Posted: 07/21/2025 03:18 am
NewAmsterdam Pharma Company N.V. (NASDAQ: NAMS) has made significant strides in the pharmaceutical industry, focusing on developing non-statin oral medicines for patients at risk of cardiovascular diseases (CVD) with elevated low-density lipoprotein cholesterol (LDL-C). Despite these advancements, one area garnering attention is the compensation package of its Chief Executive Officer, Dr. Michael Davidson.
Dr. Michael Davidson's compensation for the year 2024 totaled approximately $6,469,297. This figure reflects a base salary of $621,300. However, it is the substantial stock and option awards that stand out in his compensation package. While Dr. Davidson received no bonuses or stock awards, he was granted option awards worth $5,347,060, which formed the largest component of his overall compensation. Additionally, he received $497,040 in incentive plan compensation and $3,897 classified under all other compensation categories.^1
The strategic focus on option awards aligns with NewAmsterdam Pharma's vision and strategy, as evidenced by recent announcements concerning their inducement grants. These grants are part of the 2024 Inducement Plan and were specifically designed to attract and retain top-tier talent in a competitive pharmaceutical landscape. For example, the compensation committee approved inducement share options covering 138,000 ordinary shares for four non-executive new hires in February 2025 and 228,800 shares for three new hires, including their new Chief People Officer, Maryellen McQuade, in January of the same year.^2,^3
NewAmsterdam's focus isn't solely on internal development but also on innovative clinical discoveries. The company recently announced positive topline data from their BROADWAY clinical trial. This study showed that the treatment leads to statistically significant reductions in Alzheimer's disease biomarkers, adding more promise to its pharmaceutical pipeline.^4
Investor interest in NewAmsterdam Pharma remains strong. The stock is trading at $22.2 as of the latest data, reflecting a 1.00091% increase from the previous close. Analysts from Wall Street have projected a 132.5% upside, indicating strong market faith in the company's prospects, despite its recent quarterly loss report of $0.49 per share, slightly missing the consensus estimate.^5,^6
NewAmsterdam Pharma's strategy of leveraging compensation through option awards seems to align with its long-term goals, ensuring that key leadership remains aligned with the company's growth ambitions. This approach, coupled with its recent clinical and market advancements, marks NewAmsterdam as a company set on a promising upward trajectory.
1. SEC, "NewAmsterdam Pharma Company N.V. CEO Compensation Details," [link](https://www.sec.gov/Archives/edgar/data/1936258/000119312525115995/0001193125-25-115995-index.htm).
2. Globe Newswire, "NewAmsterdam Pharma Reports Inducement Grants Under NASDAQ Listing Rule 5635(C)(4)," Feb 07, 2025.
3. Globe Newswire, "NewAmsterdam Pharma Reports Inducement Grants Under NASDAQ Listing Rule 5635(C)(4)," Jan 09, 2025.
4. Globe Newswire, "NewAmsterdam Pharma Announces Positive Topline Alzheimer's Disease Data from BROADWAY Clinical Trial," Jun 09, 2025.
5. Zacks, "Wall Street Analysts Predict a 132.5% Upside in NewAmsterdam Pharma Company N.V.," May 12, 2025.
6. Zacks, "NewAmsterdam Pharma Company N.V. Reports Q1 Loss, Tops Revenue Estimates," May 08, 2025.
