It would seem all the cutbacks are working.....

Another factor that indicates how a company is managed is the debt/equity ratio.

Records indicate that Carnival is maintaining a ratio of 0.4137 which means their debt is about 40 percent of their market value.

NCL ratio is 1.604 and that means they owe 160% of their market value.

Many analysts say that is not good.

Those figures cause some concern about the compensation packages for the company executives, especially when their pay is out of proportion to other companies in the same business.

Some other interesting figures are Carnival market cap is 34.84 billion --NCL is 9.40 billion

Stock price right now is CCL 46.05 -- NCLH 41.46.

A few months ago, NCLH was about five dollars per share above CCL, now it is worth less.

Another factor that indicates how a company is managed is the debt/equity ratio.

 

Records indicate that Carnival is maintaining a ratio of 0.4137 which means their debt is about 40 percent of their market value.

 

NCL ratio is 1.604 and that means they owe 160% of their market value.

 

Many analysts say that is not good.

 

Those figures cause some concern about the compensation packages for the company executives, especially when their pay is out of proportion to other companies in the same business.

 

Some other interesting figures are Carnival market cap is 34.84 billion --NCL is 9.40 billion

 

Stock price right now is CCL 46.05 -- NCLH 41.46.

 

A few months ago, NCLH was about five dollars per share above CCL, now it is worth less.

If these figures are correct it would appear that some short-term maximizers are running the company into the ground.

If these figures are correct it would appear that some short-term maximizers are running the company into the ground.

All the figures I posted were obtained by a Google search and are as current as I could get.

Kevin is a good guy. He wouldn't put up with FDR's cuts so he quit.

That is like saying Hugo Vanosmael quit. You know quite well that Sheehan was forced out. FDR got rid of people that he did not want to work with that might be an impediment to his plans.

All the figures I posted were obtained by a Google search and are as current as I could get.

Not sure what any of this has to do with the topic. We all know you don't like the NCL stock.

Another factor that indicates how a company is managed is the debt/equity ratio.

 

Records indicate that Carnival is maintaining a ratio of 0.4137 which means their debt is about 40 percent of their market value.

 

NCL ratio is 1.604 and that means they owe 160% of their market value.

 

Many analysts say that is not good.

 

Those figures cause some concern about the compensation packages for the company executives, especially when their pay is out of proportion to other companies in the same business.

 

Some other interesting figures are Carnival market cap is 34.84 billion --NCL is 9.40 billion

 

Stock price right now is CCL 46.05 -- NCLH 41.46.

 

A few months ago, NCLH was about five dollars per share above CCL, now it is worth less.

One can't compare price per share of two lines as number of outstanding shares is different. This is a meaningless figure. Just as one can't compare Delta price per share to say Southwest, one can't compare CCL to NCLH as the total number of share outstanding is different. So a company at say $7 per share selling with 1,000,000 shares outstanding is worth more than a company selling at $500,000 with 2 shares outstanding.

That is like saying Hugo Vanosmael quit. You know quite well that Sheehan was forced out. FDR got rid of people that he did not want to work with that might be an impediment to his plans.

Sheehan was CEO of Norwegian. They purchased Prestige, which is where FDR was CEO. So, technically, FDR worked for Sheehan. If you can force out your boss, that's pretty good.

Not sure what any of this has to do with the topic. We all know you don't like the NCL stock.

I don't mind you disputing the FACTS and FIGURES I posted, but I don't understand your need to make personal disparaging remarks at me personally. What is YOUR problem with FACTS?

If you can't handle the truth, I suggest you don't read my posts.

One can't compare price per share of two lines as number of outstanding shares is different. This is a meaningless figure. Just as one can't compare Delta price per share to say Southwest, one can't compare CCL to NCLH as the total number of share outstanding is different. So a company at say $7 per share selling with 1,000,000 shares outstanding is worth more than a company selling at $500,000 with 2 shares outstanding.

This doesn't make sense. The figures I posted compare the current prices of both NCLH and CCL with the same two companies a few months ago. The point I am making is that CCL stock is outperforming NCLH by quite a bit.

I also didn't mention that CCL is paying shareholders dividends while NCLH is not.

