Yahoo Finance Here’s What We Think About Astronics Corporation’s (NASDAQ:ATRO) CEO Pay
Peter Gundermann became the CEO of Astronics Corporation (NASDAQ:ATRO) in 2003. First, this article will compare CEO compensation with compensation at similar sized companies. Next, we’ll consider growth that the business demonstrates. And finally – as a second measure of performance – we will look at the returns shareholders have received over the last few years. This process should give us an idea about how appropriately the CEO is paid.
Check out our latest analysis for Astronics
How Does Peter Gundermann’s Compensation Compare With Similar Sized Companies?
Our data indicates that Astronics Corporation is worth US$1.3b, and total annual CEO compensation is US$3.8m. (This number is for the twelve months until December 2017). While this analysis focuses on total compensation, it’s worth noting the salary is lower, valued at US$539k. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of US$1.0b to US$3.2b. The median total CEO compensation was US$3.5m.
So Peter Gundermann receives a similar amount to the median CEO pay, amongst the companies we looked at. This doesn’t tell us a whole lot on its own, but looking at the performance of the actual business will give us useful context.
The graphic below shows how CEO compensation at Astronics has changed from year to year.
Is Astronics Corporation Growing?
Over the last three years Astronics Corporation has shrunk its earnings per share by an average of 35% per year (measured with a line of best fit). It achieved revenue growth of 29% over the last year.
Investors should note that, over three years, earnings per share are down. On the other hand, the strong revenue growth suggests the business is growing. In conclusion we can’t form a strong opinion about business performance yet; but it’s one worth watching. It could be important to check this free visual depiction of what analysts expect for the future.
Has Astronics Corporation Been A Good Investment?
With a total shareholder return of 31% over three years, Astronics Corporation shareholders would, in general, be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.
In Summary…
Remuneration for Peter Gundermann is close enough to the median pay for a CEO of a similar sized company .
We see room for improved growth, as well as fairly unremarkable returns over the last three years. But we don’t think the CEO compensation is a problem. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling Astronics (free visualization of insider trades).
Important note: Astronics may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE and low debt.
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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.
