Stifel has initiated coverage of Lindblad Expeditions (LIND) with a bullish $17 price target and buy rating, with the stock closing most recently at $12.58.

“LIND, in our opinion, is the ultimate growth story within the luxury/travel segment as we estimate LIND will grow EBITDA, on average, around 21% for the next three years, yet still trades at a significant discount to where certain cruise peers have been acquired,” said the financial firm, in a written note.

“We believe the luxury/expedition cruise segment will significantly grow in the years ahead given an aging population that should continue accumulating wealth/free time and should continue to seek unique, once in a lifetime, type of adventures. We believe LIND remains somewhat unknown in investor circles given the lack of equity coverage but ultimately believe there should be an overwhelming appetite for a name like this given small-cap investors can’t play the broader cruise space.”

The firm also said that two luxury/expedition cruise companies have been sold in the last five years, pointing to Prestige Cruise Holdings being sold to Norwegian Cruise Line Holdings at 11x EBITDA, and Silversea being sold to Royal Caribbean Cruises at 14x EBITDA.

“Ultimately we believe LIND has a more powerful brand/reputation in terms of exploration cruising which should command a multiple at least in line with where Prestige/Silversea were sold.”