Should You Worry About Lindblad Expeditions Holdings Inc’s (NASDAQ:LIND) CEO Pay Check?

Sven-Olof Lindblad became the CEO of Lindblad Expeditions Holdings Inc (NASDAQ:LIND) in 2015. 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. This method should give us information to assess how appropriately the company pays the CEO.

View our latest analysis for Lindblad Expeditions Holdings

How Does Sven-Olof Lindblad’s Compensation Compare With Similar Sized Companies?

At the time of writing our data says that Lindblad Expeditions Holdings Inc has a market cap of US$633m, and is paying total annual CEO compensation of US$2m. That’s a notable increase of 24% on last year. We looked at a group of companies with market capitalizations from US$400m to US$1.6b, and the median CEO compensation was US$1m.

It would therefore appear that Lindblad Expeditions Holdings Inc pays Sven-Olof Lindblad more than the median CEO remuneration at companies of a similar size, in the same market. However, this fact alone doesn’t mean the remuneration is too high. We can get a better idea of how generous the pay is by looking at the performance of the underlying business.

You can see a visual representation of the CEO compensation at Lindblad Expeditions Holdings, below.

NasdaqCM:LIND CEO Compensation October 12th 18
NasdaqCM:LIND CEO Compensation October 12th 18

Is Lindblad Expeditions Holdings Inc Growing?

On average over the last three years, Lindblad Expeditions Holdings Inc has shrunk earnings per share by 86% each year. It achieved revenue growth of 22% over the last year.

Few shareholders would be pleased to read that earnings per share are lower over three years. There’s no doubt that the silver lining is that revenue is up. But it isn’t sufficiently fast growth wto overlook the fact that earnings per share has gone backwards over three years. These factors suggest that the business performance wouldn’t really justify a high pay packet for the CEO.

Shareholders might be interested in this free visualization of analyst forecasts. .

Has Lindblad Expeditions Holdings Inc Been A Good Investment?

Boasting a total shareholder return of 36% over three years, Lindblad Expeditions Holdings Inc has done well by shareholders. This strong performance might mean some shareholders don’t mind if the CEO is paid more than is normal for a company of its size.

In Summary…

We compared total CEO remuneration at Lindblad Expeditions Holdings Inc with the amount paid at companies with a similar market capitalization. Our data suggests that it pays above the median CEO pay within that group.

We think many shareholders would be underwhelmed with the business growth over the last three years.

On the other hand, returns have been good, so the company is doing something right. Considering this, shareholders are probably not too worried about the CEO compensation. So you may want to check if insiders are buying Lindblad Expeditions Holdings Inc shares with their own money (free access).

Or you might prefer this data-rich interactive visualization of historic revenue and earnings.

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.