It Looks Like Alpha and Omega Semiconductor Limited's (NASDAQ:AOSL) CEO May Expect Their Salary To Be Put Under The Microscope

Key Insights

• Alpha and Omega Semiconductor to hold its Annual General Meeting on 12th of November
• Salary of US$490.0k is part of CEO Stephen Chang's total remuneration
• Total compensation is 67% above industry average
• Over the past three years, Alpha and Omega Semiconductor's EPS fell by 146% and over the past three years, the total loss to shareholders 16%

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Alpha and Omega Semiconductor Limited (NASDAQ:AOSL) has not performed well recently and CEO Stephen Chang will probably need to up their game. Shareholders can take the chance to hold the board and management accountable for the unsatisfactory performance at the next AGM on 12th of November. They will also get a chance to influence managerial decision-making through voting on resolutions such as executive remuneration, which may impact firm value in the future. From our analysis, we think CEO compensation may need a review in light of the recent performance.

See our latest analysis for Alpha and Omega Semiconductor

How Does Total Compensation For Stephen Chang Compare With Other Companies In The Industry?

Our data indicates that Alpha and Omega Semiconductor Limited has a market capitalization of US$790m, and total annual CEO compensation was reported as US$4.2m for the year to June 2025. Notably, that's an increase of 42% over the year before. While this analysis focuses on total compensation, it's worth acknowledging that the salary portion is lower, valued at US$490k.

On examining similar-sized companies in the American Semiconductor industry with market capitalizations between US$400m and US$1.6b, we discovered that the median CEO total compensation of that group was US$2.5m. Hence, we can conclude that Stephen Chang is remunerated higher than the industry median. What's more, Stephen Chang holds US$9.2m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

On an industry level, roughly 14% of total compensation represents salary and 86% is other remuneration. It's interesting to note that Alpha and Omega Semiconductor 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.

Alpha and Omega Semiconductor Limited's Growth

Alpha and Omega Semiconductor Limited has reduced its earnings per share by 146% a year over the last three years. In the last year, its revenue is up 5.9%.

Few shareholders would be pleased to read that EPS have declined. The fairly low revenue growth fails to impress given that the EPS is down. It's hard to argue the company is firing on all cylinders, so shareholders might be averse to high CEO remuneration. Historical performance can sometimes be a good indicator on what's coming up next but if you want to peer into the company's future you might be interested in this free visualization of analyst forecasts.

Has Alpha and Omega Semiconductor Limited Been A Good Investment?

Since shareholders would have lost about 16% over three years, some Alpha and Omega Semiconductor Limited investors would surely be feeling negative emotions. So shareholders would probably want the company to be less generous with CEO compensation.

To Conclude...

Given that shareholders haven't seen any positive returns on their investment, not to mention the lack of earnings growth, this may suggest that few of them would be willing to award the CEO with a pay rise. At the upcoming AGM, they can question the management's plans and strategies to turn performance around and reassess their investment thesis in regards to the company.

While it is important to pay attention to CEO remuneration, investors should also consider other elements of the business. That's why we did some digging and identified 1 warning sign for Alpha and Omega Semiconductor that you should be aware of before investing.

Switching gears from Alpha and Omega Semiconductor, if you're hunting for a pristine balance sheet and premium returns, this free list of high return, low debt companies is a great place to look.

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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.