Stock Analysis

Should You Worry About Mackmyra Svensk Whisky AB (publ)'s (STO:MACK B) CEO Salary Level?

OM:MACK B
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Magnus Dandanell is the CEO of Mackmyra Svensk Whisky AB (publ) (STO:MACK B). This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Next, we'll consider growth that the business demonstrates. Third, we'll reflect on the total return to shareholders over three years, as a second measure of business performance. The aim of all this is to consider the appropriateness of CEO pay levels.

View our latest analysis for Mackmyra Svensk Whisky

How Does Magnus Dandanell's Compensation Compare With Similar Sized Companies?

According to our data, Mackmyra Svensk Whisky AB (publ) has a market capitalization of kr104m, and pays its CEO total annual compensation worth kr1.6m. (This figure is for the year to December 2018). While we always look at total compensation first, we note that the salary component is less, at kr1.1m. We examined a group of similar sized companies, with market capitalizations of below kr1.9b. The median CEO total compensation in that group is kr1.3m.

So Magnus Dandanell is paid around the average of the companies we looked at. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.

You can see a visual representation of the CEO compensation at Mackmyra Svensk Whisky, below.

OM:MACK B CEO Compensation, August 14th 2019
OM:MACK B CEO Compensation, August 14th 2019

Is Mackmyra Svensk Whisky AB (publ) Growing?

Mackmyra Svensk Whisky AB (publ) has increased its earnings per share (EPS) by an average of 39% a year, over the last three years (using a line of best fit). Its revenue is up 4.1% over last year.

This shows that the company has improved itself over the last few years. Good news for shareholders. It's nice to see a little revenue growth, as this is consistent with healthy business conditions.

Has Mackmyra Svensk Whisky AB (publ) Been A Good Investment?

With a three year total loss of 10%, Mackmyra Svensk Whisky AB (publ) would certainly have some dissatisfied shareholders. This suggests it would be unwise for the company to pay the CEO too generously.

In Summary...

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

We like that the company is growing EPS, but we find the returns over the last three years to be lacking. We'd be surprised if shareholders want to see a pay rise for the CEO, but we'd stop short of calling their pay too generous. Whatever your view on compensation, you might want to check if insiders are buying or selling Mackmyra Svensk Whisky shares (free trial).

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.

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.