It's Unlikely That Carasso Motors Ltd.'s (TLV:CRSM) CEO Will See A Huge Pay Rise This Year

Key Insights

• Carasso Motors will host its Annual General Meeting on 16th of October
• Salary of ₪2.13m is part of CEO Izik Weitz's total remuneration
• The total compensation is 383% higher than the average for the industry
• Carasso Motors' EPS declined by 0.7% over the past three years while total shareholder return over the past three years was 150%

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Performance at Carasso Motors Ltd. (TLV:CRSM) has been reasonably good and CEO Izik Weitz has done a decent job of steering the company in the right direction. This is something shareholders will keep in mind as they cast their votes on company resolutions such as executive remuneration in the upcoming AGM on 16th of October. However, some shareholders will still be cautious of paying the CEO excessively.

See our latest analysis for Carasso Motors

How Does Total Compensation For Izik Weitz Compare With Other Companies In The Industry?

Our data indicates that Carasso Motors Ltd. has a market capitalization of ₪4.0b, and total annual CEO compensation was reported as ₪14m for the year to December 2024. Notably, that's an increase of 45% over the year before. While we always look at total compensation first, our analysis shows that the salary component is less, at ₪2.1m.

On comparing similar companies from the Israel Specialty Retail industry with market caps ranging from ₪3.2b to ₪10b, we found that the median CEO total compensation was ₪2.8m. Accordingly, our analysis reveals that Carasso Motors Ltd. pays Izik Weitz north of the industry median. Moreover, Izik Weitz also holds ₪91m worth of Carasso Motors stock directly under their own name, which reveals to us that they have a significant personal stake in the company.

Speaking on an industry level, nearly 51% of total compensation represents salary, while the remainder of 49% is other remuneration. It's interesting to note that Carasso Motors allocates a smaller portion of compensation to salary in comparison to the broader industry. It's important to note that a slant towards non-salary compensation suggests that total pay is tied to the company's performance.

A Look at Carasso Motors Ltd.'s Growth Numbers

Carasso Motors Ltd. saw earnings per share stay pretty flat over the last three years. In the last year, its revenue is up 56%.

Investors would be a bit wary of companies that have lower EPS 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. We don't have analyst forecasts, but you could get a better understanding of its growth by checking out this more detailed historical graph of earnings, revenue and cash flow.

Has Carasso Motors Ltd. Been A Good Investment?

Boasting a total shareholder return of 150% over three years, Carasso Motors Ltd. 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...

Given that the company's overall performance has been reasonable, the CEO remuneration policy might not be shareholders' central point of focus in the upcoming AGM. Still, not all shareholders might be in favor of a pay raise to the CEO, seeing that they are already being paid higher than the industry.

We can learn a lot about a company by studying its CEO compensation trends, along with looking at other aspects of the business. We identified 3 warning signs for Carasso Motors (2 are concerning!) that you should be aware of before investing here.

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies that have HIGH return on equity and low debt.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.