How Much Is Gaucho Group Holdings, Inc. (NASDAQ:VINO) CEO Getting Paid?

This article will reflect on the compensation paid to Scott Mathis who has served as CEO of Gaucho Group Holdings, Inc. (NASDAQ:VINO) since 1999. This analysis will also look to assess whether the CEO is appropriately paid, considering recent earnings growth and investor returns for Gaucho Group Holdings.

Check out our latest analysis for Gaucho Group Holdings

Comparing Gaucho Group Holdings, Inc.'s CEO Compensation With the industry

According to our data, Gaucho Group Holdings, Inc. has a market capitalization of US$32m, and paid its CEO total annual compensation worth US$581k over the year to December 2020. Notably, that's a decrease of 23% over the year before. We note that the salary portion, which stands at US$465.7k constitutes the majority of total compensation received by the CEO.

In comparison with other companies in the industry with market capitalizations under US$200m, the reported median total CEO compensation was US$246k. Accordingly, our analysis reveals that Gaucho Group Holdings, Inc. pays Scott Mathis north of the industry median. What's more, Scott Mathis holds US$233k worth of shares in the company in their own name.

On an industry level, around 29% of total compensation represents salary and 71% is other remuneration. It's interesting to note that Gaucho Group Holdings pays out a greater portion of remuneration through salary, compared to the industry. If total compensation veers towards salary, it suggests that the variable portion - which is generally tied to performance, is lower.

A Look at Gaucho Group Holdings, Inc.'s Growth Numbers

Gaucho Group Holdings, Inc. has seen its earnings per share (EPS) increase by 20% a year over the past three years. It saw its revenue drop 57% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. While it would be good to see revenue growth, profits matter more in the end. While we don't have analyst forecasts for the company, shareholders might want to examine this detailed historical graph of earnings, revenue and cash flow.

Has Gaucho Group Holdings, Inc. Been A Good Investment?

With a three year total loss of 59% for the shareholders, Gaucho Group Holdings, Inc. would certainly have some dissatisfied shareholders. So shareholders would probably want the company to be lessto generous with CEO compensation.

To Conclude...

As previously discussed, Scott is compensated more than what is normal for CEOs of companies of similar size, and which belong to the same industry. However, the EPS growth is certainly impressive, but it's disappointing to see negative shareholder returns over the same period. Although we'd stop short of calling it inappropriate, we think Scott is earning a very handsome sum.

CEO pay is simply one of the many factors that need to be considered while examining business performance. In our study, we found 6 warning signs for Gaucho Group Holdings you should be aware of, and 4 of them are concerning.

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

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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. 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.
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