Sheehan was CEO of Norwegian. They purchased Prestige, which is where FDR was CEO. So, technically, FDR worked for Sheehan. If you can force out your boss, that's pretty good.

FDR didn't force Sheehan out. That came from a much higher level.

The President of the United States earns $400,000. + $100,000 for other expenses. Go Figure.

1) As to the president, what difference does that make?

2) Who cares what CEO's make?

Book a cruise with a line if the price is right and the experience is right. If it's not go somewhere else. Accordingly, I have not booked a NCL for some time - it's not like a compare salaries then decide :rolleyes:.

Not sure why anyone would get excited or waste time worrying about what other's make. I'm not sure why it is now everyone's business what everyone's salaries are.

1) As to the president, what difference does that make?

2) Who cares what CEO's make?

 

Book a cruise with a line if the price is right and the experience is right. If it's not go somewhere else. Accordingly, I have not booked a NCL for some time - it's not like a compare salaries then decide :rolleyes:.

 

Not sure why anyone would get excited or waste time worrying about what other's make. I'm not sure why it is now everyone's business what everyone's salaries are.

It can make a difference to some of us who have been on cruise lines that folded while we were on their cruise.

Also, it makes a big difference to those of us who choose our investments carefully.

I don't mind you disputing the FACTS and FIGURES I posted, but I don't understand your need to make personal disparaging remarks at me personally. What is YOUR problem with FACTS?

 

If you can't handle the truth, I suggest you don't read my posts.

Facts are the this thread is not about how NCL runs the company. You decided to hijack it. Why not start your own thread on the topics you want to discuss. I'll be glad to discuss the facts with you. Like the fact that stock analyst disagree with your position. Google it. It's easy to find. LOL.

He can't work for any other line directly for a couple of years due to his termination agreement. So, he consulting now. Who knows what will be happen down the road though.

It is a very unusual non-compete agreement that would allow consulting, while preventing employment. Does not sound realistic.

Non-Compete agreements that a part of any golden parachute agreement would not allow any work in the industry either consulting or employment.

Facts are the this thread is not about how NCL runs the company. You decided to hijack it. Why not start your own thread on the topics you want to discuss. I'll be glad to discuss the facts with you. Like the fact that stock analyst disagree with your position. Google it. It's easy to find. LOL.

I posted the facts. No need for a discussion. Many analysts disagree on many subjects.

I object to your personal remarks.

If you choose to invest in a company that is "underwater" AND DOESN'T PAY DIVIDENDS I don't need to discuss it with you. Good Luck !!!!

I posted the facts. No need for a discussion. Many analysts disagree on many subjects.

 

I object to your personal remarks.

 

If you choose to invest in a company that is "underwater" AND DOESN'T PAY DIVIDENDS I don't need to discuss it with you. Good Luck !!!!

You don't cruise NCL and you don't invest in NCLH - yet here you are, day after day... :confused:

Exactly what "cutback" are you referring to and please explain how they are related to exec compensation.

You don't cruise NCL and you don't invest in NCLH - yet here you are, day after day... :confused:

It really is very odd, isn't it?

It really is very odd, isn't it?

Both of you are half right !!!

I won't buy stock in a company that is "underwater" and won't pay dividends.

The other statement is not correct, so you are batting 500 !!!

Both of you are half right !!!

 

I won't buy stock in a company that is "underwater" and won't pay dividends.

 

The other statement is not correct, so you are batting 500 !!!

Why don't you tell us what you LIKE about NCL?

I never understood the fascination with someone's salary. Who cares!

Exactly !! I live in Ontario Canada & if you hold a Public Sector job & make over 100K a year it's published .... Just the other day a friend of mine who works for the county as a superintendent saw they were short with holidays so he was helping out cutting grass & I had several people say "he gets paid over 100K to cut grass"

Actually there is not. I went through this in depth on another stream but here is basically what I put there. You have to separate out the types of compensation and when it actually can be received by the recipient. The majority of his compensation is in options (only of value if the stock goes up) and restricted stock (vests over a multiyear period.

 

Here are more detailed posts. The first compares Del Rios compensation with Sheehans

 

Del Rio's package is $1,837,500 in salary, 1,903,799 in incentive plan.

