to the broader industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.
A Look at BioCryst Pharmaceuticals, Inc.'s Growth Numbers
BioCryst Pharmaceuticals, Inc. saw earnings per share stay pretty flat over the last three years. Its revenue is up 23% over the last year.
Investors would be a bit wary of companies that have lower EPS But in contrast the revenue growth is strong, suggesting future potential for EPS growth. It's hard to reach a conclusion about business performance right now. This may be one to watch. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..
Has BioCryst Pharmaceuticals, Inc. Been A Good Investment?
With a total shareholder return of -61% over three years, BioCryst Pharmaceuticals, Inc. shareholders would by and large be disappointed. Therefore, it might be upsetting for shareholders if the CEO were paid generously.
To Conclude...
The fact that shareholders are sitting on a loss is certainly disheartening. The poor performance of the share price might have something to do with the lack of earnings growth. In the upcoming AGM, shareholders should take this opportunity to raise these concerns with the board and revisit their investment thesis with regards to the company.
CEO pay is simply one of the many factors that need to be considered while examining business performance. We identified 3 warning signs for BioCryst Pharmaceuticals (1 is concerning!) that you should be aware of before investing here.
Important note: BioCryst Pharmaceuticals 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.
