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Tim Boyle became the CEO of Columbia Sportswear Company (NASDAQ:COLM) in 1988. First, this article will compare CEO compensation with compensation at similar sized companies. 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 process should give us an idea about how appropriately the CEO is paid.

See our latest analysis for Columbia Sportswear

How Does Tim Boyle's Compensation Compare With Similar Sized Companies?

According to our data, Columbia Sportswear Company has a market capitalization of US$6.6b, and pays its CEO total annual compensation worth US$3.3m. (This number is for the twelve months until December 2018). That's a notable increase of 32% on last year. We think total compensation is more important but we note that the CEO salary is lower, at US$951k. We looked at a group of companies with market capitalizations from US$4.0b to US$12b, and the median CEO total compensation was US$6.9m.

This would give shareholders a good impression of the company, since most similar size companies have to pay more, leaving less for shareholders. While this is a good thing, you'll need to understand the business better before you can form an opinion.

You can see a visual representation of the CEO compensation at Columbia Sportswear, below.

Is Columbia Sportswear Company Growing?

On average over the last three years, Columbia Sportswear Company has grown earnings per share (EPS) by 8.0% each year (using a line of best fit). It achieved revenue growth of 13% over the last year.

This revenue growth could really point to a brighter future. And the modest growth in earnings per share isn't bad, either. Although we'll stop short of calling the stock a top performer, we think the company has potential. It could be important to check this free visual depiction of what analysts expect for the future.

Has Columbia Sportswear Company Been A Good Investment?

Boasting a total shareholder return of 72% over three years, Columbia Sportswear Company has done well by shareholders. 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...

Columbia Sportswear Company is currently paying its CEO below what is normal for companies of its size.

Tim Boyle is paid less than what is normal at similar size companies, and the total shareholder return has been pleasing over the last three years. So, while it might be nice to have better EPS growth, on our analysis the CEO compensation is quite modest. Whatever your view on compensation, you might want to check if insiders are buying or selling Columbia Sportswear shares (free trial).

Arguably, business quality is much more important than CEO compensation levels. So check out this free list of interesting companies, that have HIGH return on equity and low debt.

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.