In 2016 Chithambaranathan Natarajan was appointed CEO of Apollo Sindoori Hotels Limited (NSE:APOLSINHOT). This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. Next, we'll consider growth that the business demonstrates. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. This method should give us information to assess how appropriately the company pays the CEO.

See our latest analysis for Apollo Sindoori Hotels

How Does Chithambaranathan Natarajan's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that Apollo Sindoori Hotels Limited has a market cap of ₹2.3b, and is paying total annual CEO compensation of ₹11m. (This figure is for the year to March 2019). That's a modest increase of 0.1% on the prior year year. While we always look at total compensation first, we note that the salary component is less, at ₹10m. We looked at a group of companies with market capitalizations under ₹14b, and the median CEO total compensation was ₹1.4m.

Thus we can conclude that Chithambaranathan Natarajan receives more in total compensation than the median of a group of companies in the same market, and of similar size to Apollo Sindoori Hotels Limited. However, this doesn't necessarily mean the pay is too high. We can better assess whether the pay is overly generous by looking into the underlying business performance.

You can see a visual representation of the CEO compensation at Apollo Sindoori Hotels, below.

Is Apollo Sindoori Hotels Limited Growing?

On average over the last three years, Apollo Sindoori Hotels Limited has grown earnings per share (EPS) by 51% each year (using a line of best fit). In the last year, its revenue is up 18%.

This demonstrates that the company has been improving recently. A good result. This sort of respectable year-on-year revenue growth is often seen at a healthy, growing business. We don't have analyst forecasts, but shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has Apollo Sindoori Hotels Limited Been A Good Investment?

Boasting a total shareholder return of 544% over three years, Apollo Sindoori Hotels Limited has done well by shareholders. So they may not be at all concerned if the CEO were to be paid more than is normal for companies around the same size.

In Summary...

We compared the total CEO remuneration paid by Apollo Sindoori Hotels Limited, and compared it to remuneration at a group of similar sized companies. Our data suggests that it pays above the median CEO pay within that group.

However, the earnings per share growth over three years is certainly impressive. In addition, shareholders have done well over the same time period. Considering this fine result for shareholders, we daresay the CEO compensation might be apt. So you may want to check if insiders are buying Apollo Sindoori Hotels shares with their own money (free access).

If you want to buy a stock that is better than Apollo Sindoori Hotels, this free list of high return, low debt companies is a great place to look.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. 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. Simply Wall St has no position in the stocks mentioned. Thank you for reading.