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How Much is CanWel Building Materials Group Ltd.'s (TSE:CWX) CEO Getting Paid?

In 2010 Amar Doman was appointed CEO of CanWel Building Materials Group Ltd. (TSE:CWX). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. After that, we will consider the growth in the business. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This process should give us an idea about how appropriately the CEO is paid.

View our latest analysis for CanWel Building Materials Group

How Does Amar Doman's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that CanWel Building Materials Group Ltd. has a market cap of CA$353m, and is paying total annual CEO compensation of CA$902k. (This is based on the year to December 2018). While we always look at total compensation first, we note that the salary component is less, at CA$600k. When we examined a selection of companies with market caps ranging from CA$132m to CA$527m, we found the median CEO total compensation was CA$901k.

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So Amar Doman is paid around the average of the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.

You can see a visual representation of the CEO compensation at CanWel Building Materials Group, below.

TSX:CWX CEO Compensation, September 9th 2019
TSX:CWX CEO Compensation, September 9th 2019

Is CanWel Building Materials Group Ltd. Growing?

On average over the last three years, CanWel Building Materials Group Ltd. has shrunk earnings per share by 39% each year (measured with a line of best fit). In the last year, its revenue changed by just 0.9%.

Unfortunately, earnings per share have trended lower over the last three years. And the flat revenue is seriously uninspiring. These factors suggest that the business performance wouldn't really justify a high pay packet for the CEO. It could be important to check this free visual depiction of what analysts expect for the future.

Has CanWel Building Materials Group Ltd. Been A Good Investment?

With a three year total loss of 11%, CanWel Building Materials Group Ltd. would certainly have some dissatisfied shareholders. It therefore might be upsetting for shareholders if the CEO were paid generously.

In Summary...

Remuneration for Amar Doman is close enough to the median pay for a CEO of a similar sized company .

The company isn't growing EPS, and shareholder returns have been disappointing. Most would consider it prudent for the company to hold off any CEO pay rise until performance improves. Shareholders may want to check for free if CanWel Building Materials Group insiders are buying or selling shares.

If you want to buy a stock that is better than CanWel Building Materials Group, 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.