Gzips plugin does not optimize image files?

I think I just realize a stupid mistake I’ve been making for the past couple of years. One of the things I try to be mindful of with my wp installs is page load time and I like to compress images to help with that.

I’ve been using the gzip plugin sometimes thinking that handled that, but now I’m looking closer at this and it looks like it’s strictly css/js minimization for better page loads but has nothing to do with images correct?

What plugins would be recommended for this purpose with images, and are there any additional related plugins for css/js/code bloat etc for better page load times…not thinking of caching plugins though I guess.

Thanks