Shareholders Will Probably Hold Off On Increasing AstroNova, Inc.'s (NASDAQ:ALOT) CEO Compensation For The Time Being

Key Insights

• AstroNova will host its Annual General Meeting on 11th of June
• Total pay for CEO Greg Woods includes US$459.3k salary
• The total compensation is 90% higher than the average for the industry
• AstroNova's EPS grew by 51% over the past three years while total shareholder return over the past three years was 18%

Under the guidance of CEO Greg Woods, AstroNova, Inc. (NASDAQ:ALOT) has performed reasonably well recently. In light of this performance, CEO compensation will probably not be the main focus for shareholders as they go into the AGM on 11th of June. However, some shareholders will still be cautious of paying the CEO excessively.

View our latest analysis for AstroNova

How Does Total Compensation For Greg Woods Compare With Other Companies In The Industry?

At the time of writing, our data shows that AstroNova, Inc. has a market capitalization of US$134m, and reported total annual CEO compensation of US$1.3m for the year to January 2024. That's a notable increase of 19% on last year. We think total compensation is more important but our data shows that the CEO salary is lower, at US$459k.

In comparison with other companies in the American Tech industry with market capitalizations under US$200m, the reported median total CEO compensation was US$677k. Accordingly, our analysis reveals that AstroNova, Inc. pays Greg Woods north of the industry median. What's more, Greg Woods holds US$3.4m worth of shares in the company in their own name, indicating that they have a lot of skin in the game.

Component	2024	2023	Proportion (2024)
Salary	US$459k	US$457k	36%
Other	US$827k	US$623k	64%
Total Compensation	US$1.3m	US$1.1m	100%

Talking in terms of the industry, salary represented approximately 32% of total compensation out of all the companies we analyzed, while other remuneration made up 68% of the pie. It's interesting to note that AstroNova pays out a greater portion of remuneration through salary, compared to the industry. If total compensation is slanted towards non-salary benefits, it indicates that CEO pay is linked to company performance.

A Look at AstroNova, Inc.'s Growth Numbers

AstroNova, Inc. has seen its earnings per share (EPS) increase by 51% a year over the past three years. It achieved revenue growth of 3.9% over the last year.

Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's good to see a bit of revenue growth, as this suggests the business is able to grow sustainably. Although we don't have analyst forecasts, you might want to assess this data-rich visualization of earnings, revenue and cash flow.

Has AstroNova, Inc. Been A Good Investment?

AstroNova, Inc. has served shareholders reasonably well, with a total return of 18% over three years. But they would probably prefer not to see CEO compensation far in excess of the median.

In Summary...

The company's decent performance might have made most shareholders happy, possibly making CEO remuneration the least of the concerns to be discussed in the upcoming AGM. However, if the board proposes to increase the compensation, some shareholders might have questions given that the CEO is already being paid higher than the industry.

CEO pay is simply one of the many factors that need to be considered while examining business performance. That's why we did our research, and identified 3 warning signs for AstroNova (of which 1 is a bit unpleasant!) that you should know about in order to have a holistic understanding of the stock.

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. 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.