Yahoo Finance Does Mercury Systems, Inc.'s (NASDAQ:MRCY) CEO Salary Compare Well With Others?
Mark Aslett became the CEO of Mercury Systems, Inc. (NASDAQ:MRCY) in 2007. This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. Then we'll look at a snap shot of the business growth. And finally - as a second measure of performance - we will look at the returns shareholders have received over the last few years. The aim of all this is to consider the appropriateness of CEO pay levels.
See our latest analysis for Mercury Systems
How Does Mark Aslett's Compensation Compare With Similar Sized Companies?
According to our data, Mercury Systems, Inc. has a market capitalization of US$4.1b, and paid its CEO total annual compensation worth US$4.2m over the year to June 2019. That's less than last year. While we always look at total compensation first, we note that the salary component is less, at US$613k. We note that more than half of the total compensation is not the salary; and performance requirements may apply to this non-salary portion. When we examined a selection of companies with market caps ranging from US$2.0b to US$6.4b, we found the median CEO total compensation was US$5.1m.
That means Mark Aslett receives fairly typical remuneration for the CEO of a company that size. Although this fact alone doesn't tell us a great deal, it becomes more relevant when considered against the business performance.
The graphic below shows how CEO compensation at Mercury Systems has changed from year to year.
Is Mercury Systems, Inc. Growing?
Over the last three years Mercury Systems, Inc. has grown its earnings per share (EPS) by an average of 19% per year (using a line of best fit). Its revenue is up 30% over last year.
Overall this is a positive result for shareholders, showing that the company has improved in recent years. It's great to see that revenue growth is strong, too. These metrics suggest the business is growing strongly. It could be important to check this free visual depiction of what analysts expect for the future.
Has Mercury Systems, Inc. Been A Good Investment?
I think that the total shareholder return of 188%, over three years, would leave most Mercury Systems, Inc. shareholders smiling. 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...
Remuneration for Mark Aslett is close enough to the median pay for a CEO of a similar sized company .
Few would be critical of the leadership, since returns have been juicy and earnings per share are moving in the right direction. Indeed, many might consider the pay rather modest, given the solid company performance! If you think CEO compensation levels are interesting you will probably really like this free visualization of insider trading at Mercury Systems.
Important note: Mercury Systems may not be the best stock to buy. You might find something better in this list of interesting companies with high ROE and low debt.
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