It's Probably Less Likely That Genocea Biosciences, Inc.'s (NASDAQ:GNCA) CEO Will See A Huge Pay Rise This Year

It's Probably Less Likely That Genocea Biosciences, Inc.'s (NASDAQ:GNCA) CEO Will See A Huge Pay Rise This Year

In the past three years, the share price of Genocea Biosciences, Inc. (NASDAQ:GNCA) has struggled to grow and now shareholders are sitting on a loss. However, what is unusual is that EPS growth has been positive, suggesting that the share price has diverged from fundamentals. The AGM coming up on the 24 June 2021 could be an opportunity for shareholders to bring these concerns to the board's attention. Voting on resolutions such as executive remuneration and other matters could also be a way to influence management. We think shareholders might be reluctant to increase compensation for the CEO at the moment, according to our analysis below.

See our latest analysis for Genocea Biosciences

How Does Total Compensation For Chip Clark Compare With Other Companies In The Industry?

Our data indicates that Genocea Biosciences, Inc. has a market capitalization of US$128m, and total annual CEO compensation was reported as US$1.5m for the year to December 2020. We note that's an increase of 37% above last year. While we always look at total compensation first, our analysis shows that the salary component is less, at US$551k.

On comparing similar-sized companies in the industry with market capitalizations below US$200m, we found that the median total CEO compensation was US$1.2m. From this we gather that Chip Clark is paid around the median for CEOs in the industry. Furthermore, Chip Clark directly owns US$150k worth of shares in the company.

Component

2020

2019

Proportion (2020)

Salary

US$551k

US$533k

38%

Other

US$910k

US$530k

62%

Total Compensation

US$1.5m

US$1.1m

100%

Speaking on an industry level, nearly 20% of total compensation represents salary, while the remainder of 80% is other remuneration. It's interesting to note that Genocea Biosciences pays out a greater portion of remuneration through salary, compared to the industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

ceo-compensation
NasdaqCM:GNCA CEO Compensation June 17th 2021

Genocea Biosciences, Inc.'s Growth

Over the past three years, Genocea Biosciences, Inc. has seen its earnings per share (EPS) grow by 83% per year. It achieved revenue growth of 65% over the last year.

Shareholders would be glad to know that the company has improved itself over the last few years. The combination of strong revenue growth with medium-term EPS improvement certainly points to the kind of growth we like to see. Looking ahead, you might want to check this free visual report on analyst forecasts for the company's future earnings..

Has Genocea Biosciences, Inc. Been A Good Investment?

With a total shareholder return of -70% over three years, Genocea Biosciences, Inc. shareholders would by and large be disappointed. Therefore, it might be upsetting for shareholders if the CEO were paid generously.