The rest is 10,276,315 in stock awards and $17,752,083 in option awards.

 

The stock awards and the option awards value are dependent upon future stock value since both are restricted. The end value of those are in alignment with the shareholders and can be considerable reduced if the stock does not appreciate. For example if the stock does not go higher then what it was at when the options were granted that $17,752,083 would end up having $0 value. To get any money from that portion requires that the stock goes up. The $10,276,315 in stock awards do have value (the current price of the stock) but they are restricted and will vest over a period (probably 5 years). So you can consider those more in the $2 mil per year in actual compensation plus stock appreciation starting next year. So actual money received in 2015 was $3.7 mil.

 

If you look at Sheehans compensation over the last two years his total compensation was around 31 million with $16 million in options and 2 million in stock awards. I would expect that he had previous amounts in each category but not as easily available to look up.

 

So Del Rio's compensation for 14,15 total was $34 million with 18 in options, 10 in restricted stock and $6 in salary and bonus

 

Sheehans compensation for his last two full years 13,14 was $32 million with $16 in options, 2 in restricted stock, and 13 million in salary, bonus and other compensation.

 

As such Del Rio's compensation is in line with what was paid for the previous President/CEO

 

This one compares his with Carnivals CIO

 

The Arnold Donald CEO of Carnival received in 2015 $1,000,000 in salary, plus 4,618,950 in non-equity incentive plan compensation, plus $227,000 in other compensation for a total of 5.8 mil in 2015. Plus he has been consistently getting stock awards for the past three year from 5.8 mil in 2013, 3.5 in 2014, and 3.5 in 2015. Since he has been CEO for a while I would suspect from those number that they are probably replacing the stock that vests each year to keep his forward looking incentives constant. So in cash value between maturing stock and cash compensation he probably realized around 9.3 million in 2015 compared to the 3.7 in value that Del Rio received in the same year. Now next Year Del Rio will go up to at least 5.7 mil as his first stock allocation vests.

 

So in terms of actual money taken home he is less getting less then Arnold Donald, but has the potential to catch up in future years if the company does well.

 

Also note that RCL Richard Fain's number seem to be similar to Arnold Donalds.

 

In some ways CEO compensation is a lot like sport contracts. A lot of the number is not realized until future years and may not happen. The reported compensation is a calculated figure based on total value of the package, not the dollars actually received in that year. The first year numbers will be high because they include the initial allocations of stock options and restricted stock, In later years the allocations will be much smaller to preserve the link between compensation and future stock value.

Why don't you tell us what you LIKE about NCL?

The crew and officers who are my friends.

Thanks again for posting factual information in a way that almost everyone can understand.

Call it what you want, but the compensation package for the executives of a company add up to numbers and money. The way they describe it is nothing but "fluff".

A major part of the debt currently held by NCL comes from the acquisition of prestige holdings. Also some related to the transition in ownership from being primarily held by Apollo to it public offering in 2013.

Doing a comparison between the big 3

5 Year Sales Growth

NCL 16.65%

RCL 4.21%

CCL 1.66%

5 Year EPS growth

NCL 70.52%

RCL 4.96%

CCL -1.81%

Net Profit Margin

NCL 11.64%

RCL 8.57%

CCL 14.00%

Long Term Debt to Equity

NCL 144.37%

RCL 98.97%

CCL 35.91%

Return on Investment

NCL 5.45%

RCL 4.35%

CCL 7.10%

Sales per Employee

NCL 169.23K

RCL 127.49K

CCL 172.99k

While NCL has a higher debt ratio that is not surprising consider its history and transition through Apollo Holdings, combined with the recent purchase of Prestige. Cruise lines are a very capital intensive industry. It appears that they are doing well with very good growth rates. In all of the measures, other then debt, they are doing better then RCL.

Bottom line NCLH is doing pretty well in growing in a market with two larger companies. Being smaller it is easier for them to post better growth numbers, but to grow they also have to commit a higher capital percentage., thus the debt level. Even though they debt ratio is higher then RCL they are still able to post a better net margin. CCL's low debt level helps them in the margin quite a bit. Of course their size mean slower growth numbers.