Top 50 CEOs delivered average return of 93.5% over three year period
GREENWICH, Conn., Oct. 31, 2013 /PRNewswire/ — Chief Executive magazine announced that Dun & Bradstreet CEO Sara Mathew has topped all S&P 500 peers to claim the title of Top Wealth Creator in 2013. The ranking shows who has created the most value for shareholders from July 2010 through June 2013. Mathew has astutely guided the 171-year-old provider of data and risk-management services at a time of challenging business conditions.
"Gilead Sciences, Monsanto, Sherwin-Williams and Fastenal, all of whom are in the top five, are repeat performers over recent years," said J.P. Donlon, editor in chief of Chief Executive magazine. Their consistency shows that "as value creators, their CEOs have the discipline and staying power to manage resourcefully through good times and bad."
TOP 10 CEO WEALTH CREATORS 2013
| Rank | Company | CEO |
| 1 | Dun & Bradstreet | Sara Mathew |
| 2 | Gilead Sciences | John C. Martin |
| 3 | Monsanto | Hugh Grant |
| 4 | Sherwin-Williams | Christopher M. Connor |
| 5 | Fastenal | Willard D. Oberton |
| 6 | Celgene | Robert J. Hugin |
| 7 | LyondellBasell Industries | James L. Gallogly |
| 8 | Teradata | Michael Koehler |
| 9 | Cameron International | Jack B. Moore |
| 10 | McGraw Hill Financial | Harold W. McGraw, III |
Bottom performers in 2013 include The Washington Post Co., Alcoa, Forest Laboratories and Carnival.
Drew Morris, CEO of Great Numbers! and the article's lead author, said, "The index's measurement framework forms guideposts: for managing income-producing assets and wisely allocating capital. But to create results that rock, you need more. The article's stories about the best and worst wealth creators tell how, specifically, CEOs have molded what they offer, the value it provides, and the resources it requires, to create exceptional operating cash flow. Or not, as lessons in what to avoid."
S&P 500 CEOs who had been in their jobs for at least three years were eligible, excluding those who run REITs. For the full story, complete rankings and methodology, please visit ChiefExecutive.net/WealthCreators
Created in collaboration with Great Numbers! and the Applied Finance Group (AFG), the ranking is based on four factors:
- How good a company was at making real money (operating cash flow in excess of its risk-adjusted cost of capital).
- Its prospects for continuing to make real money.
- Its wise use of capital.
- How highly the market values the company's assets.
The 3-year average Total Shareholder Return (share-price return percentage plus dividends) for the top 50 companies was 124.8%, up from 93.5% in last year's ranking. This compares to the bottom 50 companies' average 3-year TSR of 29.3%, a dramatic improvement from -21.1% last year. The S&P 500's average 3-year TSR was +44.0% this year, down from 50.8% last year.
"The fundamentals of wealth creation are not confined to these public companies," says Chief Executive magazine's Donlon. "Privately held firms can apply the principles outlined here regardless of structure or ownership status."
About Chief Executive Group
Chief Executive Group elevates the effectiveness of CEOs and the enterprises they lead. The Group produces the award-winning Chief Executive magazine (published since 1977), website ChiefExecutive.net, and hosts exclusive events for CEOs to network, learn and share ideas with peers. The Group also publishes proprietary research which gives CEOs insights through data and trends that better help them lead their organizations.
About Great Numbers!
Great Numbers! helps executives uncover the most powerful upside elements available to their business and mold them into a prosperity design—a blueprint for delivering that upside.
About The Applied Finance Group
AFG is an independent equity research advisory firm specializing in performance and valuation measurement using Economic Margin, which they've pioneered.
Media Contact:
J.P. Donlon
203-930-2704