U.S. Markets closed

Is The First of Long Island Corporation's (NASDAQ:FLIC) CEO Being Overpaid?

Simply Wall St

Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift card!

Michael Vittorio became the CEO of The First of Long Island Corporation (NASDAQ:FLIC) in 2003. First, this article will compare CEO compensation with compensation at similar sized companies. After that, we will consider the growth in the business. And finally we will reflect on how common stockholders have fared in the last few years, as a secondary measure of performance. This method should give us information to assess how appropriately the company pays the CEO.

See our latest analysis for First of Long Island

How Does Michael Vittorio's Compensation Compare With Similar Sized Companies?

At the time of writing our data says that The First of Long Island Corporation has a market cap of US$543m, and is paying total annual CEO compensation of US$1.9m. (This figure is for the year to December 2018). While we always look at total compensation first, we note that the salary component is less, at US$665k. As part of our analysis we looked at companies in the same jurisdiction, with market capitalizations of US$200m to US$800m. The median total CEO compensation was US$1.7m.

So Michael Vittorio receives a similar amount to the median CEO pay, amongst the companies we looked at. While this data point isn't particularly informative alone, it gains more meaning when considered with business performance.

You can see, below, how CEO compensation at First of Long Island has changed over time.

NasdaqCM:FLIC CEO Compensation, July 13th 2019

Is The First of Long Island Corporation Growing?

On average over the last three years, The First of Long Island Corporation has grown earnings per share (EPS) by 8.1% each year (using a line of best fit). It achieved revenue growth of 5.7% over the last year.

I'm not particularly impressed by the revenue growth, but it is good to see modest EPS growth. Considering these factors I'd say performance has been pretty decent, though not amazing. You might want to check this free visual report on analyst forecasts for future earnings.

Has The First of Long Island Corporation Been A Good Investment?

The First of Long Island Corporation has generated a total shareholder return of 16% over three years, so most shareholders would be reasonably content. But they would probably prefer not to see CEO compensation far in excess of the median.

In Summary...

Michael Vittorio is paid around the same as most CEOs of similar size companies.

We see room for improved growth, as well as fairly unremarkable returns over the last three years. While the CEO may not be underpaid, we don't think the pay is too generous either. CEO compensation is one thing, but it is also interesting to check if the CEO is buying or selling First of Long Island (free visualization of insider trades).

If you want to buy a stock that is better than First of Long Island, this free list of high return, low debt companies is a great place to look.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.